Given the current state of our economy, it is common for Americans to have credit problems. Fixing your credit in a timely fashion will concern those with a just a few or a lot of issues to repair.

First, you want to check your credit report and get your credit score. Lots of sites online will let you do this and many will even do it for free the first time. Identifying the current state of your credit should be your first step. It will help you to figure out what steps must be taken to repair it.

You should make an effort to reach out to your creditors in order to reach a quick resolution. If you can work out a repayment plan, you can save a lot of money on interest and penalties. First, pay off debts that have no flexibility.

Write down any negative findings in your credit report. This list will prove invaluable later. There can be errors on your credit report, and you should know about them. Get in touch with the agencies that gave you a bad mark on your report to get these errors straightened out.

Know your rights when it comes to debt collectors. It is prohibited for collection agencies to threaten you, and you will not go to jail for not settling your debts. Laws vary from state-to-state, so make sure to check your state's regulations. Do not let these collection agencies intimidate you.

Your credit card balance should be below 30 percent. Your payments will be manageable by using this formula. Should your balances go over 30 percent, your financial situation could be in trouble.

Although you may be tempted to hide out and avoid collections agencies, it is much smarter to contact them and set up a payment arrangement instead. If you are honest with them and tell them why you are not able to make your payments, debt collectors will help you restructure your debt and can come up with payment options to reduce your bills or monthly payments. This also reduces the likelihood that you'll have to pay lots of penalty fees.

Following the guidelines above will help you stay on top of your credit profile. These are steps that you can take on your own to begin the process of improving your credit right away.