Rebuilding
Date: Tue, 08/17/2010 - 07:18
I have horrible credit, and now I have an awesome job and have been slowly paying off everything on my credit report and financing a few small things here and there. Does paying off old debts on your credit do anything to help build it?
What is building your credit is the new credit not the old. Pay
What is building your credit is the new credit not the old. Paying off your collections is a good start, but your score will take a bit of hit as you pay them off, but the new good credit history will help it rebuild. Just keep going. It will rebuild in time.
as dftb says, iit takes TIME. you can also dispute each negative
as dftb says, iit takes TIME. you can also dispute each negative item every 60 days as sometimes they will delete them. I have 2 derogatories that have been flat-out deleted from my credit history.
As you pay off your debts your credit will gradually increase. H
As you pay off your debts your credit will gradually increase. However, if you make payments on old delinquent accounts making payments on those can initially lower your score by a few points. You can thus try to negotiate a "Pay for delete" (PFD) agreement along with the creditors and collection agencies (if any). PFD removes the negatives from your credit report (not all creditors agree to PFD).