I'm (Daria here) sick and tired of people telling you a bad credit rating is something you can't overcome. "Don't bother," they said, "it's not worth it."

Baloney! It is possible to overcome a bad credit history. So you've gone off the good credit track - it happens. The important thing is you take a few simple steps today to get your credit rating back on the right track. I've put together a simple, four-step plan for rebuilding your credit. If you have already recently checked your credit report, you can skip ahead to step two!

Step One: Check your credit report once a year. You can get a copy of your report from Equifax or TransUnion. If you find any mistakes, report them immediately following the instructions on the last page of your report.

Step Two: Put positive credit information in front of the bad. Prevent any new red marks from showing up on your credit report from now on. Make sure you're not behind on any payments today.

In addition, get an American Express, Visa, MasterCard, or Discover card and keep on top of your payments. If you can't get approved for one of these cards, try a secured credit card.

Straight Talk Tip: Before you sign up for a "secured" card, make sure the card issuer will report your credit information to the major credit bureaus. And don't bother with gasoline cards or small bank loans. These lines of credit aren't usually reported to credit bureaus (unless, of course, you don't pay up.)

Step Three: Try to clean up old credit blemishes. Credit bureaus can keep accurate credit information on your credit report for up to seven years. But they only report the information creditors give them. So try to negotiate with the creditor who reported the information to have it removed from your record.

For example, if you have a Visa card on which you were late on a payment or two in the past, but are all paid up now, call Visa and ask them to delete the late payment information. Creditors may also be willing to negotiate if you have unpaid debts that you can now pay off.

Step Four: If you think information on your credit report is wrong and have tried to get it corrected but can't, put a letter of explanation in your credit file. This letter must be given to anyone who looks at your credit report. To have the greatest impact, make your letter brief, unemotional and factual.

You can also request - and the credit bureau must comply - to have the word "disputed" listed next to any item on your report with which you disagree.

One last word about credit clean-up: Avoid for-profit credit repair clinics and seminars. They cost you big money and at best give you the same results you'll get using the steps listed above - which won't cost you a thing! (At worst, they take your money and do nothing to help you.) Check out www.NFCC.org for more.

For more information, check out our article Everything You Should Know About Your Credit Rating.