Thanks for joining me! Most often, you don’t even check your credit or realize it’s bad until you need to use it. Seems that score can go down quickly and easily, it takes much more effort and time to get it to go up. BUT YOU CAN DO IT! If your credit is bad, you probably don’t have a lot or even any extra money to pay someone to fix it. ANSWER? DO IT YOURSELF! I did it and you can too.
So then you realize your credit is bad, what do you do? You look online and you see ads like this: “****** ***offers three levels of service depending on your credit needs for $89.95, $109.95, or $129.95 each month after services are delivered.” Wow! How many months is it going to take? Even at 6 months you have spent several hundred dollars and they are not guaranteeing how long it will take, or how much they can help.
It happens accidentally, unintentionally, and often unknowingly. Bad credit is often caused by a bad event or circumstance. COMMON Causes:
Divorce – Yes, this is the one that got me! During a divorce, bills are not getting paid, spouses are arguing over who is responsible for the bill, or in the case of just one breadwinner, they will start “hiding” money and not pay the bills with the other spouse not even knowing. Divorce can bring new bills because of having separate residences and the rent, or mortgage, and utilities that go along with maintaining two residences, or they have another romantic interest and are spending money on him or her.
Health Problems – Illness, injury, surgery, etc. all cause medical bills, copays, prescriptions, and can keep you from working or earning a living. A hospital stay or surgery can result in a large bill that you are responsible for paying. Often times, there is a billing delay from the hospital or facility and medical bills appear on your credit report before you are even aware of them. Not fair, but it happens.
Death – Maybe it takes both spouses to pay your monthly obligations, or you have another family member that supports you, or you are a stay at home parent. If suddenly the one that supports you dies, you are grieving for the loss, but now you also have lost a means of support. It doesn’t take long to get behind and damage your credit. A difficult time of mourning along with financial stress can be overwhelming.
Loss of Job or Unemployment – A common occurrence as businesses close, downsize or outsource. With little to no notice, you are unemployed. Even more devastating if you were already living paycheck to paycheck and even missing one check is unthinkable. Sure to quickly cause credit problems.
Laziness – As I mentioned previously, bad credit is caused by unfortunate circumstances. If you are lazy it is unfortunate. Laziness is you have the money to pay your bills on time, but you are often late paying, or you miss paying. You have destroyed your own credit! If this is the case, you need to adjust your attitude and habits right away!
Good company in a journey makes the way seem shorter. — Izaak Walton