How to Repair a Poor Credit Report
Credit theft and bad credit are an epidemic. You can repair your credit report using many simple tools. The one thing you will need is determination. Credit Bureaus don't want to fix your credit, you have to force them to.

• HOW'S YOUR CREDIT RATING?
  When you are facing collection agencies, credit turndowns, inaccurate credit bureau information, bankruptcy, there are many services which can help. Start here by obtaining your credit bureau report so you can see exactly what is being said about you.
• The price you will pay
  Searching the Internet will give you a good idea of what types of credit card companies will deal with bad credit. Companies like Capital One, Orchard Bank, Providian Financial and even Citibank have plans to help you get back on your feet again.

Credit scores and how they work should be standard knowledge for anyone who wants to stay on top of their financial situation. HowStuffWorks has a good six-part article on how credit scores are calculated, how you can improve your score, what your score affects, etc.
Credit scores are starting to be factored into more and more of life, unfortunately: insurance quotes, even job interviews, so knowing about your credit score is pretty important. If you've got tips on improving your credit score - legit tips - please share them in the comments.

Our holier-than-thou sibling site Consumerist etched their 10 commandments of good credit into virtual stone last week. The edicts that came down from on high include:

• Thou Shalt Pay Off Your Balance In Full Every Month.
• Thou Shalt Get A Credit Card With Extended Warranty Protection, Cash Back or Reward Points, And Thou Shalt Take Advantage Of Them.
• Thou Shalt Take Advantage of No Interest No Payments Financing Deals, But Thou Shalt Pay Them Off On Time.

And my personal favorite, "Thou Shalt Not Constantly Obsess Over Thine Credit Score. Life is too short." You lifehackers are a money-savvy bunch, so let's make this list longer than ten: add your credit commandments in the comments.


You already know

Financial weblog Sound Money Tips says that chances are you can lower your credit card interest rate with one simple phone call, especially if you've done your homework.

Before requesting a lower rate from your credit card company, get an idea of your account history (any late payments?), grab your

It can't be said often enough: if you can, pay off your credit card balance each month. If you can't, make sure you make your payment on time. The financial advice Website Radical Guide explains why.

The penalties for late payments are numerous--and they're not limited to the late payment fee, which is usually around $30.

• You may lose your "grace period", that interest-free float from the time you buy something to the time your payment comes due.
• You may lose your rewards, if your credit card offers them.
• You may increase your interest rate up to unthinkably usurious levels. (Think 26 percent!)
• Your credit rating may take a hit. Even one late payment can raise the cost of your future loans.


Back in Lifehacker's salad days (January), we reported that the Federal Trade Commission approved a law which entitles U.S. consumers to a free copy of their credit report from each of the three credit agencies once a year, on a rolling schedule. That free credit report is now available for everyone from sea to shining sea.

To get your free credit report, head over to AnnualCreditReport.com, enter your information, and choose the agencies you'd like a report from (Experian, TransUnion and/or Equifax). I just received one from all three agencies. The process is annoying and long, and requires you answer all sorts of questions to prove you are who you say you are ("what is your dog groomer's middle name?") but in the end, you can't beat the price.

Also: when your credit card company offers you a credit report for the low price of $15.95? Say no.

Annual Credit Report