Bad credit is like a thundercloud that looms over your head constantly. As you go about your day, the financial worries can cloud your head and wreak havoc on every part of your life. The good news is that overcoming bad credit, while difficult, is very possible, especially if you still can apply for unsecured personal loan. The first step to take is to obtain a free credit report. This will let you see where all your discrepancies lie and help you take the first steps to fixing them and let you patch holes in your credit where needed. Much like a leaky roof, this may take time and patience.
Depending on the severity of the credit problems, it may take months and in the worst case, years to erase all of the negative aspects on your credit report. However the important thing to remember as with anything financial is that small steps are big and eventually you’ll find yourself back where you need to be. The next step you will want to take when fixing your credit will be to get a calendar and keep track of all of your bills and the dates they are all due.
If you are paid twice a month, it would benefit you greatly to see how many bills you pay on the 1st and how many you pay on the 15th. If at all possible, call the credit providers and have the due dates changed on some of your bills so that there is not a huge amount of money coming out of one paycheck and a much smaller amount out of the other. Try to keep your bills balanced and you will find you can stretch your paycheck much farther.
For example, if you can pay five bills on the first and five bills on the tenth, then you may find you have more money each month than if you were to pay 7 bills one paycheck and three on the next. The next step to take would be to create a budget and more importantly, stick to that budget. Knowing where your money is going is extremely beneficial and gratifying. Many people receive their check every two weeks, pay their bills, then spend aimlessly again until their next check comes around or until the money is gone. To have a budget puts you back in control of your money and your life.
Allot a certain amount toward groceries, a certain amount toward bills, and leave a small amount to play with. If you can, also place a small amount in savings.