Tuesday, December 29, 2020

On December 29, 2020 by Decadeofhits   No comments

Knowing how to place a fraud alert is very important but there are a few things that will ensure that it does what you intend.

1. Have a good grasp of security details

Your initial requirement is that your credit card or financial account statement is in a bind lock. This means that the card or VISA or MasterCard company will require you to key in a code in order to authenticity. The back of your statement will have a bar that you will know what to look for, and it is typically located at the very bottom section of your statement where there is a listing of your charge details and account number. The good thing is that this section is blank.  Of course you will also want a copy of your original credit card statement with the relevant section highlighted.

2. A degree of care must be used when filing and forwarding credit card applications

Filing a credit card application and allowing it to be forwarded to someone else can leave you with not only an unused credit card that you have no record of but also a credit report that contains forwarding information. Failure to be careful becomes a simple security risk. Also, consider putting your contact number on your card so that if it is lost or stolen by circumstances, you will be able to report it immediately rather than waiting for the result of a charge.

3. Have a valid phone number secure on a secure site

This is for security reasons just like contacting your credit card company. The first piece of advice is to put your telephone number on your card so that if you should lose the card your call can be connected directly to you. The second is, do not use a website that does not secure.

4. Be sure the website has a secure certificate

This is a security measure. It turns down an unverified application because the data being transmitted is too brief so that no personal information can be obtained by anyone in the short term. It also encrypts any personal information that is recorded on our hard drives.

5. Get a copy of your credit card report so that you know where you stand

From all the data that you have provided to the lender your credit line, current and past due balances and line items have been recorded. When looking at your report look for any overdrafts or payments that you might have made that are listed on your credit report.

6. Hold retain accounts

Again these are security measures that you have at your disposal to protect yourself. When you call your bank to change a payment or account, for example, by saying "I would like to switch all of my retain accounts in here so I will be making the payments directly to this account". That is information that the financial institution has and will save having to tax and time on this.

7. Whenever you are asked for identification, insist on copies of your driver's license or military ID

As stated, every time you are asked for identification, you must provide your driver's license and/or your military ID. Most military members and their spouses are happy to provide this personal information when asked. Note that a reference number is also required to make certain that your military status is known.

8. Be sure that the contact information on the website is correct

Has the phone number the company offers on its site been updated? Does it now operate in the same type of company? Are there any other phone numbers listed? Is this a company you would like to do business with? These are questions you can ask directly to the website. If all of the above checks out, then there is a probably a very good chance that this is an establishment you would like to use.  Be leery of any web site that claims it has no phone number or does not list any phone numbers at all.

Credit card protection includes identity theft insurance and credit monitoring.  If you have the means, please take advantage of these features so you can be on your guard against this very serious and possible threat to your financial well-being.  The best way to protect yourself and your financial information is to be aware of the dangers of identity theft and what to do if you are a victim.

On December 29, 2020 by Decadeofhits   No comments

Credit repair means the same as ascertaining future actions - such as buying a house, getting credit lines increased, and possibly even needing to rent an apartment. Credit repair is a vigorous effort to restore or improve one's credit ratings. It is not a magic bullet if that is what you are looking for but you can achieve results by following a well- structured, systematic and well- hurdles- borne approach to credit restoration.

Credit repair is the process of increasing your credit score. There are many different ways of going about this. The most conventional way is to get a copy of your credit report from all three credit bureaus. Each credit bureau will provide you with a report, and will include information on what they believe to be an accurate report. You can then check it to make sure that all information is accurate and up-to-date, and that negative items are deleted.

Dispute all errors

The first step in any credit repair plan is to dispute all errors you find on your credit report. It is important that you do this every year. It does not have any effect on your score. Any errors that are listed will be wiped off your credit report. Therefore, count your years and see how long it takes to fix these errors since the law states it will have a negative impact on your score. You can dispute your own errors, or make use of the services of a credit manager, who understands the rules of the game and will take care of the legwork for you.

Pay your bills on time

This will be one of the biggest factors on your credit score. It is extremely important that any credit repair that you undertake also includes your ability to make timely payments, as this acts as a safety net for your creditors. It would not make much sense if you closed the doors of paying your bills, only because of a dispute with inaccurate information. All creditors want to know that you can make payments, so if this can be done, that is the first step needed.

Pay down your credit card balances

Credit card balances are by far the biggest source of potential debt. While your interest rates may seem rather high - about 9.9% according to the acting of the Federal Reserve System, you can dramatically lower a debt through your own actions. The biggest culprit is those fees - the annual fee or transaction fee for your high interest card. You can also ask your credit card company to lower your credit card       interest rates, or to lower your monthly minimums. This means less money lost on interest, and more money available to pay down other debt.

Monday, December 28, 2020

On December 28, 2020 by Decadeofhits   No comments

Thoroughly analyze each debt you have. Look for charged off accounts, accounts turned over to collection agencies, or accounts that are getting charged off but remain open. Most of these negative accounts are turned over to collection agencies or charged off. Know which collection agencies are most aggressive and back them in your quest for financial stability. Most collectors will stop collections immediately upon receiving payment, but some can go as far as buying debt at a fraction of the price.

Take action when collection agencies begin contacting you. Answer their letters and calls promptly. Keep a record of each conversation, don't give them any rights to collect in your state. Most conversation will lead to follow-up with a demand letter, as they are called upon again and again. If you have consistent communication from a collection agency and the creditor does not stop the collection attempts, contact a consumer attorney to take action against the creditor. It is merely a call to action rather. Many lenders and collection agencies purposely violate the FDCPA because intervention from a consumer attorney can result in an unfavorable judgment that stays on the report for up to ten years.

Begin the process of credit repair by reviewing your credit reports from each of the three major credit bureaus, Equifax, Experian and TransUnion. You'll find material from each credit bureau on topics such as how to rebuild good credit, agreements between consumer and creditor, privacy, and rights. Continue to make payments promptly and consistently. If you are paying off collection agencies for example, once you have paid them, close the account. That will show collection agencies that you are not willing to default on a loan. Offer a settlement amount to pay off one bill instead of paying several others. You may close accounts by paying off a large balance immediately. Also, learn to have a large reserve in the bank with something such as a CD. Use this money instead of charging everything. Pay down balances and become debt free. Show creditors and collections that you are serious and responsible about maintaining your credit.

Effective credit repair is like exercising; you need to take care of the plan in order to succeed. The sooner your get out of the negative financial situation, the sooner you can regain control of your life.

On December 28, 2020 by Decadeofhits   No comments

Bad credit can have a negative effect on a number of things, from not being able to get loans, to having to much more expensive insurance premiums. On the other hand, having a good credit score can give you the opportunity to secure low interest loans and credit cards with higher limits.

What is Credit?

Credit is the ability to buy now and pay later. For most of us, our first bills are going to be credit cards, but no matter how affordable a car is, it will not be able to afford that $60,000 sports car if you keep spending more than you earn. When you make payments on a credit card, on the other hand, creditors are making a lot of money off of you instead of you making money off of them. The money that you spend on your credit card and are not paying in the meantime can quickly add up.

Benefits of Good Credit

Loans for whatever you desire are a great thing. If you have a fund for a down payment on a car, then you will already have a huge advantage. A car loan can be secure. Other items may require larger down payments, but at least you will not have to wait a year for the item you want. With a large down payment, you will have more money to put toward the product you want and be able to take full advantage of any savings.

Don't let bad credit ruin your life. If you want to get something really "big" like a house, make sure you have good credit. Home ownership may take a few more years, sometimes as much as five years if you have the right credit score, but it will go a long way toward making your first purchase much easier.  Owning your own home may also lower your taxes, because property taxes are based on the value of the house considering it to the value of the mortgage of it. Owning your own home also allows you to "invest" in something that is usually wealthiest, because your profits go much further.

Mistakes Not to Make

If you have too many credit cards, do not get over them. It is not a good idea to have 50-60 of them, or more. You may think that you are being smart by spreading them out, but credit cards are not really a good idea when you have lots and lots of them. You can easily lose track of the money you spend, resulting in all of the debt you can make. Pay everything off on time and in full and it will still allow you to have a great credit score.

If you find that you owe too many debts, do not make payments either. Pay off what you owe and stay on track. It is important not to have too many open accounts, as having too many accounts can actually hurt your credit score. It sure would be cool to need 600 of $10,000 to keep up with payments and pay down the debts. Make sure that you keep just a couple of credit cards for personal use and try to pay the balance off each month.

On December 28, 2020 by Decadeofhits   No comments

If you regularly check your credit report and have data that isn't correct, such as wrong personal information, a wrong address, information for another person (such as someone who is living with you and should not be on your credit report), or information for another address or former residence, you can have these items corrected at no cost. If you find something that you feel shouldn't be on your credit report, contact the credit bureau right away. When you contact the credit bureau, the credit history section of the report will usually include a form to dispute items with you. You need to state exactly why you believe that the information is incorrect, then the credit bureau will investigate, generally within 30 days, and send you a written report of the results of their investigation. You will receive reports in the mail from each credit bureau at least monthly.

After receiving your report, examine it closely to see if errors have been corrected. You may need to contact the other credit bureaus to notify them that you are disputing information on their reports. If your report shows that you will not be able to get credit because of information you believe is inaccurate, try to get a consumer report from another credit bureau to be able to have your name off of the credit report. Your credit history at the credit bureaus is very important. Creditors will look at your credit history as do lenders when you apply for credit. If changes must be made to your credit history and you will not be able to correct them yourself, it's generally much easier to have them made for you than it is to correct it yourself. This is because the company that reports your credit history pays a fee to the credit bureaus to report your credit information. If the information has errors, the company that reported the information only gets paid if there are changes made. Since so few people correct their credit reports, the credit bureaus are happy to see that so many people don't challenge negative information.

If you are denied credit, the lender will give you a copy of your credit report. Under the Fair and Accurate Credit Transactions Act, it's a legal requirement for lenders to give you a copy of the report that shows your application for credit was not denied because of information on your credit report. This is important because if there's something on your report you know is wrong, you should obtain a copy of your file in order to see why you were denied. If you do find errors, contact the credit bureau and provide them with a copy of the report, and explain what's wrong so they can fix it.

Tuesday, December 22, 2020

On December 22, 2020 by Decadeofhits   No comments

The first step to settles credit score inaccuracies is to find the entry on your credit report. If you're in doubt, go online to get a copy of your credit report from the three major reporting agencies: Experian, Equifax and Trans Union. They charge either a small fee or a percentage of the credit (depending on the item) of the information they have on file.

Disputing Credit Bureau entries

If you see discrepancies in your credit report, such as a wrong account number in your personal history, or an old credit card paid off but still showing that you owe a balance, action is your next move. Check your monthly bills and verify that you have the money to pay off the debt. Since so many bills are monthly, the amounts simply shouldn't be too big for you to owe. Then call the credit card and ask them to give you your remaining balance (as long as it's less than half the total bad debt). While you are in this time frame they will ask you for more information regarding your account status, 80% of the time they will be able to remove the information from your report if you simply pay this one off. When you pay it off, they will mark this as "paid on time". Don't get complacent! This will count against you as well as take a penalty of having less credit available to you. This will usually take 60 days for the changes to happen. If you're the type of person who always does their payments on time, give you missed payment some time ago and establish some positive payment history, you could call your creditor and simply ask them to change the negative information to "paid". Do this as your way of negotiating of a major debt. One note of caution, be sure that you are the only one a representative talked to. You'll have to talk to someone that actually has the power to change any information on your credit report.

Ask the bureau to correct errors

You have the right to dispute any information on your credit file that you believe is wrong or incorrect. You are also entitled to ask the bureau to remove any information regardless of its accuracy if the information is outdated. The only way that the information will be removed is if you can demonstrate a reasonable reason that the information is incorrect. There do not seem to be any reasons why you would want to use this option but it is your legal right.

Ordering your credit reports is the same procedure. The only difference is that you do not get them all at once a year as you are entitled to. Get each report with every account you have and review them line by line.

Monday, December 21, 2020

On December 21, 2020 by Decadeofhits   No comments

Since the financial needs of enterprise like a typical small business are dissimilar from a household credit card or convenience store credit card, credit risk scores are established in a unique way. In competing credit card markets, credit risk scores are simply a probability or an educated guess based on applicant's pay history, credit report data, and a specific calculation of the probability of bad debt. However, in the world of small businesses, business credit reports are a record of who took out that loan, how they made there first loan, if they re-paid that loan, and how those payments are doing. Once all of the information from the credit reports is gathered together, a score is computed. This score is not meant to represent creditworthiness, but calculating credit scores for enterprises is far more sophisticated and less speculative than it is for consumers. There is no single company that you can plug credit risk scores data into so that you can readily determine which creditors are too credit- hungry to extend credit, and which ones have a high probability of being past due. Although the factors under individual non-banks and credit unions may be similar, they do not consistently equate credit risk scores with credit risk candidates.

To determine creditworthiness, the results depend on identifying data, such as physical address, length of credit history, identification numbers, and social security number, which is not that easy for anybody outside a business office to do. Nonetheless, according to business credit reporting agencies, there are 5 key points that separate those companies with higher credit risk scores from those with lower scores:

1. Payment Options Terms

In the world of business, you get what you pay for. If a company is willing to pay an extra $50 for a new credit card, they probably won't be mailing you a personal check. If a company does currently accept consumer credit, they won't necessarily offer you an account at a generous interest rate just because you're "risky". The biggest factor that affects credit risk scores is payment terms; it may be less important for a consumer but it is definitely important for a business. If paying more on credit is too costly or too inconvenient for the debtor, they will simply find another way to pay or they may never make it a month. Businesses do not operate in a vacuum. They have to pay bills and they have operational expenses. If they don't have credit options, they will simply sit on the credit that is already extended to them.

2. Total Amount of Credit 

Total amounts of credit is arguably the most important factor of all. The credit extended to your accounts for a significant portion of your credit score, and it is an upward trend that will pull your score up if you are continually increasing your total available credit. One way to quickly increase someone's credit is to call your creditor and request a increase in the total amount of credit granted. Another way is to simply pay a bill less frequently or doing less driving, etc. The more credit you have extended to you in a certain time period, the more your credit score will increase.

3. Length of Credit History 

By length of credit history means how long you have had your credit extended to you, not the amount of time. It is not such a good idea to open a lot of new accounts in a short span of time in order to increase you score, because you could be digging yourself deeper into a hole. Longer credit histories are preferable.

4. Type of Credit 

The type of credit extended to you accounts for 15% of your credit score. It is a good idea to have consistently good standing accounts if you're planning on getting more credit and "burbon" your credit score. High balances, late payments, and high-maintenance accounts are not attractive factors when it comes to a ranking.

5. Inquires

Your request for credit made by other companies accounts for 10% of your credit score. Keep inquiries to a minimum. Although an inquiry does not necessarily reflect you or how credit-worthy you are, too many Inquires will hurt you a bit if they are too frequent over a short period of time. The rates after you are "bought" after opening a credit card or loan can ranges from 0 to 78 points (for example, 80 if you have poor credit and 0 if you have excellent credit). Inquires done by you are called "Hard inquiries" and are included in this portion of the calculation. "Soft inquiries" are those authorized by the credit bureaus that might (in their opinion) have no actual impact on your credit score. These inquiries come anywhere within the 80 to 230 days of your request and do not count against you just like your own inquiries do.