Credit Repair services » Period Of Time

Credit Score Secrets Part 1 – Debt to Credit Ratios

admin — Fri, 23 Apr 2010 18:58:26 +0000

When working with people on credit issues and dealing with the complexities of a credit report score, one notices without question that the debt to credit ratio is important. The debt to credit ratio can have a huge effect on that important home or auto loan or that needed business loan. However when balanced correctly, in accordance with the set standards for good credit from the credit reporting agencies, the debt to credit ratio can provide the much needed improvement for your current credit score.

People are constantly commenting on what a good idea it is to make sure and pay off all of your cards every month in full to make sure to establish good credit and show that one can pay their bills. This is such a misconception and only leads to confusion. Having a revolving balance kept at the right percentage compared to your debt and you are on your way to a better credit report.

Learning about your debt to credit ratio can be one of the important steps to putting yourself in the right frame of mind for credit success. For most Americans the debt to credit ratio is to high and it can be hard to obtain any new offers or loans from banks or financial institutions. For example, you have resolving accounts totaling $10,000 but you currently owe $8,000 which gives you an eighty percent ratio, very high for a buyer of a finance deal to even take a second look at you.

Lenders make the bulk of their money through charging interest, not sending out pretty square cards or annual fees. When looking at any model designed for credit scoring, it likes you to maintain your balances and pay over a length of time and it is driven with your ability to do this, amongst other things.

Being a lender in an institution, if I could see that over a long period of time, you had been able to maintain long-term credit worthiness with a company, it would prompt me to want your business and “interest” as well. As a lender, I know the type of customer that I want to solicit my loans to.

Sub-prime Merchandise Cards can be a great way to balance your debt to credit ratio while still warranting that $350 purchase for that lamp you HAD to have at Macy’s. Sub-Prime Merchandise Cards are simply cards carrying a line of credit to buy merchandise from a specific merchant which in most cases turns out to be the company who originally sold you the card.

Some marketers, perhaps due to their obvious benefits to the consumer, have started to market these cards while misrepresenting and misunderstanding how they work in their advertising campaigns. Sub Prime Merchandise Cards report to one or more of the three credit reporting agencies and can help to even out your percentages quickly when it comes to debt to credit ratio.

By: Amy Pedersen

Balance Transfer For Fair Credit

admin — Wed, 07 Apr 2010 17:18:13 +0000

If you owe a balance on your credit card, or several credit cards, you may be able to get lower interest rates for a while that help you pay down your debt, thanks to cards that offer balance transfer for fair credit. Many credit cards offer great deals on balance transfers with low interest or no interest for a limited time, but it’s hard to find those great deals if you have made credit mistakes. Some cards, however, special in cards that offer balance transfer for fair credit.

Chances are your rate won’t be as low as it might have been if you had good credit, but as long as it’s lower than what you’re currently paying, you can make it work for you. While the idea of being able to convert those high-interest balances to a card that offers balance transfer for fair credit has its appeal, there are pitfalls you need to watch out for.

What will the interest rate be on the card that offers balance transfer for fair credit? Obviously it’s lower than your current rate or you wouldn’t even be considering it, but how much lower is it? When you figure in the extra you’ll pay in transfer fees (up to $75 per transfer) will you really be saving money?

Let’s say you’ve done the math and you will be saving money, even after transfer fees. Now you need to look at how long the introductory interest period is. You won’t get that lower interest rate forever–if you carefully read the agreement you’ll see exactly when it reverts to a “regular” interest rate. Is the time period of lower interest on the card a long enough period of time to make it worth the hassle?

If it is, then what will the interest rate be when that period runs out? Is it still lower than your current cards? You might be shocked at how quickly and how high the interest will go up on a card that offers balance transfer for fair credit, so be sure you have the facts before you sign up.

By: Jake Wilson

Inquiry Credit Report Repair Secret

admin — Sat, 20 Mar 2010 01:20:13 +0000

Each time you apply for credit, whether for a car, credit card, or whatever, an inquiry is left on your file. This tells potential creditors who and where you have been applying for credit with. Too many inquires within a certain period of time is bad for your score. It becomes even worse if you have many inquiries, but no accompanying open accounts for them. A creditor may think that there was good reason why you were turned down by other creditors and deny you based upon that assumption.

You are granted exception when applying for a car loan or home mortgage. As long as these inquiries come the same type of lender within 30-45 days, they are counted as one inquiry. The time span has changed over the years. I read from a credit bureau representative that the time span was changed because people began taking longer and researching more when making important purchases.

Of course, inquiries can be challenged just like any other account. They usually stay on your record about 24 months. Credit inquires done by yourself are not shown to potential creditors, therefore won’t affect your score. Also soft inquires, done by other companies won’t affect your score either. The bureaus make money from selling the information they’ve gathered on you and everyone else. A company my buy a list created based on specific criteria. Age, geographic, credit score range are just some of the factors that may be used to compile a list.

One method that may work best if the dispute method fails is to simply ask the creditor to remove it from their records. When the bureau’s computer comes to get the monthly information, the inquire won’t show anymore. First, make sure you have been paying on time. Second, it helps if you have a valid good reason, such as purchasing a house.

By: Christopher Wright

Bad Credit Repair – How to Clean Up Your Credit Quickly

admin — Sat, 06 Feb 2010 23:28:25 +0000

Do you have bad credit? Are you searching for information on bad credit repair or effective ways to clean up your credit? Perhaps you’re wondering how in the world to get rid of bad credit and have a clean clear credit report. If you’d like to learn how to remove negative items from report, then keep reading.

Many people are not aware of the effects of bad credit on our lives. When you have bad credit it actually costs more to live. Bad credit can make it extremely difficult to gain access to some of the better things in life. It makes it difficult to get approved for a car loan, a home loan, a credit card or other financing. Or if you do get financing, you may be subjected to very high interest rates and several other unnecessary conditions.

Once you have a bad credit rating you will realize just how it can derail your financial plans. So it’s very important that you repair your credit if you have bad credit.

As a first step to credit repair, you need to get a copy of your credit report and see what information is being distributed about you. You can obtain your report by contacting the credit bureau that keeps your record.

When you get your report, review it carefully. List all incorrect information you find. After you have noted all incorrect or inaccurate entries that have been made on your report, send a letter of dispute to the credit bureau that has sent you the report. If you have any documentation to back up your claim, you should send it in also. Be sure to keep copies of all documents you send.

When the credit bureau receives your letter of dispute, they must investigate it and send you written results of their investigation. If the disputed item cannot be reverified it must be deleted. If the creditor does not respond within a reasonable period of time, then the disputed item must be removed from your report.

If you do not agree with the results of the investigation, you can contact the creditor who reported the information and demand that the negative entry be deleted. If you do owe money, then it’s time to start a negotiation with the creditor. You can offer them a fraction of the amount owed provided they delete the negative information from your report.

After you’ve erased negative items, you can start adding positive information. You can obtain a secured credit card or take out a secured loan at a bank. Also, gas station credit cards and department store charge cards are a great way to add positive accounts to your file. Be sure to pay your bills on time. That way, you will show that you can handle credit responsibly.

The process of self credit repair is simple if you have the right plan to follow. To be sure you do it the right way you should get a proven credit repair guide that will show you the step by step process you need to fix bad credit, erase negative items that are on your report, and add positive items on your report.

Once you have a good, reliable guide all you need to do is follow the easy, step-by-step instructions, and start repairing your credit immediately. A good credit repair guide is your ticket to getting your credit back on track.

If you are serious about erasing negative items on your report, rebuilding a positive rating, and enjoying the good life, then repairing your credit is a must.

By: Conleth Onu