A Case Study

Sarah , a 32-year-old marketing professional, found herself with a credit score of 580 due to past financial difficulties. Her goal was to improve her credit score to qualify for a mortgage within 12 months.

Step 1: Credit Report Analysis

• Obtained free credit reports from all three major bureaus
• Identified issues: Two late payments on a credit card One account in collections High credit utilization (85%)

Step 2: Dispute Inaccuracies

• Disputed the collection account, which was found to be erroneously reported
• Result: Collection account removed, increasing score by 30 points

Step 3: Negotiate with Creditors

• Contacted credit card company about late payments
• Secured a "goodwill adjustment" removing one late payment
• Result: Further 20-point increase in credit score

Step 4: Implement Positive Credit Habits

• Set up automatic payments for all accounts
• Reduced credit utilization to below 30% by: Paying down balances Requesting credit limit increases
• Result: 50-point increase over three months

Step 5: Add Positive Credit History

• Became an authorized user on a family member's long-standing, well-managed credit card
• Opened a secured credit card and maintained perfect payment history
• Result: 40-point increase over six months

Outcome

After 10 months:

• Sarah's credit score improved from 580 to 720
• She qualified for a mortgage with favorable terms
• Continued good habits for long-term credit health

Key Takeaways

1. Regular credit monitoring is crucial
2. Disputing inaccuracies can have significant impact
3. Negotiation with creditors can yield positive results
4. Consistent positive habits drive long-term improvement
5. Strategic addition of new credit can accelerate progress

At Kenstone Capital, we specialize in helping you eliminate negative items from your credit report, giving you a fresh start and improving your credit score.

Visit - www.kenstonecapital.in

Call - +91 96633 96610