by Richard Conard 04/05/2024

A bad credit score is one that is ranked as being fair or poor. If you have no credit history or there is not much there, that would also keep things low. Scores are updated each month and if for whatever reason your score is low or has dropped, it is possible to improve things. But it takes some planning and effort to make those repairs. Meanwhile, there are things like bad credit loans Lakewood and elsewhere, if you need them.

Improving your credit score The process of improvement is based on the factors that make up your credit score, new credit, history of payments, credit history length, use of credit and credit mix. Here are the steps to take.

1. Look at the three bureaus’ reports – Looking at your credit history with each place helps you understand what has gone wrong in the past and what scores you are working with. 2. Ensure your bills are being paid by the date due – Paying your bills late all the time has a huge impact on your credit score. Something as simple as getting that under control will help improve things. 3. Work on the debt you have outstanding – That includes loans and credit cards too. Reduce the percentage of money you owe will help improve your credit score. 4. Try to avoid any new hard inquiries – When you apply for another credit card, or a loan, the lenders will send a hard inquiry for your credit file. Each time negatively impacts your credit score. That includes more traditional bad credit loans Lakewood. 5. Have some patience – The score is not going to jump overnight and it is a steady process, not a quick one. So be patient and stick to the kind of practice mentioned above.

Applying for an emergency loan when you still have bad credit There are some types of cash loans Lakewood you can apply for with bad credit scores but it should only be done if the need is real. Before you do, you will need certain information including bank details, income details and personal data. Then the process looks something like this;

1. Go through the preliminary application process to get pre-qualified. This enables them to do a soft check, not a hard check. They can give you an idea if you might qualify and the kind of terms you can expect. 2. Fill in the full application. If you like the terms you read from the prelim then you can properly apply for the loan. This is when they will then carry out the hard credit request. Then they might ask for other information. 3. Choose whether to accept the final offer. If you are happy and accept the terms you can then get the money sent to where you have agreed, your bank account or to other creditors. The latter is when you use cash loans Lakewood for consolidating debt. 4. Set up repayments. Make sure you can manage them so you have no other issues.

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