How To Rebuild Your Credit
with A Prepaid Debit Card
by:
R. Sharp
Consumers today are up to their
eyeballs in debt. And many people don't realize it until their good
credit has been devastated.
As a result, many credit repair
agencies are popping up all over the internet, on television and in
the newspapers making sweeping guarantees that they can erase your bad
credit and remove bankruptcies, judgments, liens, and bad loans from
your credit history - forever!
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Consumers are flocking to these credit
repair clinics in droves. However, estimates show that credit repair
companies have defrauded consumers in the United States alone out of
more than fifty million dollars.
The truth of the matter is that
depending of the extent of the damage to your credit history, the best
strategy could be a self help strategy - not giving away hundreds or
even thousands of dollars in up-front fees to an agency that in the
end may do nothing to restore or improve your credit.
After researching the topic quite
extensively, I found one great method that works well for some people
is a method I call “beating the credit reporting bureaus at their own
game”.
I report about it in more detail on my
Prepaid Debit Card Site (www.debit-card-guide.com),
however, in brief, this strategy involves taking advantage of signing
up for prepaid debit cards which offer a built-in credit reporting
feature.
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A prepaid debit card is a great
solution for a lot of people because the money you spend is your own
and in most cases you cannot spend over the amount you have in your
account.
This is a good solution for people who
may have had difficulties with debt or bankruptcy in the past because
a prepaid debit card is a great tool for developing invaluable
financial management and budgeting skills.
A major bonus of some prepaid debit
cards today is that during the sign-up process you are offered an
additional service that will help you rebuild a bad credit history by
having your monthly payments reported to one or more of the major
credit reporting agencies.
Subsequently, each month your card's
issuer credit reporting partner will process your payment record and
verify that your payment is properly posted to the credit bureaus'
records.
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There is a small additional fee for
this service each month, however, the fees are minimal by comparison
to the sometimes outrageous fees and interest payment some credit card
companies charge people with bad credit.
This fee is usually billed to you
through your prepaid card each month and enables you to show a
continuous history of activity within the credit system.
These prepaid debit cards help you
rebuild your credit so you can get on with your life and is just one
of the many self-help strategies that I recommend.
To learn more about rebuilding your
credit through the use of a prepaid debit card simply do a search in
one of your favorite search engines or visit
www.debit-card-guide.com for more specific card information.
About The Author
To read more of Ms. Sharp's articles
about Prepaid Debit Cards, check out THE definitive guide to debit
cards of all kinds including: prepaid mastercards, prepaid debit
cards, debit gift cards, mastercards, and debit mastercard at:
http://www.debit-card-guide.com. |
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