So last year, I really messed up with my credit cards as I got diagnosed with an illness and lost my job missing several payments from February 2009 to July 2009. I have 3 credits with Visa (3 different banks). Unfortunately, they all had their credit limit revoked to 0 some time between May to July 2009. They are closed and I would need to reapply. The balance on them is approximately $800 each (so total of $2400ish). The interest is around 19% on each.
My situation improved slightly in july/august, so for the last 6-7 months. I was paying above the minimum each month (around $30-$35/month).
I would like to improve my credit rating. I was wondering if someone could please tell me what the best strategy would be.
1) Should I keep paying above minimum to change my "bad" credit history to good?
2) Should I reduce 1, 2 or 3 cards to below 30%-50% of the balance, than keep making above minimum payments?
3) Should I pay in full 1, 2, or 3 cards and reapply for new ones to build credit?
4) Any suggestions Appreciated.
If someone could please advise me what the best thing/strategy would be do to approve my credit rating, it would be greatly appreciated.