Credit Rating: 7 Methods to Persuade Credit Rating Agencies
Posted in Reason on 04/24/2010 05:14 am by
Archive for April, 2010
Absolutely Free Credit Report – What it Can Do For You
Posted in Finance on 04/21/2010 01:29 pm by
Benjamin Robert Ehinger asked:
Do you know your credit situation? There are many people that go to get a loan or another type of financing and they have absolutely no clue what their credit looks like. They have never seen it and do not understand why they have been turned down for a loan or other type of financing. This is something that you should never let happen to you especially since you can get an absolutely free credit report once a year. Here is what you need to know.
First, you need to make sure there are no mistakes on your credit that are costing you points. If you find mistakes you can dispute those mistakes through the credit bureau by writing them a letter. This will force the creditor to either correct the error or not respond and if they do not respond that debt comes off your credit anyway. This is a great way to make sure you have the best chance of getting the financing you are after.
Second, understand your credit gives you a leg up when you go in for a loan. They are going to base your loan amount and terms on your credit and your income primarily. Knowing that you have a specific credit score will help you know what type of lender you are going to need and why type of interest rate you will most likely qualify for. This is very helpful so that you know what to expect when trying to get a loan.
Last, getting an absolutely free credit report once a year will help you know if someone has stolen your identity. If there are debts that are not yours on your credit, then you probably had a case of stolen identity and you need to get to work on getting it taken care of. This will involve the police, FBI, and other organizations you probably do not want to deal with. You are better off checking your credit once every 3 months to make sure you are still in good shape.
Jeremy
Do you know your credit situation? There are many people that go to get a loan or another type of financing and they have absolutely no clue what their credit looks like. They have never seen it and do not understand why they have been turned down for a loan or other type of financing. This is something that you should never let happen to you especially since you can get an absolutely free credit report once a year. Here is what you need to know.
First, you need to make sure there are no mistakes on your credit that are costing you points. If you find mistakes you can dispute those mistakes through the credit bureau by writing them a letter. This will force the creditor to either correct the error or not respond and if they do not respond that debt comes off your credit anyway. This is a great way to make sure you have the best chance of getting the financing you are after.
Second, understand your credit gives you a leg up when you go in for a loan. They are going to base your loan amount and terms on your credit and your income primarily. Knowing that you have a specific credit score will help you know what type of lender you are going to need and why type of interest rate you will most likely qualify for. This is very helpful so that you know what to expect when trying to get a loan.
Last, getting an absolutely free credit report once a year will help you know if someone has stolen your identity. If there are debts that are not yours on your credit, then you probably had a case of stolen identity and you need to get to work on getting it taken care of. This will involve the police, FBI, and other organizations you probably do not want to deal with. You are better off checking your credit once every 3 months to make sure you are still in good shape.
Jeremy
Understanding Your Credit
Posted in Finance on 04/20/2010 11:03 am by
Aaron Fecht asked:
Credit has become one of the most important things in our day to day life. Our credit report is in a way like a financial report card. All the finance companies we deal with on a daily basis such as the credit card companies, banks, lenders and store credit cards all report to the credit bureau on a monthly basis.
Here are a few of the things that will help better your credit. Be on time with your payments. Never miss a payment- even if you only pay the minimum amount that is ok. The important thing is to pay it. Try to pay credit cards in full as often as possible. Keep your accounts open, even if you are no longer using that particular credit card. Longevity is an important factor when it comes to good credit.
The longer an account is open, the better your score will be. Having said that, it is all these factors put together that play a role in having a good credit score. Information on your credit report can stay on there for up to ten years.
Unfortunately, not all of us have the best credit. There are two major credit bureau companies that operate in Canada, Equifax and Trans Union They score your credit according to their formulas to develop what is known as a Beacon Score
Beacon Scores usually range from 400 to 850; 400 being lowest score and 850 being the highest score. These credit ratings or Beacon Scores estimate the ability and willingness of a person to repay a debt or loan.
Repairing credit will take time and patience on your part. Having no credit is almost as bad as having bad credit. Most lenders do not approve people that have no credit history. This is because they do not want to take the risk. The good news is that you do not have bad credit. You just have to develop your credit.
Bad credit takes more time and effort to repair. The first step in repairing your credit is to get a credit report on yourself Once you obtain your credit report make sure the information on the report is in fact correct, such as your personal information, your payment history and the list of all your creditors.
Roger
Credit has become one of the most important things in our day to day life. Our credit report is in a way like a financial report card. All the finance companies we deal with on a daily basis such as the credit card companies, banks, lenders and store credit cards all report to the credit bureau on a monthly basis.
Here are a few of the things that will help better your credit. Be on time with your payments. Never miss a payment- even if you only pay the minimum amount that is ok. The important thing is to pay it. Try to pay credit cards in full as often as possible. Keep your accounts open, even if you are no longer using that particular credit card. Longevity is an important factor when it comes to good credit.
The longer an account is open, the better your score will be. Having said that, it is all these factors put together that play a role in having a good credit score. Information on your credit report can stay on there for up to ten years.
Unfortunately, not all of us have the best credit. There are two major credit bureau companies that operate in Canada, Equifax and Trans Union They score your credit according to their formulas to develop what is known as a Beacon Score
Beacon Scores usually range from 400 to 850; 400 being lowest score and 850 being the highest score. These credit ratings or Beacon Scores estimate the ability and willingness of a person to repay a debt or loan.
Repairing credit will take time and patience on your part. Having no credit is almost as bad as having bad credit. Most lenders do not approve people that have no credit history. This is because they do not want to take the risk. The good news is that you do not have bad credit. You just have to develop your credit.
Bad credit takes more time and effort to repair. The first step in repairing your credit is to get a credit report on yourself Once you obtain your credit report make sure the information on the report is in fact correct, such as your personal information, your payment history and the list of all your creditors.
Roger
Credit Cards to Rebuild Credit – 5 Methods to Get that Card
Posted in Finance on 04/18/2010 10:12 pm by
Peter Burke asked:
Study reveals that nearly 9 million people in America have problems of bad credit. This forms about 3% of the population, (over 6% of the adult population!) of the United States. So the knowing the credit history of a person is gaining ground and necessity for creditors.
The fact remains if your FICO rate is below 620, people won’t lend you any credit. This FICO score being low has various reasons like bankruptcy, excessive debts, inability of rendering payment of bills at proper time, among others.
However, there is a ray of hope! Your credit score can be improved. This can be done by maintaining your potential for credit,however small it may be and making it clear to creditors that you’re capable of paying your debts in time, without having to having to resort to more credit. To help you improve your credit there 5 basic steps below.
1. Get yourself a copy of the your credit report. Then utilize the various advantages of the credit report of the government (which is free) from every Bureau of the National Consumer Credit – Equifax and Trans-Union. This will get you to the start of the process. It will give you a clear picture of your present rating.
2. File an application for a credit line, which may be a secured or unsecured credit card.
3. On getting the card, do not make blind purchases. Restrict the purchases to 70 percent of limit imposed on the credit card. i.e. if the limit of the credit card is $500, use it to the extent of $350 only.
4. Then, make sure you pay pay bills at the proper time, as this alone takes up 35% of the FICO score of yours. So this is a good base for creditors to judge your creditworthiness.
5. So what about Prepaid cards?
You can also use a credit card that is prepaid. This often a solution that many borrowers are unaware of. This, is perhaps the simplest and most effective method for longer term improvement if you have debt discipline problems. This effectively means you will mean using a credit card to rebuild credit – a ‘win-win’ situation. Use a prepaid credit card that is reported to a Credit Bureau. Only a few of the credit cards regularly report to a credit bureau. So select one that does so, on a regular basis.
One thing to note about prepaid cards is that you must Keep a track of fees. The prepaid card companies often levy fees. Make a prior comparison with many companies in order to secure a credit card where the lowest fee is charged. Bear in mind that some fees need to be paid for credit cards that get reported to the credit bureau, which can be up to an annual fee of$100 – But remember the purpose of this card is to repair credit!
Check the benefits
Some prepaid cards are available with certain benefits, but not all of them. Some give you points which can be used for free call time and other activities.
Preventing abuse of the credit card
Prepaid cards have the distinct benefit that you can never cross the limit, so it enables you to avoid interest and penalties. The implication is that if a report to the credit bureau is made, it is literally impossible to get a FICO score which is lower than your current score with such a card. So you can get credit cards to rebuild credit. It only gets better!
Tracy
Study reveals that nearly 9 million people in America have problems of bad credit. This forms about 3% of the population, (over 6% of the adult population!) of the United States. So the knowing the credit history of a person is gaining ground and necessity for creditors.
The fact remains if your FICO rate is below 620, people won’t lend you any credit. This FICO score being low has various reasons like bankruptcy, excessive debts, inability of rendering payment of bills at proper time, among others.
However, there is a ray of hope! Your credit score can be improved. This can be done by maintaining your potential for credit,however small it may be and making it clear to creditors that you’re capable of paying your debts in time, without having to having to resort to more credit. To help you improve your credit there 5 basic steps below.
1. Get yourself a copy of the your credit report. Then utilize the various advantages of the credit report of the government (which is free) from every Bureau of the National Consumer Credit – Equifax and Trans-Union. This will get you to the start of the process. It will give you a clear picture of your present rating.
2. File an application for a credit line, which may be a secured or unsecured credit card.
3. On getting the card, do not make blind purchases. Restrict the purchases to 70 percent of limit imposed on the credit card. i.e. if the limit of the credit card is $500, use it to the extent of $350 only.
4. Then, make sure you pay pay bills at the proper time, as this alone takes up 35% of the FICO score of yours. So this is a good base for creditors to judge your creditworthiness.
5. So what about Prepaid cards?
You can also use a credit card that is prepaid. This often a solution that many borrowers are unaware of. This, is perhaps the simplest and most effective method for longer term improvement if you have debt discipline problems. This effectively means you will mean using a credit card to rebuild credit – a ‘win-win’ situation. Use a prepaid credit card that is reported to a Credit Bureau. Only a few of the credit cards regularly report to a credit bureau. So select one that does so, on a regular basis.
One thing to note about prepaid cards is that you must Keep a track of fees. The prepaid card companies often levy fees. Make a prior comparison with many companies in order to secure a credit card where the lowest fee is charged. Bear in mind that some fees need to be paid for credit cards that get reported to the credit bureau, which can be up to an annual fee of$100 – But remember the purpose of this card is to repair credit!
Check the benefits
Some prepaid cards are available with certain benefits, but not all of them. Some give you points which can be used for free call time and other activities.
Preventing abuse of the credit card
Prepaid cards have the distinct benefit that you can never cross the limit, so it enables you to avoid interest and penalties. The implication is that if a report to the credit bureau is made, it is literally impossible to get a FICO score which is lower than your current score with such a card. So you can get credit cards to rebuild credit. It only gets better!
Tracy
Need to know how to report my last renter to the credit bureau?
Posted in Renting & Real Estate on 04/15/2010 01:20 pm by
justburned asked:
My last renter in California left without paying the full last month rent and 8+ months of late fees of about $1,000. He left the place a disaster, left some damage, took the keys and garage openers and stole over $2,000 of our property as well.
We have filed a police report but they will not do anything about it.
Does anyone know how we can at least report this to the credit bureau so it will show up on his credit score and hopefully not happen to the next landlord.
Russell
My last renter in California left without paying the full last month rent and 8+ months of late fees of about $1,000. He left the place a disaster, left some damage, took the keys and garage openers and stole over $2,000 of our property as well.
We have filed a police report but they will not do anything about it.
Does anyone know how we can at least report this to the credit bureau so it will show up on his credit score and hopefully not happen to the next landlord.
Russell