Having bad credit can be a real headache. It is especially frustrating when you are haunted by bad decisions from your past. You can fix your credit, but it might be difficult. Get ready to rebuild your credit with the following proven tips.

If you don’t have very good credit, financing your home may not be easy. If this is the case, you can apply for a loan through the Federal Housing Administration (FHA). The credit requirements for these loans are more lenient than those of conventional lenders, and the federal government also guarantees the loans. FHA loans are also great when a borrower doesn’t have the money to make a down payment or pay closing costs.

The first step in repairing your credit is figuring out a plan that works for you, and sticking with it. Real changes come from commitment to healthy spending habits. Pay cash for things, and cut out unnecessary expenses. If you are buying something because you want it, and don’t need it, put it back on the shelf.

Credit Card

If your credit history has put you in the position where you are not able to obtain a regular credit card, you should try to get a secured credit card to begin rebuilding your credit. You will most likely be approved for this type of card, but you will have to add money to the card before you can use it so the bank will know that you can pay for all of your purchases. If you show a good history of payments with this card, it will help improve your credit standing.

Start by paying off credit cards with accounts 50% over your limit. You can concentrate on another card once these accounts are lowered to under half of your limit. Any balances that are over half your limit drag your credit rating down. So be sure to pay your credit card down or, if you can not, try to use another credit card.

This advice can make a big difference in your credit score. The most important thing is to be consistent with the process and make sure that you stay on top of your obligations. Start working at rebuilding your credit!