How to rebuild credit

It can be disheartening to see your credit score drop after a financial setback. Whether you missed mortgage payments, made the hard choice to file for bankruptcy or faced something else entirely, these kinds of disruptions can result in a hit to your credit health.

But with a plan, adhering to healthy financial habits and a dose of patience, you can rebuild your credit. By improving your overall financial picture, your credit will follow over time.

How credit scores work

Your credit scores are calculated using information in your credit report. There are different credit scores, but in general they tend to use similar factors to provide you a credit score. As information is added, removed or updated on your credit report, it can then change your credit score. Understanding credit score factors can help you make more informed decisions as you work to rebuild your credit score and make healthy credit choices.


continue reading »