Because of the economic crisis, many people have bad credit. By following these steps you will be able to repair your credit easily and swiftly.

First, look over your credit report and determine what credit score you have. There are a lot of websites out there that offer credit reports, some even for free. Learning what your credit report says can help you prioritize the steps needed to improve your score.

The first step is to speak with creditors to find out if you can pay a little at a time. If you can determine which accounts must be immediately paid off, you can possibly avoid paying hefty penalties and interest. Do your best to find at least two of your creditors that will give you flexibility of time payments so that you can focus the money saved to other accounts that will not offer this service.

Identifying poor entries on your credit report is crucial. Sometimes a credit report can include mistakes. Make sure that if this is the case you contact the companies where the negative information came from.

Know your legal rights before you try to deal with the collection agencies. Regardless of what the collection agency says, you can't be arrested for debt alone. Inform the agency that it is breaking the law by threatening you in this manner. No state has the same laws on the books, but most offer protection against creditor harassment. When you know the laws and what rights you have, you cannot be taken advantage of by creditors.

Keep your credit card balances below 30 percent of your credit limit. This guarantees a more reasonable monthly payment, which ultimately protects your personal finances.

It's better to speak with collection agencies and try to create a reasonable repayment plan instead of trying to ignore them. In many cases, taking the time to explain your financial situation is all that it takes for a collection agency to restructure your debt, arrange affordable payments or reduce the amount you owe. If you make a concerted effort to pay all of your accounts, this will also help to prevent extra fees from accruing.

These tips can assist you in being on top of your credit portfolio. With just a few months of putting these tips to use, your credit score will certainly rise.