How To Repair Bad Credit History Without Credit

For those who want to repair bad credit history, the main way to do this is by paying off bad credit debts, and working to reestablish credit with a credit card for a bad credit history. Unfortunately, this isn't something people can do overnight, as credit history ultimately takes time to improve.

Get a free credit report. This will allow one to see his or her debts and create a budget to allow those debts to be paid. Creating a budget is important because it will keep further debt from accruing. The credit report is important because it will provide contact information for all creditors or collection agencies.

Make payment arrangements. For those not already in collections, making payment arrangements is a good idea. Anyone with debts in collections should wait until they have a sum of money they can negotiate with before attempting to settle the debt. Paying debts as agreed and/or paying collections off in full will be a step toward improving the credit rating.

Get a bad credit card. There are many different programs available for those with bad credit. Prepare to pay fees to secure the card. Once a card is active, make sure to keep the debt charged on it low, and pay it off regularly. A few months of this activity will establish good credit.