Welcome back! If you are reading or listening to this, then you most likely have joined the facebook group and became a wealth builder.

Did you know this entire challenge is just one portion of my How To Fix Your Credit – DIY Program? Yup! I’m going to show you what’s possible if you had the right information! 

Also, you have just survived the hardest thing about improving credit and becoming financially successful.

 That’s writing down your financial goals in a structured fashion .

The 2nd hardest thing is executing, but I got you covered over the next week or so.

Let’s get into some basics.

I’ve helped thousands of people improve their credit to buy homes, cars and start businesses and I can tell you with confidence that the moment I taught them the basics they started making progress.

Knowledge plus written goals plus deliberate and specific execution towards those goals will equal success!

So what is credit and why do you need it?

Credit merely is your privilege to borrow money and repay it at a future date!

You may decide to repay the money in full or over time also known as installments, but credit may or may not involve paying interest.

Let me give you an example of credit!

Let’s say you accidentally left your wallet at home and borrowed $10 from a coworker so you can not pass out from not eating all day.

Naturally, you promise to pay him back the next day. Guess what you just used?


You used your name and stellar track record of returning the stapler to borrow $10 for food.

Your amazing stapler return track record was what allowed you to borrow ten bucks in your time of crisis.

You probably will not pay interest on this ten dollar loan, but you will keep your word and pay them back the next day or buy them lunch. Whatever terms you worked out.

Now, this is an oversimplified example of what credit is, but you use “credit” every day when you ask someone to do a favor.

My wife hits me with the line:

Babe, can you do me a favor?

at least two times per week, that’s her using credit.

However, I always chuckle a bit when someone says they don’t need credit.

Maybe not today, perhaps not next week, but you will need it.

Take a second to imagine your life without credit. Think about it…

You tell me. How long will it take you to achieve your goals?

How long will it take you to save up and pay in cash for the three bedrooms and two bath dream home in your favorite part of town?

How long will it take you to save up and pay in cash your next car?

The impact on your quality of life could be enormous!

The fact is we all need credit, and our credit impacts us even if we aren’t planning to use it anytime soon!

A few things that requires credit
Do you want insurance? Your credit will be checked! Do you want a job? Your credit will be checked! Do you want a home? Your credit will be checked! You want a car (and spending over 10k) your credit will be checked! (It’s the law).

Let’s talk about the credit report for a second.

Your credit score is three digit number which represents how good you are at returning lunch money aka paying back and managing loans. Officially it’s a statistical metric to determine your likelihood of default within a 90 day period.

To put it another way, it’s a byproduct of your financial behavior.

The good news is you have way more control over your credit score than you think.

I’ll explain why shortly and how in a later lesson.

However, there are three major credit reporting agencies.

That is Experian, TransUnion, and Equifax and guess what they all will provide you a different credit score.

The reason your credit scores will vary from credit bureau to credit bureau is that some of your creditors choose to report to one credit bureau instead of all 3.

Here is the thing.. Even if you get your credit score directly from the credit bureaus it’s not the actual score.

Crazy huh? That’s why it’s more important to know what is on your credit report vs the actual score.

Why? The information on the credit report is what makes up the score!

However, the credit report is created by the data within each credit bureau.

So, if we ensure the credit bureaus only have accurate and positive data, we can guarantee an excellent credit score.

Regardless of where you obtain your credit score!

Let’s talk about your credit score for a second…

The most popular and used credit score algorithm is by FICO.

Generally, the FICO model has a credit scale ranging from 300-850, and you can gain 550 points.

35% of your score is paying on time
30% of your score is total utilization or amounts owed
15% of your score is how long you had credit
10% of your score is types of credit
10% of your score is new credit or inquiries

Let’s break that down even more. If you can gain or lose 550 points.

192.50 points of your score is paying on time
165 points of your score is total utilization or amounts owed
82.50 points of your score is how long you had credit
55 points of your score is types of credit
55 points of your score is new credit or inquiries

When you break it down from percentages to points, you can easily see it’s not rocket science!

I’m even going to dedicate the entire next week to show you how to maximize your points in each category and if you stay until the end of this challenge you will learn how to increase your credit score by 100+ points within a very short period.

With that said, you have control over your credit score.

There is a saying in the financial community.

If you have bad credit you worked hard to get it!

I think it should be…

If you have bad credit after speaking with Dom. You worked hard to get it.


Wow, we just covered. What is credit, Why you need it, The three credit bureaus, credit score ranges and how your score is calculated!

Now let’s move on to getting your credit reports.

There is a free method! (don’t do this!)

Did you know that under the FACT ACT you’re entitled to one free copy of your credit report every 12 months from each of the three credit reporting companies (Equifax, Experian, and TransUnion.). You can order online from annualcreditreport.com, the only authorized website for free credit reports, or call 1-877-322-8228. You will need to provide your name, address, social security number, and date of birth to verify your identity.

Then there is a $1 Method! (Do this!)

I like the $1 method better for the sake of time, and it’s what I will base the challenge on.

I’ve partnered with a credit monitoring giant, and they are they willing to give us all a $1 tri-merged report which includes your credit report, credit score and more details that you will need to audit your credit report properly.

The $1 report is also the type of report I use in actual credit audits for my clients.

I’m showing you how to do it yourself for free and want to show you exactly what tools a professional will use within the credit repair process.

So, I want you to get the free trial from the link below:

We will go over in detail tomorrow each report and how to analyze it.

 However, within 3 days of getting your FREE trial, just call to cancel. 

Boom you just got three credit reports and scores for $1 and can walk with me step by step through the challenge.

Once you get your credit reports let your accountability partner and the facebook group know, then I want you to take 5 minutes to look at your credit reports.

I’m going to show you how to do a professional credit report audit next, but for now just get familiar with each section.

If you have yet to choose your accountability partner just come into the facebook group and ask.

Once again, you can find the group by clicking the link within this post – or by searching Facebook for “Wealth Builders: YourFinancesSimplified.”

There are tons of wealth builders ready to help you achieve your goals inside the group.

Before you leave, can you do me a favor?

I want to make sure everyone that you know and love that needs help with their finances receives it…for free.

Here’s how you can help!

On your social media profiles (FB, Twitter, IG, etc.) create a post saying:

I’m taking the FREE 14 day How To Fix Your Credit Challenge by @YourFinancesSimplified. Join me by signing up at YFSCredit.com.

Oh before I forget. Follow my social media pages! Just click the link below

See you tomorrow!