Can you build credit score despite having a lien?
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I have a lien on my credit report for 5 months now, and everything I do to build credit doesn’t help. Can you build credit score despite having a lien on your credit report? Any suggestions?
You certainly can, and you should!
A lien is a serious derogatory item, and I’m sure that right now it’s dragging your score down. The ONLY way to improve your credit score is to reestablish good credit.
Keep in mind, though that reestablishing credit takes time. About 2 years to be exact.
FICO score is time dependant. More than 70% of your score is determined by information from the last two years.
As time passes, the adverse influence of negative items diminishes, while on the other hand the good influence of timely payments increases. After two years that lien will have a minor effect on your FICO.
To sum it up: continue making timely payments. Never be late. Keep utilization low and everything will turn out o.k.
A lien on the credit report will surely drop your credit score. There is no way to fix your credit score quickly. But certainly, you can adopt some strategies.
One is, you can repay your credit card bill and other utility bills paid on time.
Second is, apply for a new credit card account when there is actually any need from your side.
For now, apply these 2 strategies.
And the third option is to repay whatever is due on your old debt.
You can remain purely tension-free.
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