Getting credit in this economy is still very difficult to do.  This can be especially true for those consumers how have less than perfect credit and may be seen a bigger risk by banks and credit card companies.  In order to get the credit that you need at a rate you can afford, it is important to maintain your credit score and make sure that it is as high as possible.  However, if you were recently denied credit due to a lower score, there may still be some steps which you can take in order to get the credit flowing in your direction again.

 

When you apply for credit or for a loan and are denied, you will be sent a letter listing the reasons why your application was not accepted.  In addition, you will automatically be eligible to get a free copy of your credit report if you were denied because of your overall credit score.  This will be true even if you have already received your one free credit report that all Americans are entitled to every twelve months.  If you are denied for a poor overall score, be sure to request your free credit report within sixty days of receiving the notice.  If the reason listed on the letter is wrong such as highlighting a delinquent account which is not yours, be sure to contact the issuer and the credit bureaus immediately for an explanation.

 

If you find that there has been a mistake on your credit report and this is the reason for being declined, it must be fixed immediately.  You can do this by writing a letter to all three credit bureaus and including any documentation you have in order to support your claim.  The credit bureau will then have to investigate your claim within a month of receiving your letter.  Once the mistake has been fixed, be sure to insist that the revised version of your credit report has been sent to any company which has recently pulled your credit.  This will not happen automatically, so you must take this step yourself.

 

If you have found that you have been denied credit, you will also want to get a handle on the credit that you do have.  If you have fallen behind in bills due to being laid off or some other hardship, you will want to call your creditors and explain your situation.  You may be able to work out a payment agreement or get your APR lowered so it will be easier to pay off what you owe.  It is best, however, if you do this as soon as possible when you realize that you are having financial issues in order to give yourself a better chance of working out a settlement.

 

When you are denied credit over lack or credit or credit problems in the past, you can also begin to rebuild your financial footing by getting a secured credit card  This card works just like a regular card, but it is backed by money that you have put down which is also your credit limit.  Another idea is to be added to someone else’s account as an authorized user.  Of course, this other person will need to pay their own bills on time and be willing to help you out.  As a result, be very cautious about what you spend in order to not harm the other person’s good credit standing.

 

Finally, be sure to stay on top of your credit card statements when they arrive.  Banks and other lenders will sometimes try to shorten grace periods, raise interest rates and implement new fees.  If you do not take the time to read over your statement, you may wind up paying too much on a monthly basis and find yourself falling further and further behind.