Bad credit is something that practically every person will face at some time in their life. It does not mean that you have to settle for a bad credit report or be plagued by the problems it brings. There are many things that you can do as a consumer that will allow you to repair your bad credit, including credit report settlement of debt. When a consumer reaches a point where their credit card debt becomes unmanageable, they are behind on payments, but they wish to avoid bankruptcy, settlement of credit report consumer debt is the way out. This can be accomplished by contacting the creditors found on the credit report, and asking them to reduce the amount due to a manageable figure. Telling them that you are doing this as a one time pay-off of the account will usually encourage them to arrive at a figure you can afford, which is typically about 40-50% of what is owed. The payment is then made to the creditor and the entry on the credit report is listed as 'Settled in Full'. While this is not the best line entry to have on your credit report, it is favorable as compared to bankruptcy, and it reflects a paid account that then begins losing its damaging effects, as compared to an open and continually late account. One of the next steps of course is to rebuild your credit. One quick way is to make sure that you make all of your payments on time for your purchases with other creditors. While this may seem redundant and simple, it is the easiest way to regain your credit standing. Another way that you can repair your bad credit is by purchasing one item that you can afford and pay it off with credit. Following a credit report settlement, you may need to accomplish this by using a secured credit card, however many companies will sell items to people even with bad credit. By making your monthly payments consistently on time, you gradually increase your credit score every month and continue on the road to recovery of your credit report. Once the item is paid off, you can do it again with another purchase and start the whole process over. This tip may take awhile but it does leave your credit report looking good rather than having a bunch of negative listings from companies on your report. It is just another way to repair bad credit yourself without having to spend a ton of money on companies who do this for you, or face the dreaded bankruptcy.