Cut Up and Cancel Unused Credit Cards
If you think your credit rating is OK because you have lots of credit cards and no money owing on them, think again. Even if you do not use your credit cards, your credit card limit is considered to be the potential amount of credit debt you could have. So, if you have 5 credit cards, each with a $10,000 limit, this is potentially $50,000 debt you could incur. You could be a credit risk without even knowing it.
Reduce your credit risk by canceling credit cards that you do not need or use. Do not just cut the cards up, as this does not show on your credit rating. Cut the cards up AND cancel the cards with the credit card company.
You are allowed to get a free credit check report once a year. Make use of this to check the information that is listed. More often than not, incorrect information will be on your file. Follow all recommended steps to correcting your credit card history. You may have to provide proof of what you are saying; you may simply just have to write a letter. Follow the instructions and make sure your credit rating is correct.