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| *Loan,banking and credit>>>credit repair |
Credit repair? |
Credit repair? Before you waste your time and money on a credit repair company, know this.... Most of the work they do, you can easily do yourself. You simply need to educate yourself on the law. They charge you an awful lot of money, but do not guarantee that they can repair your credit. Many times, they can actually make it worse! Repairing credit involves getting negative reports removed from your credit history. If the reports are accurate, and your disputes get verified, you can not get the reports removed. And neither can a credit repair agency. Credit repair agencies and counsolers have been running a very crooked game over the past few years, prompting the government to pass laws to regulate and license them. There are many crooked companies out there. So, read the links I've posted below. It will explain all of what I've said and guide you on how to repair your credit yourself. If you still don't think you can handle it, at least you will hire a company with a little more knowledge. Source(s): http://www.comresinc.org/forms/credit/cl... http://www.ftc.gov/bcp/conline/pubs/cred... http://www.ftc.gov/bcp/conline/pubs/cred... http://www.cardreport.com/laws/statute-o... http://credit.about.com/cs/creditrepair/... Usually a ripoff. Some honest credit repair services are out there, they do not charge much more than $200 for assisting you with disputing item found in your infile with the three credit bureaus. Remember you can do this yourself, for nothing more than the cost of your time and some postage. There are so many ways to fix poor credit. There is no one single FAST way to do it though. For my suggestion, let's assume you're starting all over again, though you may already be further along with your credit history. First, you should have your own checking account. Whatever you do - DO NOT bounce any checks! Second, apply for a Target guest card (I use this example because Target is local to me, and they've always been able to help my own credit). If you're approved for this card, once you receive it, all you really need to do is charge on it once, then pay the bill off as soon as it arrives. You don't even have to use it again if you don't want to (Or if you're afraid of overextending yourself again). The next thing I would do is to get a major credit card - Master Card, Visa, American Express, Discover. And once again, charge on it once, pay it off immediately, and never use it again if you don't want to (or again feel there's risk of overextending yourself) So far, you're making yourself the banks WORST customer - That's right, WORST. As long as you carry no balance and pay your bill in full, you're building up good credit, and not paying the banks any interest! Sounds crazy, doesn't it? Moving on... My recommendation is to then get a car loan for a small amount. Even if you have the cash to buy it outright, get the loan as an excercise. Again, make your payments ontime all the time, and if able to, pay a little extra each month. It will shorten the term of your loan, and reduce the total amount of interest you pay over time. Try to space each of these activities out, keeping in mind that too many inquiries too close together can make you look desperate for money. I recommend doing the checking account and Target guest card first and near the same time, and wait for 4-6 months before going for that major credit card, then waiting another 4-6 months before applying for the lar loan. Soon, you'll find yourself in good shape with terrific credit! I failed to mention earlier that you should also pull your credit record from all three reporting agencies - experian, Transunion and equifax. I used www.myfico.com. Once you have these, look at how each of them is reporting, and take note of any outstanding debts - pay them off and ask that they report back to the associated agencies. In addition, follow up on this once a year, or more often. What I found is that when bad credit is made right with the debtor, in many cases, they do NOT always follow up and correct it with the reporting agencies, sometimes leaving inconsistent information on your credit report, which can count against you when applying for some of the other things mentioned earlier. One last thing - Home ownership is one of the BIGGEST investments you'll probably ever make. Again, make payments on time everytime. And if things begin looking bleak, DO NOT ALLOW a foreclosure process to be completed. SELL first! AND, avoid ever filing for bankruptcy whenever possible, as this can hurt you for a LONG time if it ever happens to you! Good luck! Any credit repair agency charges a fee and will report to the credit bureau. Credit reports showing CCC (consumer credit counseling) are looked at in a derogatory manner by banks and it affects your credit score. If you need to analyze different options to improve your credit score, go to myfico.com - you can view all 3 current scores for about $14 each. Please utilize the fico simulator, which allows you to make scenarios to see what may help or hurt your scores. This is the best fico website as it is secure with informative and accurate information. Me- I am an account executive for a national wholesale bank. |
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