Credit Repair and Credit Stacking
Updated: Jul 28, 2022
No person's credit is too bad to fix.
It's common to have unwanted marks on your credit. Unfortunately, any bad marks on your credit score will hold you back from getting the financial freedom you're looking for.
Marks on your credit card – like a missed auto payment or something of that nature – can prevent you from applying for major credit cards, or any credit card for that matter.
How do you remove those marks?
In this article, I'll teach you a few strategies you can use to repair your credit.
Legally you can dispute anything that is on your credit file, and it is on the credit bureau to prove that it's yours. They have 30 days to verify that the negative item is yours. Believe it or not, it's extremely easy to get things removed through this dispute process.
Fair Credit Process
What makes this possible for you and for everyone to do is the fair credit process. This really protects credit card users.
Remember, they only have 30 days to prove this inquiry is actually yours. Because they're so busy, sometimes they will just go ahead and remove it from your file because they won't be able to prove it's yours before the deadline.
Pay for Delete
What's worse, if you have an overdue payment for example, then that will stay on your file for seven years. If this happens to you, it's sometimes best not to pay it off right away.
The only way to have it completely removed is to get the collection agency to agree to a "pay for delete."
This needs to be a written agreement that says if you pay "$X" debt, then they will remove the collection from your credit file.
Most collection companies don't do this, but there are some that do. If you can get them to agree to a pay for delete, that's the only time I'd suggest paying off a debt right away.
Why you don't pay the collection off immediately
Say you have an overdue payment with Chase bank. What usually happens is they will sell that debt to a collection agency, and it will stay on your account for seven years.
If you end up paying it three years in, it will update and then reset the seven years on your credit file.
At that point, go for the fair credit route. Banks don't have the right to sell your debt to a collection agency. So realistically, this is a really easy thing to dispute.
Want more tips?
This is just the tip of the iceberg! If you're interested in learning more about how to fix your credit, consider becoming a member of the Credit Stacking community.
We have more videos that specifically touch on how to repair your credit, along with becoming more financially independent, getting funding for your business, and more.
Also, as a member of the Credit Stacking community, you get access to great tools like the Credit Stacking - Credit Repair program at a discounted price.