False - Just one inquiry can lower your score up to 12 points! To minimize the number of inquiries on your credit report:

• Shop for credit before you shop for a car or mortgage. Talk to a mortgage loan officer or the finance manager at the car lot about their lending guidelines before you actually apply. Don't give them authorization to pull your credit until you are reasonably sure you'll be approved.

• Shop for a mortgage or auto loan during a 14-day period so the inquiries will only count as one credit pull. Don't pick out a house or car until you're approved!

• Don't apply for new credit unless you absolutely need it.

2. If I pay a charge off or collection, it will show "paid" on my credit report and will no longer be negative.

False - Sometimes your credit score can actually go down if you pay an old collection account, and whether paid or unpaid, a collection will be a negative item on your credit report.

3. A bankruptcy can be reported on my credit report for:

10 years from the date I filed. All other negative items, including collections, judgments, liens and charge-offs, can remain on your credit report for seven years.

4. Which three items CANNOT be included in a bankruptcy?

You cannot file bankruptcy on child support, back taxes or student loans.

5. A credit reporting agency has how long to investigate a disputed item?

Credit reporting agencies legally have 30 days to investigate a disputed item. Unfortunately, they occasionally use stall tactics to buy more time. Generally, you should give the burueau about 45 days before inquiring about a disputed item.

6. The three nationwide consumer credit reporting agencies are:

Experian, TransUnion & Equifax

7. The national average consumer credit score is

670-690 - The current national average credit score is 678.

8. I can repair my credit quicker if I send my bankruptcy papers or paid receipts to the credit reporting agencies.

False - Sending your bankruptcy papers to the credit bureau will only verify the negative items on your report. It is illegal to lie or give false information to repair your credit, but don't help the bureaus do their jobs. Your best bet is to dispute the negative items, even if they were in your bankruptcy.

9. I can do everything myself that a credit repair agency can do to clean up my credit.

True - Credit repair agencies don't have any magic tricks to miraculously clean up your credit. They do, however, offer experience and knowledge that can greatly increase your chances of success.

10. It is illegal to dispute a negative, but accurate trade line on my credit report.

False - The Fair Credit Reporting Act (FCRA) states that you have the right to dispute any negative item on your credit profile.