How do you fix bad credit history?
Matthew Harrington
Updated on February 07, 2026
Below are eight steps you can take to fix your bad credit.
- Get your credit report.
- Check your credit report for errors.
- Dispute errors in your report.
- Pay late or past-due accounts.
- Increase your credit limits.
- Pay off high-interest, new credit accounts first.
- Open a new credit card.
- Pay balances on time.
What is considered bad credit history?
A person is considered to have bad credit if they have a history of not paying their bills on time or owe too much money. Bad credit is often reflected as a low credit score, typically under 580 on a scale of 300 to 850. People with bad credit will find it harder to get a loan or obtain a credit card.
How long does it take to fix bad credit history?
In general, credit repair takes about three to six months to resolve all of the disputes that the average consumer needs to make. Of course, if you only have a few mistakes to correct or you repair your credit every year, it may not take as long; you might be done in just over one month.
Why is credit a bad thing?
Using credit cards and not paying them off monthly can be detrimental to your credit. The major downsides of using credit when you don’t have the cash to pay it off later—besides the high-cost interest—includes hurting your credit, straining relationships with family and friends, and ultimately bankruptcy.
How does having a bad credit score affect you?
How Can Having Bad Credit Hurt You? Having a poor credit history or a low credit score can seriously impact you financially. One thing that can happen is you could be denied a line of credit. A low credit score indicates to lenders that you are a high-risk borrower and they may not be willing to lend you money.
What happens if you have no credit history?
Conversely, if you have never borrowed, which is especially true of younger people, then you will not have much credit history meaning your score will be lower. It may even be that the credit reference agency can’t generate a score for you at all in this case.
How long does bad credit stay on your credit report?
How long does bad credit last? It all depends on what kind of bad credit it is. Your repayment history information stays on your report for two years. Credit enquiries, payment defaults, overdue accounts, and court judgements will stay on your report for five years.
What should I do if I have a bad credit history?
A lot of new credit hurts your credit history. Do not close older credit cards. Having credit for a longer time helps your rating. After six to nine months of this, check your credit report again. You can use one of your free reports from Annual Credit Report.
