If you are really interested in credit repair, then the first step may be to avoid credit repair services. They usually don't do anything anymore special than you can do on your own.  However, if you want to use a credit repair service, at least make sure that it is a reputable one.


In order to fix your credit, you should know how your credit is scored and how it affects you:1. Payment history- 35%2. Total debt owed to available credit ratio-30%3. Length of time establishing credit-15%4. Types of credit established-10%5. Inquiries and New accounts-10%There are two things when it comes to bad debts and collection items of which you should be aware: the Fair Credit Reporting Act (FCRA) and statute of limitations. These are two different things.


The FCRA is the timeframe for which negative items can remain on your report, which is 7½ years from the date they first went delinquent. For example, if a debt first became delinquent on January 10, 2002 the legal limit that the debt can be reported would be July 10, 2008. Here's a link for the FCRA:

http://creditinfocenter.com/creditreport…Another thing you need to know for credit repair is that there is a separate statute of limitations that varies by state on how long a debt can be legally enforced. This is different from the FCRA, because depending on in which state you live, the statute may or may not expire before the FCRA.Here's a link for that:

http://www.creditinfocenter.com/rebuild/…Another important thing to know for credit repair is that negative items that are less than two years old are hurting your score the most. It is possible that you can settle much older debts for far less in exchange for getting them removed from your report altogether. This is called a "pay to delete."


The most important thing to remember is that credit repair is possible for you, no matter how bad a shape your credit is in.