There is no loan or credit lines in my name. So I should have a perfect credit score.
In fact, the opposite is true instead. The rational adopted by lenders and credit reporting bureaus is that you must display ability to manage credit, ability to manage money, and has the discipline of repaying your bills in a timely manner. So if you never had any loan nor credit lines, there is little to gauge your credit responsibility.
So if you currently have no outstanding credit lines, get a couple of credit cards, spend on small items, consciously pay off your outstanding balance. Indeed, having responsible credit is definitely better than none. See your credit score slowly rise up the ranks.
I Only Need to Rectify My Credit Report.
Most of us would think that our credit score means that score in our credit report. But it is important to note that we need to read at least 3 credit scores from the big 3 credit reporting bureaus. The big 3 are namely, TransUnion, Equifax and Experian or others within your vicinity. Hence you could expect wide variations to the 3 separate scores from each of the big 3 bureaus. And to add to the complications, if you are seeking to borrow more funds on credit, many lenders do calculate your risk level based on your credit report scores.
The solution to this misnomer is that upon receipt of your credit reports from each of the big 3, you need to investigate each statement meticulously to reconcile and correct the errors. And when repairing your credit score, your need to rectify at least all 3 statements from the big 3 bureaus and contact them individually based on the 3 separate scores.
Now that I have rectified one of my credit card accounts, my credit score will shoot up almost immediately.
A lot of literature has been written on how to rectify an erroneous credit card account, after which you will see your credit score shoot back up in no time. Well, think again. Credit repair is a continuous activity, one which requires constant and conscious discipline to rectify, adjust and maintain. It is not a one overnight stance which boosts your credit score by 50 points. Credit Score Repair involves a variety of factors, such as your current credit score and the credit bureau which counts your credit score.
The resolution is instead of trying to preempt how many points you will improve with a certain repair activity, you should have broad plan which allows you to financially correct your credit in credit cards, personal credit lines, auto loan, home loan etc. As long as you persistently pay up your bills, consistently reduce your outstanding loans, you will eventually be able to enjoy more favorable credit terms.
To learn more about credit repair skills, check out my website.
