| |
| |
|
Credit Information |
|
|
|
Its Your Credit - Take Care of It!
Thanks to the Fair and Accurate Credit Act, American consumers can receive a free annual credit report from each of the three major credit bureaus-Experian, TransUnion and Equifax. You can order your free credit report by visiting www.annualcreditreport.com or calling 1-877-322-8228. Monitoring your credit report regularly will ensure that you can clear up any incorrect information and prevent identity theft. It is recommended that consumers review their credit reports at least once a year. Being that consumers are now eligible to receive three free credit reports a year, you can actually keep track of your credit report year round by ordering one report at a time every four months. If you are ordering your credit report because you are going to make a large purchase-for example a house or a car-and you want to know where your credit stands, then it is recommended to order all three reports and compare them at least three months before you intend to apply for the loan. Each credit report might contain slightly different information so your credit score could vary by as much 100 points from one report to the next. If you are simply monitoring your credit report to prevent identity theft and other fraudulent activities, then ordering one at a time may be enough. Reviewing your report Once you receive your credit report, set aside some time to review it carefully. Eighty percent of credit reports contain errors, and a quarter of those are serious-late payments that do not belong to you, debt that is not yours, or accounts that you did not open. If you do not take the time to correct these mistakes, they can seriously affect your ability to acquire favorable credit terms in the future. There are four main categories you need to review in your credit report: personal information, account history, public records and credit inquiries. 1. Personal Information Information contained: Check this information closely and make sure that it is all correct. Common mistakes occur among family members with similar names who reside in the same address. Variations of your name are ok as long as you have previously applied for credit using the variations. Incorrect information can result in another person's accounts reported on your credit report. 2. Account History Information contained: Pay close attention to the account numbers, statuses, balances, and payment statuses. Make sure all accounts listed are actually yours. 3. Public Records Information contained: Make sure all of this information is correct and updated. You should realize that certain bankruptcies and other negative information can remain on your credit report for up to 7 years. 4. Credit Inquiries Information contained: There are two types of inquiries that you will see on your credit report. Hard inquiries are those that you initiated when you requested your credit report or authorized a lender or credit card company to view your credit report. Soft inquiries are those made by credit card companies that send you pre-approved promotions for their credit card. Soft inquiries are only visible to you. A lender cannot see them when they review your credit report. There is much speculation as to how much inquiries affect your credit score. Soft inquiries do not affect your credit score at all. According to Fair Isaac Corporation, each hard inquiry can subtract no more than five points from a person's score. Often no points are subtracted. Since it is normal for a consumer to shop around for interest rates when applying for a home or car loan, multiple auto or mortgage inquiries in any 14-day period are counted as just one inquiry. The subject matter contained in our educational publications is for informational purposes only. We suggest that you consult your financial or other advisors when planning for your specific needs or requirements.
MORE RESOURCES:
Google News |
|
|
|
RELATED ARTICLES
Have You Checked Your Permanent Record Lately? As a young student I feared getting bad grades because I didn't want any bad marks on my "permanent record." Get an "F" in fifth-grade science and it goes in your record. Understanding the Function of Credit What is Credit?Credit is the backbone and the engine behind the workings of the economy. Credit simply allows individuals and companies to borrow funds in good faith and pay it back over a specified time frame. Consolidating Credit Cards Credit card consolidation is a popular solution for those with significant credit card debt, usually distributed on three or four different cards. Basically, this means putting all your debts together on a single card, like transferring it all to one loan. Credit Card Security Advice Which of the following is the biggest threat to your credit card security?a) Shopping online with a credit cardb) Shopping in a real store with your credit cardc) Ordering something over the phone with your credit cardThe answer may surprise you. It's b - shopping in a real store with a credit card. What Are The Most Common Credit Card Mistakes? Now in a world with so many easy to get credit cards it can be easy for someone who is a first time credit card holder, or even someone who has several credit cards in the past to make mistakes when using the card.One of the most common mistakes when using credit cards is to use the credit card to make purchases of things you are not really able to afford. Are You The Only One Using Your Name? Identity theft has become an epidemic. Millions and millions of purses and wallets are stolen everyday and many of them are not just taken for the money inside. Good vs. Bad Credit Debt Do you know the difference between good and bad credit debt? Most everyone seems to think that all debt is bad, but that is not always the case. In fact, there are some instances where good debt can actually help your financial situation. Understanding the Process of Credit Counseling Many of us have seen the advertisements on television. "Get out of debt fast!" "We can solve all your credit problems with only one call!" These sound really great but you know that, realistically, one call is not going to solve your credit problems. Commercial Collections And Credit Granting It is estimated that billions of dollars in delinquent commercial credit is currently being carried on the books of both American and international businesses. This figure changes as our economy grows or contracts. Boosting Your Credit Score To Get The Best Credit Card Deal Making Your Credit Rating Work For YouOne of the basics of getting the most competitive credit card deal in the market is to ensure you have the best credit record possible. Few of us are lucky enough to be earning a six-figure salary, and many people are likely to have other financial undertakings that a potential lender will want to take into account. Pitfalls of the Credit Industry The credit industry if rife with pitfalls. If you have ever owned a credit card you probably already have learned this the hard way. Student Credit Cards STUDENT CREDIT CARDS With graduate debt averaging over £12,000, the ability to spread the cost of further education using a student credit card is obviously attractive. Adding to their appeal is the fact that these cards are relatively easy to obtain. Low Interest Credit Cards Have Many Advantages When credit cards are used wisely they can be very beneficial to the consumer. A low interest credit card can be exceptionally beneficial. What Should I Do If I've Become a Victim of Identity Theft? Identity thieves take advantage of everyday opportunities to discover your personal information and use it to commit fraud or other crimes. The good news is a victim of identity theft has more options today than ever before. How You Can Help Prevent Identity Theft How can I prevent Identity theft from happening to me? Never leave your receipt or slip in the ATM or gas pump. Pay attention to your habits, lock up or organize and file your bills, and bank statements. Harassment of People in Debt by Creditors HarassmentHarassment of people in debt by creditors or their agents is a criminal offence under the Administration of Justice Act 1970. It is often difficult to know what to do when you feel a creditor is not dealing with your account fairly. How To Read Your Credit Report The Fair and Accurate Credit Transactions Act, signed into law on Dec. 4, 2003, gives every American the right to a free credit report every year from each of the three major credit bureaus -- Equifax, Experian and TransUnion. Building Your Credit History Today, credit is an indispensable part of our lives. In order to get the things you need, such as a home or a car, you have to apply for a credit. Identity Theft - Additional Protection for Soldiers on Active Duty Congress passed the Fair Credit Reporting Act several years ago in an attempt to smooth out some problems in the credit reporting industry. The best known provision of this Act is one that permits Americans to receive a free copy of their credit reports from each of the three main credit bureaus once per year. Triple AAA in 30 Days Have you ever wonder about how to get good credit with spending alot of money. Well here is a little secret I used to get my credit back up to par.
|
| Home | Site Map | |
| © 2007 |
