How Long Does It Take to Repair Credit?

It's a question that haunts the minds of many - how long does it take to repair credit? 

Bad credit can be a major obstacle for many people, but it doesn't have to be. With the right information and some patience, you can eventually get your finances in order and improve your credit rating.

So, how long does it take to fix credit? Here's everything you need to know:

What Is Credit Repair?

Credit repair is the process of attempting to "fix" your credit report. If you've had financial problems, chances are that some less-than-desirable items may be listed on your credit report.

Credit repair results are dramatic - but you can't expect to fix your credit overnight. It takes time, it takes patience, and it requires you to do everything in your power to rebuild your credit.

How Long Does It Take To Repair Credit?

So, how long does credit repair take? A typical credit repair process takes two to three years. However, many people find that it takes longer than this. There are several factors that can influence how long it takes to repair credit - here's what you need to know:

Factors That Affect Your Current Credit

How fast does credit repair work? Well, your current credit situation will directly affect the process. If you already have good credit, it may be easier to repair credit than someone who has horrible credit.

  • Is your score above or below average? Those with better scores recover quicker than those with worse scores.
  • Are you currently working with a collection agency to repay debts? If so, this process may take longer.
  • Have you recently gone through bankruptcy? It will be difficult to repair credit after this event.

Factors That Can Affect How Long It Takes To Repair Credit

You might be wondering how long does it take to fix your credit. Credit repair results vary from person to person, but here are some factors that can affect the process:

  • How many mistakes are on your credit report? There can be errors on your report - for example, you may have been included in someone else's bankruptcy. This doesn't mean that you'll have to wait three years - but it could make the process slower.
  • How recently did these mistakes happen? If you've had credit problems recently, it may be easier to repair your credit than someone who hasn't tried in years.
  • Are you working on fixing other financial issues at the same time as your credit report? For example, if you're currently trying to reduce your debt, it could take longer.
  • Are you working on fixing other financial issues at the same time as your credit report? For example, if you're currently trying to reduce your debt, it could take longer.
  • How active are you with repairing bad credit? If you don't pay attention to your credit report or don't dispute mistakes, it will take longer.

Step-By-Step Guide To Start Repairing Credit

Wondering how fast you can repair credit? These steps can bring you closer!

1. Get a copy of your credit report

Your credit report is a record of your financial history. If you're trying to fix your credit, it's important that you understand what's on there. Make sure that everything listed as being from "your file" is actually from you - and not an unauthorized user.

2. Understand the difference between good and bad debt

Understanding the difference between good and bad debt will help you make better financial choices in the future. This is especially important if you want to repair credit fast.

For instance, having a credit card is good debt, as long as you pay it off in full each month. Using a credit card to make a purchase and then making only the minimum repayment is bad debt.

3. Dispute mistakes on your report

One of the most important steps in repairing credit reports is disputing incorrect items on your record. You can dispute these items yourself by calling the personal credit bureaus or visiting them in person.

If you make a mistake, the credit bureau has to investigate your claim within 30 days. If they do not respond in that time-frame, you can go directly to the specific creditor and have them removed from your file manually. The consumer credit reporting companies are not allowed to report items that are more than 7 years old.

4. Don't default on any financial agreements

If you don't pay your bills, this will make it much harder for you to fix your credit - and could also drag down your relatives' credit reports as well. Talk with creditors if you're having trouble making payments. You may be able to make a deal for lower payments. If you're struggling, find out if you can apply for an income-based repayment plan with the creditor(s).

5. Get educated about credit and how it works

It's important that you fully understand what is on your credit report and how this information impacts your score. The higher your credit score, the more likely you are to qualify for loans at a lower interest rate. The higher your credit score, the better chance you have of getting an apartment or a job.

6. Plan and budget carefully

If you want to fix bad credit fast, remember that planning and budgeting are important. Make sure that you're sticking to a budget and not overspending. If you make less than you spend, you'll be able to pay off debt more quickly - and this will help increase your credit score as well.

7. Look for better interest rates on the financial products that you use

Does your bank offer a lower interest rate on your savings or checking accounts? Is your credit card charging you an extremely high-interest rate on balances? If it is, consider switching financial institutions.

8. Open a new line of credit

If you're ready to start repairing credit fast, opening new lines of credit will boost your score in the short term. This can help you qualify for better terms on loans and other financial products.

9. Be patient

Repairing credit after bankruptcy or poor financial decisions will take time. You need to be persistent and dedicated. Even if you have made some mistakes, don't give up - just keep working at it! Repairing credit takes time, effort, patience and understanding of what's on your files.

Estimated Timetable Of Credit Repair Results Time

Here’s a rough timeline on your credit repair process:

What You Need to Do

Estimated Time

Download your credit reports

30 minutes

Review these credit reports for any errors

1 to 2 hours, depending on your expertise on credit reports

Create dispute letter and accumulate documentation

A couple of hours to a week, depending on the discrepancies 

Wait for a response

Up to a month per dispute

Total time

1 to 6 months, depending on the total number of disputes

How To Maintain Good Credit

Once you have repaired your credit, you need to maintain it. Here are some great tips to do just that:

  • Review your credit reports regularly for errors.
  • Pay bills on time (this is vitally important). If you cannot pay, call your creditor and negotiate a new agreement that you can afford.
  • Don't overspend.
  • Reduce the balances of all your credit cards to less than 20 percent of their limits if at all possible.
  • Don't apply for too much credit at once because this will make you look desperate.
  • Consider a secured credit card. If you have the cash, you can put it into a savings account and then use that money as collateral to get a credit card through your bank or credit union.

Achieve Credit Repair Fast with Kovo

If you want to repair bad credit fast, you need the right guidance. Kovo provides financial wellness education that will equip you with the knowledge you need to make smart financial decisions. Our goal is to help you achieve financial success and freedom.

With Kovo, you'll quickly start to see results and your credit score will improve very quickly. If you're looking for someone to help you repair credit fast, contact us today.