How to repair and increase your Credit score After Divorce
As far as how to repair and increase your credit score after divorce, I am probably the last person who should be dispensing this advice. But I can imagine the mess you can find yourself in when you divorce especially with credit cards. I don’t want to get into my own personal experience but suffice to say that I know exactly what you may be feeling now that you are divorced and are faced with ruined credit because of your spouse’s or your own behavior during the marriage that has left you with the challenge of how to repair and increase your credit score after divorce.
Here are my 10 tips I came up with to repair and increase credit score after divorce. Keep in mind that I am not a financial guru and I could be wrong about some of these ideas. It is just the strategies that I have been using to keep myself under control. And no. My husband was not the one with the spending habit in our marriage. I was.
So, here is how to repair and increase your credit score after divorce:
- Stop using credit cards. This is the first key step.
- Call your creditor and try to get a reduced interest rate
- Make a payment plan with your creditor based on your income
- Sacrifice something to make a bulk payment that eliminates the debt in one shot.
- Remove your spouse’s name from your debts
- Sign up for automatic payments
- Don’t file bankruptcy unless it really makes sense but if you do, accept it will take a while, like, maybe, years, to see the good results on your score
- Focus on some creditors rather than all. That is, prioritize. Pay off one and then focus on the other.
- Avoid opening new accounts till you have paid off old accounts
- Reduce spending on unnecessary items but if you must spend, only pay with cash.