Tag Archives: credit report

Paying Down Debt? Why You Need a Credit Check

Before even thinking about getting out of debt, you should find out your credit scores and your credit reports. Not factoring in this information can affect your get-out-of-debt success. Seeing What You Owe Being armed with your credit scores and your credit reports will give you a good starting point for your debt repayment plan. You will be able to see all that you owe and who you owe it too. Sometimes when we are in major debt, we concentrate so much on just getting the monthly payments in that we underestimate the amount of debt that we have, or … Continue reading →

The Effects of Debt on Credit

It is always good to pay down your debt. It makes your credit report and score better, but the effect may not happen as quickly as you like. Debt problems, like late payments and unpaid bills, will stay on your report for seven years — even if you take care of them. The longer back in your history they are though, the less impact they have on your credit score. Bankruptcy is the most serious flag on a credit report and should only be used as a last resort. Bankruptcies stay on your report for ten years and have a … Continue reading →

Watch the Application

One factor that can hurt your credit score is too many credit history reviews. A credit report “review” is when a business checks your credit history. There are really two types of inquiries into your credit history. One is more of an overview, like when a credit company wants to pre-approve you. The other is a more significant inquiry; when a creditor is determining whether they will approve your actual application for a loan. Too many inquiries can erode your score. The worst kind of review is the “harder” one performed when you fill out an application. If you want … Continue reading →

Credit Scores and Life

Some people blow off the concept of credit history and credit scores because they don’t plan to use credit. Living without credit is possible. There are growing numbers of people in this society who have chosen this path. Certainly, debt has its demons. Starting a credit line can be a dangerous path. Still, no matter what your personal feelings are… society has begun to rely on credit scores to determine just how responsible you are in everything. This means, even if you never plan to take a loan or open a credit card, your credit history (or lack there of) … Continue reading →

More Tips on Repairing Credit

To continue our discussion from yesterday, you have lined up all your important credit documents and set up a reasonable budget. The next steps are some specific tips you can do to get that credit score up a little quicker. With a goal of 720, your score is best improved by regular full payments to all your accounts, ON TIME. Even one late payment can dramatically affect your score and take months or years to remedy. Always, always pay on time… even if all you can do is make the minimum. Pay on time! In addition, a few other factors … Continue reading →

Building Credit

Many young people falsely believe they have to either apply for a loan or carry a credit card balance to build a credit history. The myth is in thinking you must be paying interest to create credit. If you are just beginning in the credit world and want to generate a great score from the start, follow these simple steps. The easiest way to start your credit history is through a credit card. Find one with no annual fees and the lowest interest rate available to you. If you are really early in developing credit, you probably won’t get a … Continue reading →

Delinquencies and Credit Issues

As you learn more about credit scores, you may want to understand the details even deeper. Having good credit can make a huge impact on your ability to save and make money. Not only do lenders use your credit report to determine if you qualify for a loan, your credit score will also influence the interest rates you pay, whether a new employer wants to hire you, your insurance premiums, and housing opportunities. Given all that, arm yourself with the most information possible in your battle for great credit. Let’s start with the most important first; the primary impact to … Continue reading →

What makes up a Credit Score?

Ever wonder all the basics of what is used for your credit score? Well, here it is, in black and white… and a little grey. To create a credit score, some of the information on your credit report is fed into a mathematical formula. The critical information and their importance are as follows: Account Types – This includes mortgages, car loans, and credit cards. The importance of your types of accounts is about 10% of the overall score. Number of Recent New Accounts – Just how many new accounts do you have in proportion to the total? This is another … Continue reading →

Free Credit Report Site

Free credit reports? You hear this on the radio and TV all the time. But are they really free? Well yes and no. Under the Fair and Accurate Credit Transactions Act (FACT Act) you can request and obtain a free credit report once every 12 months from each of the three nationwide consumer credit reporting companies. But a credit report and a credit score are not the same thing. Credit file disclosure provides you the “credit report” that contains all the information in your credit file. This information is maintained by one of three consumer reporting companies and may be … Continue reading →