Jeffrey Broobin asked:




The three major credit bureaus, Experian, Equifax and Trans Union are similar and feature a “Credit Score”, which is created from credit report data submitted to them about you.

But very often your credit report includes inaccurate, wrong or incomplete information (credit records).

In this situation you have to prepare and send letters to each of the credit bureaus. Also learn your credit rights by familiarizing yourself with the Fair Credit Reporting Act (FCRA).

The FCRA gives you the right to dispute inaccuracies or omissions, and it requires credit bureaus to investigate your complaint (generally within 30 days), send you a prompt response and correct any errors. The law also requires the source of inaccurate information (such as a bank) to correct the record at the credit bureaus to which it initially provided the erroneous information.

Consumers working on their credit reports say many times their letters are ignored by the credit bureaus. Consumer’s say even with proof a credit record is not theirs; its removal from their credit report can take three or four challenge letters, because the credit bureaus may have only verified it in their computers and not on the credit report.

Send your dispute letter by CERTIFIED RETURN RECEIPT MAIL. This should not be done with the first attempt.

Keep a record of when you sent the dispute letters and what date you should expect a response.

If you have received no answer to your dispute after 30 to 37 days, send a certified return receipt letter requesting an updated credit report demanding the disputed credit record be deleted.

If the bureaus do not reply within the 30 days, it must be that the information was either inaccurate, or it could not be verified. In either case, according to the Fair Credit Reporting Act, the credit record must be immediately deleted from credit report.

Some consumers have eliminated negative marks on credit reports simply by going through this process of disputing credit records several times. Since some creditors will not take the time to respond, you may be able to win by default.

In addition, some consumers working on their credit report have seen another negative credit record or two disappeared. Usually some progress is made each time you challenge. Remember, the credit bureau would like you to quit bothering them because if you aren’t disputing the credit report, they can legally continue selling it as profitable information.

To obtain the excellent credit report service, correct your credit, get FREE online Credit Report, make your Credit Score higher or avoid becoming a Victim of Identity Theft visit at Legal Helpmate Corp

Your credit score is important for obtaining credit. Your credit score is important to know, whether you need a new credit card, an auto loan, or a mortgage. Lenders use your credit scores to decide whether you are a good credit risk. If you have a high credit score, you are more likely to obtain the best rates.

Peggy

Ben S Douglas asked:




TransUnion, one of the “big three” credit reporting companies, compiles all the information they receive from lenders into your credit report. As a credit bureau, TransUnion keeps credit history about you including your address, payment history, employment, and other personal information. Whenever you apply for any type of credit, a lender pays a bureau for access to your credit record to see your financial history.

This is why it is so important to make sure the data on your credit file is accurate and up to date. If TransUnion is indicating inaccurate information about your history, you need to file a dispute.

To dispute your TransUnion Credit File, follow these steps:
o STEP 1: Draft a credit bureau dispute letter
o STEP 2: Mail the letter via U.S. Registered Mail
o STEP 3: Wait for the results and a copy of your updated report

Review your credit report very carefully so that you can dispute multiple items at once. However, keep in mind disputing many items at once may result in serious delay. Credit bureaus have been rumored to “red flag” people who dispute more than a few items at a time. This is just one of the many obstacles of “do-it-yourself” credit disputes.

What Should I Dispute?

TransUnion receives all types of information about you which is subject to errors or inaccurate data. Sometimes a credit report may show derogatory payment history that does not tell the whole story. Lenders typically view your credit history in “black and white” to determine whether you are a good credit risk or not.

Here are some examples of items to dispute:
o credit cards – charge offs, 30,60,90 day late payments, or a small amount of available credit
o store credit – charge offs, late payments, small amount of available credit
o cell phone suppliers – collections, charge offs
o credit unions – mortgage delinquency, auto delinquency, or any late payments
o banks – any type of delinquency
o state and federal courts – judgment or public record from any type of debt
o bankruptcy courts – Chapter 7, 11, 13, are included in bankruptcy items
o mortgage companies – late payments or foreclosure

What Happens if my TransUnion Dispute Fails to Delete the Bad Credit?
It is important to know that sometimes getting a TransUnion report corrected can be very time consuming and cumbersome. The next step may be to work with the creditor on a resolution. Another alternative is a process called debt validation that is tactical, but highly effective as an escalated dispute process.

If you are unfamiliar with these processes, then you may consider enrolling the services of a credit repair law firm to ensure a quick and effective resolution. A legal professional seasoned in the credit disputing process can help you save time, money and frustration.

Carl

Mike Singh asked:




Understanding your credit score rating scale can seem like an overwhelming and almost impossible prospect. A credit rating scale can be confusing, especially if you have trouble with numeric systems. In a scale you have several numbers that all mean something different. Even though it can be a hard and overwhelming to try to understand your rating scale, doing so can be rewarding and a necessity in fixing it if need be.

One of the first things you should look at it is how exactly your credit score rating scale is composed and put together. Companies look at a couple of different aspects to put it together. One thing that determines how your credit rating is put together is your past payment history. This includes how well you pay your bills and whether or not you pay them on time or not. This aspect also includes any outstanding debt, too much can make your credit rating lean towards the lower end. Something else that is considered is your credit history in general. Beginners as well as a poor one can lower it as well. Sometimes if you are just starting out it may be even lower than someone who has a history that is poor.

Other things that are considered as part of a credit score rating scale are any credit applications or inquiries into your credit. Too many of either can lower your score and reflect poorly on you and your score. Different types of loans and credit can also have an affect as well. Balances that are too high and the number of balances that are too high can be a bad sign to a credit reporter as well. High interest rates can even be a negative mark as well.

On the rating scale a score of seven hundred or more is excellent and someone with this type of score should have no problems with credit or interest rates. While those with scores around six hundred and fifty to four hundred and fifty will have some difficulty obtaining credit, though could still have a chance. A lot of times those who fall on this part of the scale will have to secure any loan they apply for with some type of collateral. Those who fall below four hundred and fifty will most likely not get approved at all, whether secured or not. These people need to find a solution to their credit problems and a way to improve where they fall on the scale if they wish to stand any chance at all.

Speaking of help in rising where you fall on the credit score rating scale there are a lot of places to start from. Free credit counseling is available if you know where to look and will greatly help you if you are in need. These credit counselors will not only help you improve your score but can also help you get back on track and be more responsible in the future to avoid the problem again.

After sifting through all the information and getting your bearings you can learn a lot. Things may not be so overwhelming after all. When it comes to the credit score rating scale and understanding it, all it takes is a little patience, which in the end can be well worth it.

Fernando

Marc Marseille asked:




A 3 credit bureau report can be useful for various reasons. There are 3 key credit bureaus: Experian, Equifax, and TransUnion, and each of them have their own knowledge about your credit, so to obtain a good credit score, you need all three.

Several financial institutions require a good score with all 3 credit agencies before they will approve you. For example, a house loan won’t be approved if you have a bad credit rating from 2 out of the 3 bureaus. You also will not qualify for low cost life insurance, a credit card with a low interest rate, or some cases even an apartment. In essence, knowing your three score can save you time from applying to services which you already know you will not be approve for.

Another advantage about knowing your 3 credit bureau report score is that it can show you if somebody has been defrauding you or hijacking your credit profile. If, for example, somebody has been opening accounts in your good name without your knowledge, that information will show up on your 3 credit score report as derogatory. The knowledge of this information will allow you to take legitimate action to get the derogatory items removed from your credit bureau report.

There are many ways you can enhance your credit rating, but none of these tactics can be implemented if you do not know your credit score. One solution to improving your score is to acquire a couple secured visa cards and pay off your bills before they are due. If you continually pay off your balances in a timely manner, this will affect your credit score in positive way.

In addition to paying your bills on time, maintaining a low balance on your revolving accounts and credit cards are mandatory. High balances reflects someone who is strap for money which creditors tend to stay away from. You may be surprised at how many points your credit can rise by simply reducing your balances.

In the long run, it is worth it for you to keep your credit in good standing, because it means you will be able to qualify the things that are important to you. The ability to stay on top of your finances does not have to be difficult, the main thing is not living beyond your means. The more discipline your are now, the more rewards you will receive in the future.

Lucy

Mike Clover asked:




Your credit score report can be affect by more than your available credit history. We talk about how credit cards, mortgages, car loans, and any type of loan that reports to all 3 credit bureaus will affect your credit score. We don’t always talk about utility companies and how they can have a negative impact on your credit report. Here are utility companies I like to consider non-creditors. In other words these companies don’t give you a line credit, they just provide a service.

Utility companies

- Phone companies

- Electric companies

- Security companies

- Cell phone companies

- Water companies

- Gas companies

- Cable companies

- Internet Companies

Let’s assume you are having a tough time currently, and you stop paying your cable bill. The cable company will give you a little time to pay off the debt for service rendered, but will eventually turn that debt over to a collection company. The collection company in return will report that obligation to the 3 credit bureaus wanting their money. This is how it works with any of the companies mention. Once this collection reports to the credit bureaus your credit rating just dropped about 100 points. Utility companies on the other hand don’t help your credit when you are in good standing, but will also hurt your credit score if you don’t pay. Once the collection hits your credit report, and you finally decide to pay off the collection, the collection will be on your credit report for 7 years. 7 years of negative information will be on your credit report. If you don’t pay the collection, the collection company can sell the collection repeatedly to different collection companies which will ultimately drive down your credit score even more.

Pay your bills on-time

If you get behind, call your creditors immediately and work out a payment arrangement with them. They will typically work with you, especially during tough economic times. A creditor or utility company would rather get some form of payment versus nothing. If you don’t pay your bills including utility bills it will affect your credit score report. With lending getting extremely tough currently, your credit scores are more important than ever. If you have credit issues, the banks may look at your credit history as too big of a risk for there portfolio.

Don’t assume if you don’t pay utility it will not affect your credit. Because it will affect your credit, and will not go away until you pay it off. If you are unsure what is on your credit report, get a copy of your free credit score report today.

Lynn

Hector Milla asked:




With today’s economic stresses and circumstances, you may find yourself in need of checking your credit report. Maybe you want to get a loan, or were denied a loan based on it. Maybe you have been in the process of debt consolidation or debt settlement for a while now and you want to see the effect it has had on your report. There are several agencies that will give you one for free.

Credit reports are records of your credit activities. It lists your credit card accounts and/or loans and the balance you may have on them. They tell how regularly you make your payments. They also show action taken against you because of unpaid bills or defaulted loans.

If you are wondering exactly what you report says about you, you can get a copy once every 12 months for free from each of the three nationwide consumer reporting companies. You can contact the companies directly to obtain it.

You will have to give them certain information such as your name, social security numbers etc. The report you get will have your identifying information on it (name, address, social security number, birthday, current employers), credit information (accounts with banks, credit card issuers, utility companies etc.), information about each account (when you opened it, payment record, co-signers), public information records (bankruptcy history, tax liens, judgments), and recent inquires (the names of those who have gotten copies of your report within the past year).

Your free credit report will be drawn from your credit history. A good rating helps you obtain your financial goals; poor ratings limit your financial opportunities. Now, the thing is many free reports do not list your actually numerical FICO score. This is very good to know when you are conducting any kind of financial business that involves credit.

You also really need to check your credit more than once a year. There are now services that for a small monthly fee will keep watch on your credit report and alert you to ANY activity on them. Things like inquires, late payments notices etc. These companies will also make your FICO numerical score available to you. You can keep a close eye on your report, even checking weekly if you so wish and remember they tell you of any activity on the report.

These are great services to help make you financially independent. They are great if you are in debt settlement, negotiation or consolidation also.

Keith

Hector Milla asked:




Less than 1% of U.S. resident have a perfect rating. If this is your goal, you need a FICO score of 850.

Agencies assign scores based your financial history. In particular, they evaluate how many accounts you have, the type of debts you owe, the age of your accounts, frequency of late payments, and the ratio of total debt to credit used. They also use several more factors that are less concrete. For example, how often you move, job stability, and your estimated income could change your score. Even the frequency of creditor inquires is considered.

A perfect score is not important. A good score distinguishes you as a good risk for additional credit. For example, a person who earns $1,000,000 a year, but exhausted all available credit sources and carries maximum balances, will not receive a perfect score. Another person, earning $50,000 and using less than 10% of credit available, could have a near perfect score if making all payments on time, has almost paid off a mortgage, and paid installment loans early.

Employers use scores to evaluate employment applications. Landlords review them before leasing. Insurance companies adjust premium rates depending on the level of responsibility they perceive. Government agencies refuse to hire anyone with a low score for sensitive operations. If these uses concern you, review your file with each of the three large agencies at least monthly.

One of the best ways to protect your career and financial stability is to make sure no one spreads false information. This small chore becomes much easier with the help of an online reporting service. These companies provide updates from all three large agencies for a cost of $15 to $25 per month. You should request price quotes for all services and options you believe are important. Also, inquire with the Better Business Bureau about complaints and complements. The best companies offer a free trial, knowing that a quality product sells itself without sales pressure.

Bernard

Joseph Kenny asked:




It can be pretty tough when your credit is bad and it is next to impossible to get credit when you need it. Most major credit card companies will not talk to you, and a lender – well, forget about it. There is a way, though, out of the tough situation with a prepaid credit card. Here is what you can do with a prepaid credit card to help rebuild your credit score.

Need A Bad Credit Rating

One of the best things about a prepaid credit card is that it was designed for people with bad credit. In fact, that is one of the qualifications. There will not be any check on your credit rating, or your employment. Anyone can get one of these credit cards, but you will need to deposit a cash amount equal to the credit limit you want. This lets you know that it operates on a debit basis – no actual credit is given.

Get A Card That Reports To A Credit Bureau

Not many prepaid credit cards actually report to a credit bureau. That is, however, the kind of card that you want to get. While others make having cash handy, it really will not help you (or anyone with bad credit) in the long run.

Watch The Fees

Prepaid credit cards often come with a number of fees. You should compare one card with another in order to get the fewest fees. In order to get a prepaid credit card that reports to a credit bureau, you will probably have to pay an annual fee – could be as high as $100.

Look For Benefits

Most prepaid cards do not come with any benefits, but some do. You can get points, like on a regular credit card, that are useable for a few benefits – like free phone time, and more.

No Credit Card Abuse

Another good thing about these credit cards is that you can never go over your limit, or have to pay any late fees or interest. (Hey, this is sounding better all the time). This means that if it reports to a credit bureau, that it would be impossible to get a lower score than what you may already have with this kind of card.

Easily Put Cash On Your Card

Most prepaid cards will allow you to easily put credit on it from just about anywhere. You can even put your paycheck onto it by Direct Deposit.

Use It Like A Credit Card

A number of these prepaid credit cards can be used in the same way as a credit card. You can set up automatic bill payments, purchase things online, or over the phone. If you want this feature, however, be sure that the ad says that you can do this.

Like any other credit card, you will want to compare features and fees in order to find the best prepaid credit card for your needs. While most of them are similar, the fees vary widely. Since no qualifications are needed, why not get the best?

Mathew

Ann Born asked:




Whenever it is time for you apply for a loan of any type, your credit is generally pulled. Depending on your credit history, your score may vary from anywhere within the 500s or lower, which is considered very bad to the 700s or higher which is considered excellent. Although many people consider the credit system within the United States to be somewhat cumbersome, it has been in place for many years and does not show any signs of changing soon. If you are trying to contact credit bureau agencies, you might be surprised to find that there are more than one that actually score you and are often looked at by the lending institutions.

The three credit agencies which take care of scoring your credit and ultimately help to determine whether you qualify for a loan are Experian, Equifax and TransUnion. Each of these three credit agencies will provide its own unique number, based on the scoring system that it uses to determine your credit. Whenever it comes time to contact credit bureau agencies, you need to figure out which of these agencies needs to be contacted. For example, if there is some fraudulent or mistaken information that appears on your credit report, you need to find out which of these agencies and is responsible for that report and contact them directly.

It may also be necessary for you to contact credit bureau agencies in order to receive a copy of your credit. As individuals, each of us are entitled to receive a free copy of our credit report on an annual basis. Although you certainly would not want to pull it all of the time because that would lower your credit scores, keeping in touch with your credit and knowing where your numbers are at is very important for you to make sure that no problems are occurring. Regularly contacting credit bureau companies and receiving a copy of your credit report can help you to avoid identity theft and to recognize any mistakes that were made on the report before they damage you too much.

There are also some companies which will contact credit bureau agencies for you and pull all three of your credit reports. Although you may have to pay a fee in order for this to take place, it may be worth your while considering the time that is involved in contacting each of the individual agencies one at a time.

Bertha

Waller Jamison asked:




Maintaining a good credit score isn’t easy at the best of times, but if you have worked hard to improve your credit and achieved a decent score, you wan to keep it that way. However, your credit score changes every time you take out a loan or are late with your payments and can also change through no fault of your own.

One of the reasons that your credit score can fall is because your report contains errors. This unfortunately can have an adverse effect on your ability to borrow money.

If you want to be sure that there are no mistakes in your credit score, you have to check it at regular intervals, that is to say at least once a year. And don’t forget that there are three major credit bureaus and each may have a slightly different score.

If you keep an eye on your credit score, you’ll be able to ensure that there are no major problems when you need to borrow money for a car, mortgage or other expensive item. It can be extremely inconvenient to be about to take out a loan and find that you are unable to do so because of problems with your credit score.

If you find any irregularities on your report you must contact the relevant credit bureau right away so that they can identify the problem and sort it out before it becomes a major issue. Any credit bureau dispute needs to be cleared up immediately.

Generally speaking, mistakes are just small errors which can be fixed quickly and without much effort, but even a minor error can prevent you getting credit when you need it most.

There are times when a mistake is the result of identity theft, which has become much more common these days and of course is a very serious problem, one that you must take steps to resolve immediately. If you are a victim of identity theft, the credit bureaus will put an alert on your file and this will explain the situation to any potential lenders. Identity theft can have long-term repercussions and is something you want to deal with as soon as possible.

Brian