The best tools for credit repair are to stop, think and listen.

If you are in debt, you should stop and think about your situation and keep an eye on the activities on your credit report.
Let’s examine the disadvantages and advantages available to you as a debtor. Let’s take a look at what can happen when you have bad credit, as well as what you can do to protect yourself from creditors and collection agencies. If you are obligated to pay child support, college tuition, income tax, the IRS can take your money. This means that each year you miss the default payments, the IRS will deduct your total tax refund to pay the debt.
The IRS is required to contact you before deducting any fees from your tax refund. If you fail to make payments on insurance policies and you have conditions stipulated in that policy, you may risk losing your property. If you have delinquent utility bills, by law, (in most states) utility providers cannot reduce your heat during the particular months stated in the law, regardless of non-payment. Most states are required to send you a written notice before they can disconnect your service.
This will give you time to find the funds to pay your utilities. Also, some insurance policies will allow you a grace period for your insurance. Whenever you have time, it’s time to stop, think, and listen. If you take the time to review your bills and funds and come to the conclusion that you don’t have enough to pay the full amount of the bill, you may be able to temporarily walk away with a minimum balance.
Paying something toward your bill is better than avoiding your obligations. Another point to keep in mind is that when creditors cancel a debt, you may have to pay taxes on the bill. Once a creditor writes off a debt, it is sent to the IRS for review and, if you so choose, you will still pay that bill at the end of the year.
So, the best option is that when you receive the first letter in the mail asking you to pay your bill, you should write to the lender or creditor and politely explain your situation and request an extension of payments. The truth is that most creditors who lend or extend your credit expect you to be a repeat customer and only suffer temporarily.
If you can keep creditors on your side, this is your best solution to avoid complications Another suggestion is to send minimum payments on current past invoices. Your next bill will be abrupt, but if you keep sending minimum payments until you get caught, your name won’t show up with a credit bureau. If creditors recommend that you send payment immediately to avoid inconvenience, ignore the creditor.
The creditor does nothing more than adding more charges to your debt. If you have a bill and have money to make the payment, inform the creditor that you will send the money by regular mail immediately. Don’t waste money on services that will charge you to send a bill. If you contact creditors and they simply deny you the opportunity to extend your debt or request proof of your situation, it is time to contact a debt counselor. The debt counselor will work on your behalf to resolve the problem.
Do not argue or use foul language when addressing your debts, as this will only add to the problems. If you have a bill, longer than the time allowed for payment, you mustn’t contact creditors or collection agencies.
This only lets the agencies know that you realize you owe the debt. By acknowledging, the debt will open up new debt. Collection agencies and creditors pose a threat to millions of people every day, so the key to solving the problem is to find a solution to the problem. Stop, think and listen before you act.