The three national credit-reporting agencies — Transunion, Experian and Equifax recently announced that they will be removing most tax-lien and civil-judgment data from credit reports, starting around July 1st. As a result, nearly 12 million people who have these types of dings on their records could see their credit scores increase by about 20 points.
This independent move comes two years after the agencies agreed to a broad settlement, under which they must facilitate the quick removal of errors. Given the wide use of credit information, it is imperative that it is correct. Go to annual-credit-report-dot-com to review your information and verify its accuracy. If you discover an error, you should immediately contact one of the agencies and provide back-up documentation to support the claim.
In addition to correcting errors on your record, the single largest factor in boosting your credit score or maintaining an already high one, is to pay your bills on time. According to FICO, the largest provider of credit scores, 96 percent of people with excellent credit defined as above 800 out of potential 850 pay their bills on time. Remember that most lenders will not report a late payment until you are 30 days late, so theres a little leeway