Having a poor credit history can make life very difficult indeed. Bad credit can prevent you from renting a property, buying a new car, and can even stop you from getting a job. However, there are ways to improve your credit rating, even if your credit is particularly bad. Read on to discover how you can make money to pay off your debts and get back in the black sooner than you think.
Stop Spending
This is a piece of extremely obvious, yet seldom taken advice. Over-spending is what got you into this mess in the first place, and so it needs to stop now. Be realistic about what you need in your life and be prepared to change where you shop and what you buy. Saving here and there on groceries and everyday items soon add up, and the cents you save on food and cleaning products will soon turn into dollars. Rethink your current spending habits and change the things you took for granted. It could mean taking sandwiches to work instead of going out for lunch and skipping that morning coffee on the way to the office. If you must have your morning caffeine hit, invest in a thermos and make your own at home.
Use Rewards Cards
One of the major annoyances of people with bad credit is that they can no longer take advantage of rewards cards that require you to have good credit. However, there is good news as there are some rewards schemes that accept users with bad credit. Bad credit gas cards are perhaps one of the most useful rewards schemes, with users receiving cash back when using the cards to purchase gas. The amount of cashback awarded can differ depending on the type of card used, and you can even apply for bad credit gas cards that can be used at assorted gas stations, rather than at brand-specific stations.
Have A Clear Out
Most of us have stuff we hang on to but don’t need anymore. Turn your unwanted items into cash by selling them online. Take the opportunity to clear out your home by selling clothes, ornaments, CDs, DVDs, old toys and games, and even shoes, via an online selling site. Save money on postage and packaging by listing items on local selling sites and by insisting larger items are collected rather than delivered. Be careful to list your items on sites that don’t charge commission, so you make the most money possible with each transaction.
Ask For A Pay Rise
If you have been in your employment for some time, and are genuinely good at your job, you should expect to be rewarded for your hard work. A pay rise could help pay off debts and put you in a more comfortable financial situation. However, in order to be considered for an increase in your wage, your employer needs to know why you should be paid more than before. Be prepared, and list all the improvements you have made at work, the clients you have secured, and any other actions you have taken that are above and beyond your person specification. Request a meeting with your boss, rather than just trying to catch them at a free moment. If your request for a pay increase is denied, don’t be disheartened. Instead, ask what you can do in the next few months to secure a pay rise, and ask that this be put in writing. You may be surprised to learn that people with the same job as you may be receiving a larger salary, and so it is worthwhile doing your research. If you do discover that someone with the same workload as you is being paid more, calmly and professionally ask your employer why this is. You will need to be confident that you are a valuable member of the company to request a pay increase, and any knock-back should be met politely. However, don’t be afraid to ask the question, as you could well be surprised by the results!
Work From Home
Finding another job alongside your main employment may be difficult to do if you have a family to care for but working from home could provide the ideal solution. Not only is it convenient to work from home, but you will also not spend any money on gas or public transport fares as you don’t need to commute. There are several types of paid jobs you can do from home, such as answering surveys, writing content, or even being an online tutor. Research online for the appropriate agencies and submit your CV or experience to be considered for each post. Answering surveys does not require any particular qualifications, but you may need to be prepared to answer several before you receive any payment. Writing content can be a difficult job to obtain, but if you write your own blog, you could attract many visitors, which in turn will attract companies that want to advertise on your site. To be an online tutor you will be expected to be experienced in your field, but if you have the relevant experience and qualifications, you could earn a great deal of money.
Build Your Credit
Ironically, you could have a poor credit score because you have never used a credit card! You can build your credit by having a credit card, using it frugally, and paying off the full amount on time. Doing so will register you as being a responsible spender and also as being reliable as you make all payments in full and on time. If you have bad credit from previous overspending or non-payment of credit card bills and other debts, build your credit by using a credit card specifically for people with bad credit. There are many different types of these cards available with some requiring a deposit, and others not. Research the best card for your circumstances carefully before committing to a card. By building your credit in this way, you will be more likely to be able to make purchases on credit in future but remember always to pay back the full amount required on time to avoid falling into bad credit again. A good credit record is important if you wish to start your own business and is, therefore, an excellent way to make sure you can make money in the future.
