Archive for the ‘credit report’ Category
Thursday, January 31st, 2008
Current studies show that ID theft is at epidemic proportions. The Federal Trade Commission surveys estimated that there are close to 9.9 million victims and growing by 2 to 3 million a year.
For individuals that are not victims of identity theft, the best thing you can do is check your credit report regularly, focusing on two categories.
• Inquiries from unfamiliar companies. Here we are talking about someone applying for something in your name in a state that you don’t live in. Remember inquiries are the result of you applying for credit.
• Unfamiliar Accounts (tradelines). Are there debts or new credit listed on your credit report that you are not familiar with?
There are 3 major credit bureaus that provide services to monitor your credit report. These services give e-mails to you promptly if there are any changes to your report.
What to Do if ID Theft happens to you.
You want to keep a detailed log of events as you start the dispute process. You do this in case you run into problems with a creditor. The first step obviously is contact the 3 credit bureaus, local police, creditors, etc…… You keep detailed conversations logs with any of these entities you communicate with. Also keeps receipts, bills, or out of pocket expenses you incur during the process of disputing. I would also make note of the emotional stress and how it is affecting your work performance and personal relationships. In addition your expenses and time could be tax-deductible in certain circumstance.
Contact Law enforcement
Here is the properties procedure for contacting the authorities so you can file a formal report. You should include all fraudulent accounts in the report. As the Credit Bureaus say they are able to remove disputes, remember to keep a copy of the report number and contact info.
Who to contact:
• FTC.gov/bcp/coline/pubs/credit/affidavit.pdf
• Local Police Department
• FTC 800-438-4338 or 800—ID THEFT
Credit Bureaus – Steps to take with the CRAs
• Notify one of the credit bureaus fraud units that you are victim of Identity Theft. This Bureau will be responsible for telling the other 2 Bureaus. (Equifax: 800-525-6285; Experian: 888-397-3742; Trans Union: 800-680-7289)
• Tell Bureaus to flag you credit report with fraud alert
• Get a copy of your credit report with scores
• Once you have read your report, send a dispute letter, accompanied with police report along with the FTC fraud affidavit specifying which accounts are fraudulent.
• Subscribe to the Bureaus monitoring services of your credit report
• Consider signing up for Identity Guard.
• Ask the Bureaus to contact the creditors that fraudulent activities have taken place.
Debt Collectors- You will be getting calls from debt collectors more than likely. If they call you:
• Get the debt collectors companies name, address and there phone number. Let him or her know you are noting the time and date of the conversation in your log activity book
• Inform the collection agency you are a victim of Identity Theft
• Provide the FTC uniform fraud affidavit
• Ask for number and name of credit issuer.
• Send the debt collector a letter, stating that you do not owe this debt and that the account has been close.
• Request in writing that the account is being flagged as fraudulent, and is being closed. You also should request in writing that the fraudulent account is being removed from your credit report.
New accounts opened in your name: the Identity Thief has opened new accounts in your good name: what to do. The credit report you pulled should list all creditors that have accounts in your name with contact numbers.
• Notify each creditor of the identity theft that has taken place to you. You will be asked to send a fraud affidavit. (Be sure to put all of this in your log)
• Ask the creditors to send you any application or fraudulent activity that has happened in your good name.
• Add passwords to all accounts
• If the thief has got a hold of your checking account, credit cards, get replacements with new numbers. Call and request these accounts to be closed as well.
• Fill out FTC uniform fraud affidavit.
Your Checking account- If the thief has wrote checks in your name here is what you do.
• Call your local police, and file a report
• Call your bank and close the account immediately
• Remember to keep good logs
• Typically your bank will refund you your money, and ask for a copy of police report filed.
This stuff is serious business; I hope this will help you resolve issues involving identity theft to you.
CreditScoreQuick.com
Posted in credit report, free credit score reports | Comments Off
Monday, January 28th, 2008
Have you thought about getting a copy of your Credit Report? Years ago there were complaints that credit reports were hard to read for the consumer. In past years Equifax, Experian and Trans Union had changed the format of the reports to make them more readable and understandable. Each of the 3 Credit Reporting Agencies or ( CRAs) have ways of referencing a credit report with them.
For Instance:
Equifax – Confirmation number
Experian – Report Number
Trans Union – File Number
These particular reference numbers will be asked if you are disputing any of these credit bureaus.
To make matters more difficult, “Credit Report” is not the official term. The Fair Credit Reporting Act calls the credit report for consumers “Consumer Report.” The industry refers to the report that creditors sell as “credit report.” Nether less either one has the same purpose. They give an account of your personal credit history with creditors.
Here is an example of what you need to identity you with all 3 Bureaus.
First Name:_______ Middle Name:________ Last Name:_______
Birth date:_______ Social Security Number:________
Current Address: Typically two year residence history
Current Employer: ________
Here is what to expect to see on your credit report.
1. Your identifying information listed above:
2. Your Payment history, including auto payments, credit card payments, installment loans, and mortgage history.
3. Public Records: bankruptcies, tax or other liens, and judgments.
4. Inquires showing which companies accessed your credit report for different purposes.
Identity Information
This information is very important, and needs to be accurate. The CRAs use your personal information to determine which report to route your information. If you input the wrong information when getting your credit report, it can lead a report that results in mixed files, and other inaccuracies. This definitely pertains to inputting the correct social security numbers. Maybe you are a JR, and your information is getting mixed with your father or son. Believe it or not this is a common problem with credit reports. You may have to dispute this information with the CRA that is reporting incorrectly.
Credit History
A bankruptcy can remain on your credit report for 10 years; other negative information typically is on there for 7 years unless you can get the creditor to give you a letter to delete a negative item from the CRAs. A tax lien that is not paid can stay on your report for ever. Once you pay it, from the paid date it stays on your report for 7 years. Here are terms and there meaning as they are listed on your report.
Public Records: Bankruptcies, court and default judgments, liens, and foreclosures
Late Payments: Typically falls into one of the four categories, 30 day late, 60 day late, 90 day late, and 120 day late.
Charge Offs: Accounts that are in default of original contract and terms. Charge off is a book keeping term which means the creditor reports obligations as a loss.
Collections: A account that is so delinquent that the obligation is turned over to a collection company for collection.
Typically after all the bad is listed, the report will list all the accounts in good standing. Experian and Trans Union reports “never late”, and Equifax reports as “pays as agreed.”
You will want to always make sure all information is accurate.
Inquiries
Any time someone checks your credit for loan, credit card, installment loan or a mortgage you will have on of two types of inquiries: “hard” and “soft.” Soft inquiries don’t drop your credit score, but too many hard inquiries you could drop your score.
Account History Status Codes
Equifax report will list codes showing how you are classified when you do not pay your bills on time. Also a credit report will show types of credit, “I” for installment loan, “R” for revolving and “M” for mortgage. Here are numeric codes as well.
1: On Time
2: 30-59 Days Past Due
3: 60-89 Days Past Due
4: 90-119 Days Past Due
5: Over 120 Days Past Due
7: Included in Wage Earner Plan
8: Repossession
9: Charge Off
Blank: No Data Available for that month
0: Unrated
Description of Accounts
Date Account Closed
Date Account Opened
Company Name – The Creditor
Account Number
High Credit
Credit Limit
Terms of payments 360 months or 30 yrs
Number of months reviewed
Date Reported
Balance
Past Due Date
Activity
Date of Last Activity
Charge Off Amount
Deferred Payment Date
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.
Posted in FICO, credit report, credit worthy, establish credit, free credit score reports | Comments Off
Monday, January 21st, 2008
This is a step by step guide that will give you the tools to fix inaccurate information on your credit report. First you need to check when the information being reported is set to expire. Next use our customizable dispute letter, and sent it to the Credit Bureaus.
It is really that simple.
Step 1: Look for incorrect information being reported about you:Order a current copy of your credit report with scores from all 3 Bureaus online. Print your credit report and view it carefully. Make note of any information that is not correct. Determine when the information is set to expire. This guide will help you determine if and when the negative information on your credit report will expire.
Public Records:
a.Bankrupcties- Chapter 7 Bankruptcy will expire from your report after 10 years of file date. Chapter 13 will expire from your report after 7 years from file date.
b. Judgements- Court ordered decisions stay on your credit report for 7 years from file date. Example: child support, civil and small claims court.
c.Tax Liens- Tax liens stay on your credit report until you pay it off. Once you have paid the tax lien, it will stay on there 7 years from paid date. This applies to City, State, and Federal tax liens.
Charge –off – records- this record will show up on your credit after a creditor has wrote off the debt as a loss. This will remain on your file for 7 years.
Inquiries- Records of application for credit. These types of inquires usually stay on credit for a maximum of 2 years. Checking your credit online with credit sores does not damage your credit like these inquires do.
Closed Accounts- This information whether negative or good stays on your credit report for 7 years.
Collection Accounts- This record should expire after 7 years from the last 180 day late payment that led the account to collection to begin with. The expiration date is the same even if the collection is sold multiple times.
Foreclosure Records- Foreclosure and property deed-in-lieu records remain on credit for 7 years from foreclosure date.
Late Payments- Late payments stay on record for 7 years.
Repossession Records-Vehicle repossessions stay on you credit report for 7 years.
Use this expiration information to determine what should not be on your report. You should also check for information that is being report on there that is not yours. Also make sure there is no information that are cross records either.
Step 2: Write Dispute Letter
Once you have determined what is not correct on your report, it is time to write you disputes to the Bureaus. You will need to send the letter to each of the credit bureaus via certified mail.
Example dispute letter:
Date
Your Name Mailing Address City, State, Zip
Re: Disputing Inaccuracies on My Credit Report
Name of Credit Reporting Bureau Mailing Address City, State, Zip
Dear Sir or Madam:
I am writing for two (2) reasons:
1. To dispute certain information in my credit file; and
2. To have you investigate/re-investigate and remove inaccurate information from my Credit Report and prevent its re-insertion. The item(s) I dispute are encircled on the attached copy of the credit report and further identified by (identify the items by name of source, such as creditor or tax court, etc. and identify type of item, such as credit account, judgment, etc.)This item is (inaccurate or incomplete) because (describe what is inaccurate or incomplete and why). I am requesting that the item be deleted (or whatever specific change you are requesting) to correct the information.(If you are enclosing documents such as copies of canceled checks, payment records, court documents, send copies only, you should always retain the originals — and use the following sentence.)
Enclosed are copies of the following documents supporting my position?
1.
2.
3.
Please re-investigate this (these) matter(s) and (delete or correct) the disputed items within the time frame required by the Fair Credit Reporting Act (FCRA) and inform me in writing of the outcome. Thank you for your time and consideration in this matter.
Sincerely,
________________________
(Signature)
Your name
Step 3: File your dispute by Submitting your dispute by mail is the suggested way, but only Equifax and Transunion allows this kind of dispute. Experians requires all disputes to be submitted online.
Here is the 3 Credit Bureaus information.
Equifax
P.O Box 740256
Alanta, GA 30374-0241
Dispute online
Experian
Dispute online
TransUnion
2 Baldwin Place
P.O. Box 2000
Chester, PA 19022
Dispute online
Step 4: Manage Results
The 3 Credit Bureaus have 30 days to investigate your dispute and update your credit report if the dispute his valid. Once they have investigated your concern, they will send you a letter stating what was updated on your credit report. If you were not able to get a inaccuracy fixed you will need to resubmit your dispute with new documentation.
CreditScoreQuick.com
Posted in credit education, credit report, fix credit, free credit score reports | Comments Off
Monday, January 21st, 2008
If you are a first time home buyer, you more than likely don’t know what the process is. Most first time home buyers rely on a real estate agent to guide them a long. Here is the advice and tips that will make your home buying experience a good one.
First Step:
1. Find out what you qualify for. This is the most important part of the home buying process whether you are a first time home buyer, or someone upgrading to a bigger home. We know that getting the approval process done first is not as fun as looking at homes. But you could be wasting your time and everyone involved by not getting your finances in place first. I would recommend getting a current copy of your credit report with scores before calling a lender. Make sure you know your credit situation, so you are an educated home buyer.
Second Step:
2. Find a seasoned realtor that knows what they are doing. There are too many realtors in the real estate business that don’t have a clue when trying to find you a home. I would get a recommendation from you lender. They typically know who will get the job done for you. You don’t have to buy a home with a realtor that works for some big name brokerage. There are plenty of good realtors that work for small companies as well. Do some research?
Third Step:
3. Once you have secured financing with a reputable lender and have found a seasoned realtor, then you are ready to start the looking process. If a realtor takes you out and only wants to show you 4 to 5 homes and that is it, this is a sign that all they are interested in is a commission check. This is the biggest purchase of your life, it usually takes all day to look at homes and then make a decision. In some instances there may only be 4 to 5 homes to look because that is all that is available that meets your criteria. I am sure you get the idea though.
Fourth Step:
4. Close on your new home. Hopefully you have made the right decisions and got reputable and honest real estate professionals to make it happen for you.
Conclusion: Make sure you can buy first, and what type of loan you qualify for. This is essential so you will not be disappointed. You should also have selected seasoned and professional real estate service providers. Remember you are relying on real estate professionals to help you make the biggest purchase of your life.
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.
Posted in FICO, credit cards, credit report, free credit score reports | Comments Off
Monday, January 21st, 2008
Have you ever wondered what does not affect your credit score and credit report? There are factors that Fair Isaac doesn’t use in determining your credit risk. Fair Isaac says its scoring model complies with the Equal Credit Opportunity Act prohibiting against using racial or ethic data in credit decisioning. They also have said that based on independent research, it has shown that the credit scoring is not unfair to minorities or people with little credit history. The scoring model has been a consistent and accurate measure of repayment for all people who have credit history. So in other words, your ethnic background has nothing to do with a given credit score.
In a different perspective of the model, credit scoring can be a disadvantage for people who are not familiar with the system. For example individuals who are poor and low-income usually don’t have great mobility. They typically utilize local stores and credit grantors within there communities. Since most of these grantors tend to be small, they usually don’t report to the Credit Bureaus. With this in mind, this class of people tends to suffer the most because of the limited access to big banks and companies that report to all agencies.
Here is what Fair Isaac does not consider:
* Race, Color, religion, national origin, sex, or martial status.
* Age
* Salary, Title, Occupation, employer, date employed, or employment history
* Place of residence
* Any interest rate being charged on credit card account or other account
* Any items reported as Child/Family support obligations or rental agreements
* Certain types of inquiries ( Certain requests for your credit report or credit score)
* Any information not found in your credit report
* Any information that is not proven to be predictive of future credit performance.
Since there is so much information out there about what determines your credit score on your credit report, we figured we would give you a different perspective in this article.
CreditScoreQuick.com
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Thursday, November 29th, 2007
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.
Author: Mike Clover
Posted in bad credit, credit agency, credit report, establish credit | 1 Comment »
Disclaimer: This information has been compiled and provided by CreditScoreQuick.com as an informational service to the public. While our goal is to provide information that will help consumers to manage their credit and debt, this information should not be considered legal advice. Such advice must be specific to the various circumstances of each person's situation, and the general information provided on these pages should not be used as a substitute for the advice of competent legal counsel.
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