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1.) Keep your existing lines of credit at 30% of their balance. So if you have a credit card at $10,000 limit, don't go over $3,000.
2.) When you pay stuff off, don't close the credit card. The length of time a credit line has been open is also an important factor.
3.) If you don't have credit yet, get a credit card. Start with a prepayed card from a credit union or a gas card, prepay $300 and use only 30% of that or less each month. Pay it off on time every month.
4.) If you have a family member with good credit, get added on to one of their exisiting credit cards as an authorized user. This should give you a quick bump as their credit becomes your credit.
5.) The type of credit you have is also important. Certain credit lines like real estate have more weight to them that things like a Nebraska Furniture Mart line.
6.) Judgments (like old unpaid cell phone bills, etc.) are like lead weights on a balloon. pay them off. Unless they are really old, like 4-5 years then paying them may make them start reporting again. You should probably pay them eventually too, but for the purpose of credit repair it may end up hurting more in the short term paying off the really old ones.
7.) Pay your bills....on time...every time.
Those are just some of the basics. Credit 'repair' companies usually do a combination of these activities. Credit repair is a matter of showing people you can manage money correctly. Keep your balances low, pay your bills, don't get judgments and if you do pay them off, handle large responsibilities like homeownership, etc. etc. etc.
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