*Loan,banking and credit>>>credit score

Credit score took a dip, so how do i get it back up?

my credit score took a hit when i had a collections agency track me down for a lost bill that was forgotten about after a move. i was late on a payment for a card too. how can i make a comeback? i want to get my credit over 700, since i would like to buy my first home in about 2 years. i already have a credit card that i make monthly payments on as well as college loans (in deferment being that i am in graduate school now). what to do now? do i have enough time to get the score up so i dont get screwed when buying a home in the future?

Repairing the credit score is not that difficult provided you take these 5 simple steps into consideration.

1. Check your credit report regularly

This is a must to ensure that you know your current credit score, and what is ailing it. If there are any inconsistencies in your credit report get them corrected. Keeping bills of all the transactions you make can be very handy and helpful in correcting any errors in your credit report.

2. Get rid of those extra credit cards

The temptations to own a new credit card are so numerous in modern times that many of us end up with a purse-full of them without any real need. They stay there and cause a lot of problems in repayment. The confusion that comes with too many credit cards can easy lead to a missed payment and resulting penalties. Frequent defaults will reflect poorly on your credit score. So, keep only the necessary and discard the rest.

3. Repay on time

Every credit card transaction is a loan that has to be repaid on time with interest. Don't ever miss out on any repayment. If you are not able to make full payments, make half, or even the monthly minimum, but don't default. This will keep you in the good books of credit card company and help your credit score. If you are not able to pay anything to the credit card company, don't shy away from them, call them, explain your problem and work out things so that a negative report doesn't land up with the credit reporting agencies.

4. Keep your debt to balance ratio low

A low ratio means that you are repaying on time. This factor has carries a lot of weight while determining your credit score. A low debt to balance ratio goes in your favor while it hurts your credit report badly when this ratio is high. The high ratio says that you are not able to manage your finances well, borrow more than you can afford, and the repayment is not up to the mark-- in short a good candidate to accumulate a lot of credit card debt. Always, avoid giving this impression to the credit card companies. Read more from: http://www.credit-card-gallery.com/artic...

You should just make sure that you don't take on more debt than you can afford. Avoid applying for new credit cards -- that will count against you -- and be sure to make all of your payments ahead of time. That should get you in good shape to apply for a mortgage loan, if not in two years, at least in five.
don't miss any payments pay on time recheck in 6 months don't open any new accounts, try to reduce any current debt
You cannot have late payments. You need at least two years of consistent, on time payments.

Pay the credit card off in full every month. Don't carry a balance.

If you want to buy a house, start saving for a downpayment.
To find out specifically what you must do to raise your score, you can order your score report from all three national credit bureaus. In addition to your scoreyou still have to pay to find out your credit score, the three-digit number ranging from 300 to 850 that is the key to your borrowing costs.