LoanAway Blog

Beating Bad Credit: Get Late Payments Removed It is far too common for Canadians to assume that as long as they get their bills paid, that is what matters most. Late payment is still payment, but paying bills late is one of the leading reasons Canadian consumers have black marks on their credit reports. Now, if you default on a bill altogether, that’s considered pretty bad and that’s why you’ll have to wait seven long years for that black mark to be removed from your record. With late payments, different story. You paid late, but at least you made sure you still paid every cent you owed to the creditor. So we’re going to show you how to make those late payments disappear and accelerate the “healing” of your credit score. Tip #1: Give them the promise of automation Your creditors need to be able to set their watches to the payments they expect. Missed payments hurt their cashflow and that’s why they report your late payments, so that other creditors can avoid the same inconve...

You don’t need a degree in rocket science to be aware of the fact that having good credit is vital to your financial health. You’d have to be living under a rock to not have heard advice on how to keep on top of our payments and not to use up too much of our credit. So then, what does happen when that advice goes unheeded and you find yourself with a bad credit score? The obvious would be to look at ways to fix the bad credit , but you’re about to find out about 5 things you should never do when trying to repair your bad credit score. Tip #1 - Never close your credit cards An unused credit card has 10X more value than not having a credit card at all. How does closing a credit card affect you? Well, by closing it, you are (obviously) reducing your credit limit, which automatically increases your service-to-debt ratio. Since credit reporting agencies consider debt-to-service ratio a large part of their scoring criteria, this will have a negative impact on your score. Tip ...