August 14, 2008...9:04 pm

I improved my credit score by 200 points!

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How does that song go? We are the champions, we are the champions, no time for losing, because we are the champions….

Seriously, I feel as though this is one of the greatest accomplishments of my life. I tackled an incredibly confusing system, a system that makes me feel completely powerless, and I won!

How did I do it?

  1. I went to www.annualcreditreport.com, the site set up by the three big credit rating agencies to provide a free yearly credit report to consumers.
  2. The first time I did it, about a year and a half ago, it was a huge pain — for some security reason, they wouldn’t give me my credit report online, and I had to mail in documentation and get my report by mail. But after I did that once, it was easy to access my report online.
  3. I found about eight errors. I reported the errors on the website, and TransUnion fixed them. It was surprisingly easy; I thought I was going to have to fight to get the errors fixed.
  4. I checked my credit score (that’s not free, but it costs less than $10), and found that it was dismal. I don’t remember the exact number, but it was somewhere in the 500s or 600s — in the 35th percentile. How pathetic is that?
  5. I learned, by looking at my credit report, that I had an unpaid $150 electric bill from two years earlier, thanks to a deadbeat roommate who failed to pay a bill once I moved out. I paid the bill. There was also a $40 late payment to Victoria’s Secret, because I had just forgotten to pay a bill.
  6. I called Con Ed and Victoria’s Secret and asked them, very nicely, to take the missed payments off my credit report. They agreed.
  7. I checked my credit report again today. I now have a credit score of 845, which TransUnion rates a “B.”

HOORAY FOR ME! I should get a gold medal in the personal finance Olympics.

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