You may have bad credit due to some irresponsible moves or some unforeseen events in your life. Protecting your credit score could prove to be very important to your future. There are lots of ways to keep your credit good, but if it’s already looking pretty bad, consider some repair options. One way is to go through a credit repair organization.
If you think you should use a credit repair company to fix your credit problems, you should educate yourself first. Credit repair companies can make a lot of promises, but be careful who you give your information to. There is a lot of deception going on in this industry and there are a few signs that you should look out for.
First, if they ask you for any money up front, then it isn’t a legitimate or ethical company. The Credit Repair Organizations Act says that companies aren’t allowed to ask you for any money until everything that they have promised has been completed. So this should be something that you are mindful of.
Secondly, they should always inform you of your legal rights and the steps that you can take yourself to repair your credit. Crazy promises to remove all bad things from your credit should be ignored. No one can do this. You can investigate your credit files to dispute any inaccurate or incomplete information, but you can’t make negative information just vanish. If a credit repair organization tells you not to contact a credit reporting agency yourself, you should probably hang up the phone and do just that. Anything that a credit repair company can do for you, you can actually do for yourself, for free. Research a little online and find out what your rights are under the Fair Credit Reporting Act.
The Credit Repair Organizations Act is in place to protect you. If you decide to go with a credit repair company, then you should familiarize yourself with the basics of this act before you proceed. We’ve mentioned that they can’t charge you until they’ve completed everything that they’ve promised, but you should also know that they must provide you with payment terms for their services. They must inform you of all fees and a final total amount that will be due. They must give you a detailed description in writing of everything that they plan to do. They have to give you a timeline in which the process will be completed. Any guarantees must be in writing and included in the contract. The company’s name and address must also be included on the contract.
Before you sign anything, they must provide you with a copy of the Consumer Credit File Rights Under State and Federal Law. They can’t start working on your credit until they have a signed contract in hand and have completed a three day waiting period. Anytime during the waiting period you have the right to change your mind and cancel the contract, owing nothing. Keep your rights in mind throughout the process and educate yourself before you start. Remember, anything they can do for your credit score, you can do yourself for free.
About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, Internet identity theft software, secure credit cards, and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.
Monday, June 30, 2008
Wednesday, June 25, 2008
What's My Credit Score
If you’re applying for a loan or credit card, your credit score could have an impact on your interest rate and loan term. So what is your credit score and what does it mean? What does it say about you? Credit scoring is how creditors or lenders assess their risk when lending money to you. They look at your score and it indicates to them how financially responsible you have been in the past.
Your credit worthiness is calculated by credit scoring agencies and bureaus. You should get a copy of your credit score at least once a year and make sure that there are no mistakes or omissions in it. You can get this information for very little money and sometimes for free. Your actual score will be between 300 and 900. Higher scores are much better and can get you great interest rates, longer pay-off periods or terms, lower fees and less paperwork in the application process. Low scoring applicants are usually rejected all together or they are offered high interest rates, high minimum payments and more fees. Sometimes low scoring applicants are accepted based on their employment history or other factors, but generally aren’t as trustworthy as their higher scoring counterparts.
Is your score a good score? 650 or higher is a very good score and will generally earn you the very best terms when applying for loans. If there are a few minor problems with your credit history, such as a couple of late payments in the last few years, then you can score between 620 and 650, which is still a good score. You may run into a few problems with this score, but generally it is still pretty good. You’ll probably end up with slightly higher interest rates than people with excellent credit. Scoring under 620 puts you into a risky category. You may still be approved for a loan, but it will be at the highest interest rates and you may be considered a big risk to lenders.
Things that affect your credit score include your borrowed money payment history, late payments and missed payments. Late and missed payments on a credit card or loan are very big considerations when calculating your credit score. You should try to never make a late payment because it blemishes your record for years. Another thing considered when figuring your credit score is your debt to income ratio. If your level of debt is very high relative to your income, or if the cards you have are close to their spending limits, then your score will probably go down.
If your credit history is very long and you’ve had revolving credit for years, then your score may drop. Trouble paying things off completely makes you look like you are in over your head, or you’re just not trying to pay off your debts. Inquiries on your credit are another thing that is looked at. If you’re constantly applying for credit cards and loans, regardless of your acceptance or use of the instrument, then you look like someone who can’t afford the things that you’re trying desperately to get. Do your research before choosing a loan or credit card to apply for. Multiple inquiries on your credit can hurt you in the long run. Your credit score ultimately depends on you.
About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, Internet identity theft software, secure credit cards, and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.
Your credit worthiness is calculated by credit scoring agencies and bureaus. You should get a copy of your credit score at least once a year and make sure that there are no mistakes or omissions in it. You can get this information for very little money and sometimes for free. Your actual score will be between 300 and 900. Higher scores are much better and can get you great interest rates, longer pay-off periods or terms, lower fees and less paperwork in the application process. Low scoring applicants are usually rejected all together or they are offered high interest rates, high minimum payments and more fees. Sometimes low scoring applicants are accepted based on their employment history or other factors, but generally aren’t as trustworthy as their higher scoring counterparts.
Is your score a good score? 650 or higher is a very good score and will generally earn you the very best terms when applying for loans. If there are a few minor problems with your credit history, such as a couple of late payments in the last few years, then you can score between 620 and 650, which is still a good score. You may run into a few problems with this score, but generally it is still pretty good. You’ll probably end up with slightly higher interest rates than people with excellent credit. Scoring under 620 puts you into a risky category. You may still be approved for a loan, but it will be at the highest interest rates and you may be considered a big risk to lenders.
Things that affect your credit score include your borrowed money payment history, late payments and missed payments. Late and missed payments on a credit card or loan are very big considerations when calculating your credit score. You should try to never make a late payment because it blemishes your record for years. Another thing considered when figuring your credit score is your debt to income ratio. If your level of debt is very high relative to your income, or if the cards you have are close to their spending limits, then your score will probably go down.
If your credit history is very long and you’ve had revolving credit for years, then your score may drop. Trouble paying things off completely makes you look like you are in over your head, or you’re just not trying to pay off your debts. Inquiries on your credit are another thing that is looked at. If you’re constantly applying for credit cards and loans, regardless of your acceptance or use of the instrument, then you look like someone who can’t afford the things that you’re trying desperately to get. Do your research before choosing a loan or credit card to apply for. Multiple inquiries on your credit can hurt you in the long run. Your credit score ultimately depends on you.
About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, Internet identity theft software, secure credit cards, and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.
Friday, June 20, 2008
A Good Credit Score is Within Your Reach
What does your credit score include? When you are establishing your credit, you may wonder what the credit agencies are actually looking for. Generally, they start out with your name, social security number, employers, current and past addresses, and your marital status. When someone gets your credit report, it includes things like when you make payments to your utility bills. Paying a bill late can stay on your credit history for years. Things that you might not imagine would affect your score can be heavily weighted when determining how high of a risk you are. They look at whether you own or rent, how long you have lived at the same address, what your occupation is and how many years you have you been at your current job.
Good credit gives lenders the idea that you are a low-risk person who manages their credit and finances wisely. When you establish a good credit history, you will enjoy lower interest rates, lower minimum payments, less paperwork and more lending options. Poor decisions can lead to years of paying higher minimums and higher interest, forcing you to hold your balances for longer and longer. You can be denied jobs, car loans, and pay auto insurance rates over 200% higher than someone with a high rating. Those who manage their credit well enjoy lower limits, more freedom of which instruments they choose and can pay off balances more quickly. In general, having good credit saves you money and can get you the kind of help that you need when you need it.
Lenders look at your financial situation as well when determining your credit worthiness. They will see how many credit cards and loans you have, if you have made any late payments and how many years have you had a credit history. Eight or more years of credit history is preferred, so get started as early in your life as possible. Don’t let your debt add up to over 15% of your income. It’s a good idea not to let your balance get up to 50% of your available credit on credit cards.
Keep the number of inquiries on your credit low. You should take a look at your own credit report once a year to make sure there are not any mistakes on it. One inquiry does not hurt you, but multiple inquiries can significantly impact your score. Even two inquiries can lower your score by around eight points.
Building good credit takes time, effort and maybe some sacrifices. Start early building your net worth. Having a checking and a savings account earns you a score four times higher in that scoring area than a checking account alone. Set up an automatic savings plan, no matter how small of an amount is being contributed. Take advantage and invest heavily in your employer’s retirement plan. All of these things show your responsibility.
Pay your credit cards before the due date and always pay more than the minimum. Pay your bills on-time, every time. If you realize that you are going to have to pay a bill late, don’t settle on paying a late fee and forgetting about it. That one late payment will be on your credit report for a long time. Take everything that has to do with your bank account and bills seriously.
If you need some help with your score, investing in secured credit cards can help establish a better credit score when you pay it off on-time for many consecutive months. The bottom line is to be responsible, and your score will reflect your efforts.
About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, Internet identity theft software, secure credit cards, and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.
Good credit gives lenders the idea that you are a low-risk person who manages their credit and finances wisely. When you establish a good credit history, you will enjoy lower interest rates, lower minimum payments, less paperwork and more lending options. Poor decisions can lead to years of paying higher minimums and higher interest, forcing you to hold your balances for longer and longer. You can be denied jobs, car loans, and pay auto insurance rates over 200% higher than someone with a high rating. Those who manage their credit well enjoy lower limits, more freedom of which instruments they choose and can pay off balances more quickly. In general, having good credit saves you money and can get you the kind of help that you need when you need it.
Lenders look at your financial situation as well when determining your credit worthiness. They will see how many credit cards and loans you have, if you have made any late payments and how many years have you had a credit history. Eight or more years of credit history is preferred, so get started as early in your life as possible. Don’t let your debt add up to over 15% of your income. It’s a good idea not to let your balance get up to 50% of your available credit on credit cards.
Keep the number of inquiries on your credit low. You should take a look at your own credit report once a year to make sure there are not any mistakes on it. One inquiry does not hurt you, but multiple inquiries can significantly impact your score. Even two inquiries can lower your score by around eight points.
Building good credit takes time, effort and maybe some sacrifices. Start early building your net worth. Having a checking and a savings account earns you a score four times higher in that scoring area than a checking account alone. Set up an automatic savings plan, no matter how small of an amount is being contributed. Take advantage and invest heavily in your employer’s retirement plan. All of these things show your responsibility.
Pay your credit cards before the due date and always pay more than the minimum. Pay your bills on-time, every time. If you realize that you are going to have to pay a bill late, don’t settle on paying a late fee and forgetting about it. That one late payment will be on your credit report for a long time. Take everything that has to do with your bank account and bills seriously.
If you need some help with your score, investing in secured credit cards can help establish a better credit score when you pay it off on-time for many consecutive months. The bottom line is to be responsible, and your score will reflect your efforts.
About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, Internet identity theft software, secure credit cards, and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.
Sunday, June 15, 2008
Advantages of a High Credit Score
Everyone seems to realize that having a high credit score is great, but there are even more advantages than most people know. Qualifying for loans tends to be the advantage that most people focus on, but discovering the other advantages might really ignite an interest to work toward a higher score.
Yes, loan eligibility is an amazing credit score benefit, but getting lower interest rates on those loans is even more important. The better interest rates you qualify for put money directly back into your own pocket. This goes for rates on other services as well. Having a low credit score can actually add one to two points to a motor vehicle insurance premium. Why is this related? Your ability to make responsible payments is also important to insurance agencies, credit card companies, cell phone providers, and more. Maintaining a great score will help you to save money in all of these areas.
If you are an owner of a small business, getting a line of credit or small-business loan may be imperative to your success. If a business is less than three years old, personal credit plays a huge factor in your eligibility and interest rates. At this stage of small business, lenders have trouble making a distinction between your business credit history and your private credit score.
If you are not a business owner and work better in a job atmosphere, there are even rewards in the job market. Many professional employers actual do a credit check before a new hire. These high level employers consider your credit score a representation of your responsible behavior. An employee that has difficulty managing their own finances might not be the best person to take care of company needs. This is especially true for employment in fields that are especially tied to financial practices such as banks, accounting firms, and treasuries.
The biggest advantage to a high credit score is the buying power you will possess. The possibilities for investment and rates on large purchases are much better. You will spend less on a new car, be able to make a big investment in a growing real estate market, or get the loans you need to send your children to the best college. The opportunities are almost limitless when credit is handled well. If you don’t have a great score right now, it is never to late to get started on your way to rebuilding it or building it up for the first time. There are a number of helpful online sources to assist you. Start by getting a free credit score report from an online provider.
Yes, loan eligibility is an amazing credit score benefit, but getting lower interest rates on those loans is even more important. The better interest rates you qualify for put money directly back into your own pocket. This goes for rates on other services as well. Having a low credit score can actually add one to two points to a motor vehicle insurance premium. Why is this related? Your ability to make responsible payments is also important to insurance agencies, credit card companies, cell phone providers, and more. Maintaining a great score will help you to save money in all of these areas.
If you are an owner of a small business, getting a line of credit or small-business loan may be imperative to your success. If a business is less than three years old, personal credit plays a huge factor in your eligibility and interest rates. At this stage of small business, lenders have trouble making a distinction between your business credit history and your private credit score.
If you are not a business owner and work better in a job atmosphere, there are even rewards in the job market. Many professional employers actual do a credit check before a new hire. These high level employers consider your credit score a representation of your responsible behavior. An employee that has difficulty managing their own finances might not be the best person to take care of company needs. This is especially true for employment in fields that are especially tied to financial practices such as banks, accounting firms, and treasuries.
The biggest advantage to a high credit score is the buying power you will possess. The possibilities for investment and rates on large purchases are much better. You will spend less on a new car, be able to make a big investment in a growing real estate market, or get the loans you need to send your children to the best college. The opportunities are almost limitless when credit is handled well. If you don’t have a great score right now, it is never to late to get started on your way to rebuilding it or building it up for the first time. There are a number of helpful online sources to assist you. Start by getting a free credit score report from an online provider.
Monday, June 9, 2008
Credit UK households
The credit crunch could start to affect British consumers, warns the Ernst & Young Item Club.
In a special report, the economic research body claims UK GDP could fall by one per cent because of the credit crunch.
"It is hard to forecast the ultimate impact of the recent volatility. However a worst case scenario of a full-blown credit crunch scenario would reduce UK GDP growth by around one per cent in 2008 and 2009," said Peter Spencer, chief economic advisor to the Item Club.
"For the Eurozone the impact would be lighter whilst for the US it could be as high as a 1.5 per cent reduction."
The report sees "worrying signs" that turmoil from the financial markets - as banks become more cautious about lending to each other - could spill over onto the high street and the housing market.
Item finds a slowdown in the property market is possible as homeowners coming off fixed rate mortgage deals face higher rates.
"Two million UK fixed rate borrowers also face a crunch of their own when their cheap fixed rate mortgages expire towards the end of this year. When they do they are likely to see far more stringent conditions around the conditions that UK lenders offer as well uplift in the monthly cost," the report states.
The body is now calling on the Bank of England to act as "nursemaid" to prevent the credit crunch from spreading.
It finds that a full crisis is still some way off but "more 'nursemaiding' by central banks" may still be necessary to "ward off the threat to growth from the current financial market volatility".
The effects of the US sub-prime crisis have already been seen this week in the UK with mortgage rates increasing, a minor lender going into administration, and Northern Rock calling on the Bank of England for emergency help.
Sunday, June 8, 2008
Freeze Your Credit Report in online
It's finally coming: On October 15th, you'll be able to lock up your credit file and protect yourself from ID theft ...Well, almost.
Equifax has just announced that it will join Trans Union in allowing you to place a freeze on your credit report. This will make it impossible for thieves to open up a new credit card, or take out a loan in your name. Equifax and Trans Union will each charge $10 a year to lock your credit file. This is valid in all 50 states.
Expect to pay another fee fee to temporarily “unlock” it, if you need a loan, or plan to buy a car, for instance.
One big problem in all this: Experian, the 3rd credit bureau, is not offering freezes at this point: Consumers Union says thats like locking your front door but leaving the back door open (From www.wcpo.com).
Equifax has just announced that it will join Trans Union in allowing you to place a freeze on your credit report. This will make it impossible for thieves to open up a new credit card, or take out a loan in your name. Equifax and Trans Union will each charge $10 a year to lock your credit file. This is valid in all 50 states.
Expect to pay another fee fee to temporarily “unlock” it, if you need a loan, or plan to buy a car, for instance.
One big problem in all this: Experian, the 3rd credit bureau, is not offering freezes at this point: Consumers Union says thats like locking your front door but leaving the back door open (From www.wcpo.com).
Saturday, June 7, 2008
Cen more sale collapses due to credit squeeze
Yet another large property-related deal has succumbed to the crisis in financial markets with the collapse of the 300 mln stg sale of Kenmore, a Scottish property company, according to the Financial Times.
The report said the Edinburgh-based company had been in takeover talks since May with Mirvac, a listed Australian group. But discussions have broken down amid the credit squeeze that has derailed several other property-related transactions.
A source told the FT that Mirvac had lost its appetite for the deal at the asking price, given the state of the debt and property markets. Yields in parts of the commercial property market are rising, partly as a result of higher interest rates compared with a year ago.
Friday, June 6, 2008
What is a credit report learn from hear
Credit report is made by credit bureau that includes the information about your credit history. Your credit report includes your identification information, your credit account details, your bankruptcies and your payment related details like you make your due payments on time or not.
So this credit report of you is being used by various credit lenders with your permission to know about your creditworthiness.
Thursday, June 5, 2008
How to get duplicate copy for your credit report
Are you willing to take a new loan or want to go for a new credit card? But before this do not forget to make sure that you have your exact credit report to get the exact stats. So here I am mentioning some easy ways by which you can get your free credit report:
Make phone calls to credit reporting bureaus
Three big credit-reporting bureaus namely Equifax, Experian and TransUnion provide us our free credit report once a year. So search Internet to get their respective phone numbers and call them to get your free credit report.
Get your credit report by mail
When you search Internet for big three credit reporting bureaus, try to get a mail address for all of these bureaus. Write a letter to them with your basic information for getting your free credit report. This process is a bit slower than the first one of getting credit report by phone.
Get free credit report online
Going online is the quickest way to get free credit report. Search Internet and find a website that combines these credit reporting bureaus in to one. Once you get such a site, you can easily get your free credit report and also keep a print of it for future use.
Wednesday, June 4, 2008
How to get duplicate copy for your credit report
Are you willing to take a new loan or want to go for a new credit card? But before this do not forget to make sure that you have your exact credit report to get the exact stats. So here I am mentioning some easy ways by which you can get your free credit report:
Make phone calls to credit reporting bureaus
Three big credit-reporting bureaus namely Equifax, Experian and TransUnion provide us our free credit report once a year. So search Internet to get their respective phone numbers and call them to get your free credit report.
Get your credit report by mail
When you search Internet for big three credit reporting bureaus, try to get a mail address for all of these bureaus. Write a letter to them with your basic information for getting your free credit report. This process is a bit slower than the first one of getting credit report by phone.
Get free credit report online
Going online is the quickest way to get free credit report. Search Internet and find a website that combines these credit reporting bureaus in to one. Once you get such a site, you can easily get your free credit report and also keep a print of it for future use.
People who qualify in free credit report
If you are willing to get your credit report from credit bureaus, you may have to pay $15 per bureau. There are many companies advertising about providing credit report at very low rate. But the great idea is why to pay when you can get your credit report free of cost.
According to the laws, each consumer is provided a free credit report each year. Although consumers have to pay some bucks to check their credit score. There are many people who do not prefer to review their credit report.
If you think that your credit report contains errors, then you have a great chance to get a free credit report from all of the three bureaus. People who have been denied credit, employment or insurance because of their negative credit rating will also qualify for a free credit report.
You can check your free credit report at credit report official site annualcreditreport.com.
Do you know what's lurking inside-2
"It goes to character," Jaggernath explained.
In Nanaimo, credit counsellor Kyle Peters says he's often surprised at how little people know about managing debt and how it affects credit scores.
"I think that there's just so many factors that influence your credit rating," he said. "People don't really realize what factors are more influential over others. It's not really clear to the public."
A credit score is a number between 300 and 900.
"Bigger is better," said Jaggernath. "If your number is 700, that means 700 out of 900 people are likely to pay their debt.
"Most lenders don't like to see anything under 680."
The Financial Consumer Agency says the credit report is the first place to look for signs of identity theft.
Bad credit doesn't come from being a couple of days overdue on a payment, though paying on time is the best way to keep a good credit
rating.
"You usually have to miss an entire billing cycle before it hits," Jaggernath said.
Having too much credit raises a red flag to lenders as well, she said.
Since cell phone companies report overdue payments to credit bureaus, teens can fall into bad credit early on.
"With a 19-year-old, it's the fastest way to build credit and the fastest way to wreck it if you don't pay your bill."
The good news for credit holders is everyone's slate is wiped clean after six years.
"If people focus on not having too much credit, using it responsibly and paying it in full and not carrying balances all the time, chances are their credit is going to be OK," Jaggernath said.
MTropea@nanaimodailynews.com
250-729-4255
- --
Seek help if you:
- Have no spending plan or budget in place
- Use credit to pay for most purchases
- Use credit to pay for credit
- Spend more than your income
- Don't pay your bills on time
- Have little or no savings
- Receive letters or phone calls from collectors
- Withhold spending information from your partner
In Nanaimo, credit counsellor Kyle Peters says he's often surprised at how little people know about managing debt and how it affects credit scores.
"I think that there's just so many factors that influence your credit rating," he said. "People don't really realize what factors are more influential over others. It's not really clear to the public."
A credit score is a number between 300 and 900.
"Bigger is better," said Jaggernath. "If your number is 700, that means 700 out of 900 people are likely to pay their debt.
"Most lenders don't like to see anything under 680."
The Financial Consumer Agency says the credit report is the first place to look for signs of identity theft.
Bad credit doesn't come from being a couple of days overdue on a payment, though paying on time is the best way to keep a good credit
rating.
"You usually have to miss an entire billing cycle before it hits," Jaggernath said.
Having too much credit raises a red flag to lenders as well, she said.
Since cell phone companies report overdue payments to credit bureaus, teens can fall into bad credit early on.
"With a 19-year-old, it's the fastest way to build credit and the fastest way to wreck it if you don't pay your bill."
The good news for credit holders is everyone's slate is wiped clean after six years.
"If people focus on not having too much credit, using it responsibly and paying it in full and not carrying balances all the time, chances are their credit is going to be OK," Jaggernath said.
MTropea@nanaimodailynews.com
250-729-4255
- --
Seek help if you:
- Have no spending plan or budget in place
- Use credit to pay for most purchases
- Use credit to pay for credit
- Spend more than your income
- Don't pay your bills on time
- Have little or no savings
- Receive letters or phone calls from collectors
- Withhold spending information from your partner
Do you know what's lurking inside-1
Half of Canadians don't know what contributes to their credit rating, a new survey has found
Unlike most of her friends, Nanaimo's Jesslyn Gosling is holding off on getting a credit card."I don't manage my money very well," admits the 22-year-old.
"If I don't have a credit card then I won't spend."
In today's credit-hungry society, where many people are packing their wallets with two or more credit cards, Gosling may be somewhat of an anomaly. But she won't be for long.
Gosling plans on applying for one "pretty soon" to build up her credit history.
That may mean easier buying power but Gosling and her friend Emma Maddock acknowledge they don't know exactly what goes into credit records after they swipe the almighty credit card.
They're not alone.
A recent Financial Consumer Agency Survey revealed that half of Canadians are unaware of the factors that contribute to an individual's credit rating, and only 15% have requested a credit report.
A credit score is a numerical rating based on the contents of a credit report.
To Julie Jaggernath, of the Credit Counselling Society, it's a "snapshot" of a person's debt history and more important today than ever before.
"It affects everything," she said, noting everything from mortgages, car loans to being able to rent an apartment are dependent on a person's credit history.
Some employers will even run a credit check on applicants to see how they manage money.
Free Website Offers a Look at Credit Reports-2
House taught the IDA program class, a non-profit organization, to low-income families. She also stated that Utah is known for some of the biggest houses in the United States and the most cars per household.
The AAA Fair Credit Foundation works with other non-profit organizations from United Way to Utah Saves.
Sometimes there are inaccuracies on personal credit reports. Checking one's credit report is important to make sure everything is accurate.
"Someone [might] have a similar name, and identity theft is big now," said Jacobberger. "You just want to check it to see where you're at."
If there is an inaccuracy on your credit report, there are a few different ways of resolving them.
"You can write a dispute letter, either you can go to the Web site [Annual Credit Report] or you can actually write a dispute letter on your own," said Jacobberger. "In 30 days, they need to look into it and get back to you. The AAA Fair Credit Foundation has an example of a dispute letter on their Consumer Cent Web site.
"It's fairly common to see something incorrect on there," said Jacobberger. People write dispute letters frequently, according to Jacobberger, one out of three people will have something incorrect on their credit report.
To avoid inaccuracies and promote store credit, Jacobberger offered advice to students. People should avoid store credit cards, because they usually charges higher interest rates.
"My suggestion is that you want one or two [credit cards], said Jacobberger. "Make sure it has a low balance and you pay it off in full each month. " Make sure that charges and payments are reported on the credit bureau when paid in full each month.
"Find out when they report to the credit bureau and when they report when you pay it off," said Jacobberger. "That way, it doesn't just show a zero-zero balance."
Payment history is 35 percent of your credit score and 30 percent is based on different types of credit a person has. If a person can't get a credit card, they can go to their bank to get a secured credit card. A secured credit card is where a person puts money onto the card before hand.
"Your credit score can always improve," said Jacobberger.
Classes are available at the AAA Fair Credit Foundation once a month to people who want more knowledge about checking accounts, setting financial goals, identity theft and budgeting. Planning a brighter future is important.
"In the long run, [you] want to have a low debt to income ratio, you want to make payments on time and to really have two credit credits at the most," said Jacobberger. "Make sure you have enough money to live within your means."
The AAA Fair Credit Foundation works with other non-profit organizations from United Way to Utah Saves.
Sometimes there are inaccuracies on personal credit reports. Checking one's credit report is important to make sure everything is accurate.
"Someone [might] have a similar name, and identity theft is big now," said Jacobberger. "You just want to check it to see where you're at."
If there is an inaccuracy on your credit report, there are a few different ways of resolving them.
"You can write a dispute letter, either you can go to the Web site [Annual Credit Report] or you can actually write a dispute letter on your own," said Jacobberger. "In 30 days, they need to look into it and get back to you. The AAA Fair Credit Foundation has an example of a dispute letter on their Consumer Cent Web site.
"It's fairly common to see something incorrect on there," said Jacobberger. People write dispute letters frequently, according to Jacobberger, one out of three people will have something incorrect on their credit report.
To avoid inaccuracies and promote store credit, Jacobberger offered advice to students. People should avoid store credit cards, because they usually charges higher interest rates.
"My suggestion is that you want one or two [credit cards], said Jacobberger. "Make sure it has a low balance and you pay it off in full each month. " Make sure that charges and payments are reported on the credit bureau when paid in full each month.
"Find out when they report to the credit bureau and when they report when you pay it off," said Jacobberger. "That way, it doesn't just show a zero-zero balance."
Payment history is 35 percent of your credit score and 30 percent is based on different types of credit a person has. If a person can't get a credit card, they can go to their bank to get a secured credit card. A secured credit card is where a person puts money onto the card before hand.
"Your credit score can always improve," said Jacobberger.
Classes are available at the AAA Fair Credit Foundation once a month to people who want more knowledge about checking accounts, setting financial goals, identity theft and budgeting. Planning a brighter future is important.
"In the long run, [you] want to have a low debt to income ratio, you want to make payments on time and to really have two credit credits at the most," said Jacobberger. "Make sure you have enough money to live within your means."
Free Website Offers a Look at Credit Reports-1
Students need good credit to get a good rate on student loans or to pay for necessary expenses. Students can now check their credit report to see just what is going on with their credit.
The site has three consumer reporting companies which are: Equifax, Experian and TransUnion. These companies will allow people to check their credit report once every 12 months.
They can actually view their credit report for free," said Deborah Jacobberger, financial education counselor at the AAA Fair Credit Foundation.
"If they want to see their credit score, it costs $7-10."
The AAA Fair Credit Foundation is a non-profit organization that will help anyone with free financial education.
"Anyone can come here to ask for help," said Jacobberger. "We'll walk someone through a budget, [their] basic expenses, [their] debt and [help] them figure out how to pay it off the best way. We also counsel people on their credit."
Having a good credit report is really important when applying for future mortgage loans, car loans and/or applying for a credit card.
"Mortgage fraud is definitely high in Utah," said Jacobberger. "You have to be careful.
"It affects your day-to-day life [with inaccuracies on your credit report]."
Utah is ranked as the fourth largest state in the amount of debt per capita.
"Utah has a lot of bankruptcies," said Ann House, extension professor with Utah State University. "We have low income and an average to high-cost living. Our wages are very, very low."
The site has three consumer reporting companies which are: Equifax, Experian and TransUnion. These companies will allow people to check their credit report once every 12 months.
They can actually view their credit report for free," said Deborah Jacobberger, financial education counselor at the AAA Fair Credit Foundation.
"If they want to see their credit score, it costs $7-10."
The AAA Fair Credit Foundation is a non-profit organization that will help anyone with free financial education.
"Anyone can come here to ask for help," said Jacobberger. "We'll walk someone through a budget, [their] basic expenses, [their] debt and [help] them figure out how to pay it off the best way. We also counsel people on their credit."
Having a good credit report is really important when applying for future mortgage loans, car loans and/or applying for a credit card.
"Mortgage fraud is definitely high in Utah," said Jacobberger. "You have to be careful.
"It affects your day-to-day life [with inaccuracies on your credit report]."
Utah is ranked as the fourth largest state in the amount of debt per capita.
"Utah has a lot of bankruptcies," said Ann House, extension professor with Utah State University. "We have low income and an average to high-cost living. Our wages are very, very low."
Credit report disputes
John Merris has an above-average credit score. But he felt it was worth taking time and effort to make it even better.
"Although my credit report and score are both good, the credit-reporting agency informed me that my score would be even higher if I had a credit card history," the Shrewsbury, N.J., man explained.
Merris was confused, because he has been using credit cards for more than two decades.
So, I gathered all the information regarding the three credit cards I have had for the past 20 years. I sent the credit reporting agency a letter listing the three cards, the dates I had them and the addresses where I send payments each month.
"About 2 weeks later, I got a letter from the credit-reporting agency. It stated that I personally cannot submit such information about my credit cards. Rather, the information must come from my creditors. Therefore, all my detective work was for nil because the credit-reporting agency would not accept my information."
It's no wonder consumers get frustrated with credit-reporting agencies. Although federal law gives consumers the right to dispute inaccurate information in their files, it doesn't guarantee them the right to add information about missing accounts.
As Steven Katz, a spokesman for Trans Union explained, "Consumers cannot dispute an item that does not exist on their credit report."
All consumers can do is appeal to the creditor. Start by contacting the creditor and asking if it regularly reports to the credit bureau in question. Although many companies report to all three credit bureaus, some report to only one or two.
"It's possible that some lenders may not have a reporting relationship with a specific bureau," Katz explained. As a result, your credit report and credit score can vary significantly from one credit reporting agency to another.
If the creditor does report to the bureau in question, the consumer can ask the company to make sure the item is being properly reported.
Asa Aarons is a consumer reporter who appears on News 4 You at 5:30 p.m. weekdays on WNBC-TV, Channel 4. His special Daily News column appears Mondays, Tuesdays, Thursdays and Fridays. Send your questions to: Ask Asa, P.O. Box 3310, New York, N.Y. 10116, or you can e-mail him at AskAsa@gmail.com. Questions can be answered only through this column
"Although my credit report and score are both good, the credit-reporting agency informed me that my score would be even higher if I had a credit card history," the Shrewsbury, N.J., man explained.
Merris was confused, because he has been using credit cards for more than two decades.
So, I gathered all the information regarding the three credit cards I have had for the past 20 years. I sent the credit reporting agency a letter listing the three cards, the dates I had them and the addresses where I send payments each month.
"About 2 weeks later, I got a letter from the credit-reporting agency. It stated that I personally cannot submit such information about my credit cards. Rather, the information must come from my creditors. Therefore, all my detective work was for nil because the credit-reporting agency would not accept my information."
It's no wonder consumers get frustrated with credit-reporting agencies. Although federal law gives consumers the right to dispute inaccurate information in their files, it doesn't guarantee them the right to add information about missing accounts.
As Steven Katz, a spokesman for Trans Union explained, "Consumers cannot dispute an item that does not exist on their credit report."
All consumers can do is appeal to the creditor. Start by contacting the creditor and asking if it regularly reports to the credit bureau in question. Although many companies report to all three credit bureaus, some report to only one or two.
"It's possible that some lenders may not have a reporting relationship with a specific bureau," Katz explained. As a result, your credit report and credit score can vary significantly from one credit reporting agency to another.
If the creditor does report to the bureau in question, the consumer can ask the company to make sure the item is being properly reported.
Asa Aarons is a consumer reporter who appears on News 4 You at 5:30 p.m. weekdays on WNBC-TV, Channel 4. His special Daily News column appears Mondays, Tuesdays, Thursdays and Fridays. Send your questions to: Ask Asa, P.O. Box 3310, New York, N.Y. 10116, or you can e-mail him at AskAsa@gmail.com. Questions can be answered only through this column
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