Are you buying a house or a car in the near future? Did you realize that your credit score is going to determine your interest rate? This will be with you for many years to come.
A credit repair specialist can review your report and be of great help to you. Offering tips and advice on how to fix your credit and avoid future mistakes will only help your credit score go up.
It’s hard to believe that one number can have such a big impact on your financial future. This credit score makes all the difference and affects every loan you take out. The interest rate will then determine what you owe, and that has an impact on your monthly budget. Take note now, that every point on your credit score matters.
The mistake most Americans make is simply ignoring their credit. It’s not going to change or go away on its own! I think most people are looking for a quick fix or great results and that won’t always happen. Actually, that usually never happens. Instead, start taking small steps because they will add up to a big result.
By making small oversights, you can push your credit score into the negative. Whether you have good or bad credit, any changes you make can only help you and affect your future. Credit repair is necessary because no matter where you are, there is always room for improvement.
You should start by taking a look at your credit report. When it comes to credit repair, you need to be fully informed about what you are trying to fix. Before going to apply for a loan, wouldn’t you like to see what they will base their decision on? There is a problem with the credit reporting system. Credit bureaus don’t want to spend the money necessary to keep up with quality control.
Because of this poor system that they have put in place, Congress has allowed us access to a free credit report every year. That leaves it up to you to pay close attention to your report and any inaccuracies that may have been reported or not updated.
It’s no secret that lenders make decisions based on credit scores. Did you know that the credit bureaus sell a “special” credit score and that is a FICO score? This is the score Fair Isaac Corporation obtains based on consumer credit information. Now, bureaus aren’t selling these scores to consumers.
This is where it gets a bit tricky, but you can follow along. If you buy your score from the credit bureaus, you will get your score (which has nothing to do with FICO). However, on the Fair Isaac Corporation website you can get all three scores for $50. This is a worthwhile investment.
If you are applying for a loan in the short term, then you really need to put some restrictions on the use of your credit. Any new accounts you open will hurt your credit scores, and any additional inquiries aren’t good either. I know it’s exciting, and take note of the people who have gone out and bought new furniture on a new line of credit before they even got a home loan! Only to have that new account hurt your score and then affect your interest rate.
Beware of any store that offers purchase credit for points. You hear it weekly “Want to open an account and save 10% on your purchases today?” Be firm and keep saying no to it. Of course you can save money, but do you really want to do more damage to your credit score right now?
All of your lines of credit and loans are important, but credit cards really have a big impact on your scores. If you have a credit card that maxes out and then apply for another loan, your score will suffer. Even up to a hundred points! Get started now and pay off your balances. Ideally, when you work with a credit repair service, you’d like to have your balances around 20% of the limit.
Maybe you’ve filled out your mortgage application only to be told your credit scores are too low. Do not lose hope. Mortgage brokers have a resource at their fingertips called Rapid Rescore. This is credit repair software that helps them calculate how to get more points towards their score. Only mortgage brokers have access to this and can help potential buyers increase their scores.
Let’s say, for example, that you filled out your mortgage application only to discover that you should have paid off your balances beforehand. There’s time, just contact your credit card company and let them know you’d like to make payments and get your balance now. As fast as possible! They will be able to give you the help you need.
Once you’ve made your payment, ask for a confirmation letter to be mailed or faxed to you with your new balance. This letter should be given to your mortgage broker and they can do the Rapid Rescore. Typically within three days, your scores will reflect the new score and your new balances.
Finally, professional help is available. There are credit repair experts ready to help you. There are many possible ways to increase your credit score and repair your credit. Taking it to the professionals will ensure that all options are explored and handled in the fastest way.
Remember, every point counts here and trusting someone who knows what they are doing can’t hurt you, only help you. Take the time to find a reputable credit repair agency, and before you know it, your scores will have nowhere to go but up!
