Credit Tutor
Credit ratings affect many of today's lending decisions. From renting an apartment,
insurance rates, auto and home loans, and even employment can hinge on your credit
score. This is what is referred to as "creditworthiness" which determines whether
you will qualify for credit approval and for competitive interest rates.
What is a Credit Score?
A credit score is primarily based on credit report information typically sourced
from the credit bureaus. The main bureaus include: Experian, Equifax, and TransUnion.
How long does information stay on my credit report?
The credit bureaus report credit information for a period of (7) years. Some states
have their own provisions for collections and paid liens. Bankruptcy is reported
for 10 years from the date of file.
How long does it take to repair my credit?
There is no definite answer, but definite advantages. Using My Credit Tech eliminates
the time invested in learning credit laws, crafting correspondence, tracking each
dispute and following up with the credit bureaus. However, maximum results are achieved
anywhere from 3 to 8 months, depending on your situation.
What does the law say about Credit Repair?
Congress enacted the Fair Credit Reporting Act (FCRA) in 1971 to insure that the
credit bureaus investigate credit items which consumers dispute. This Federal law
set guidelines which provide the consumer the right to challenge the accuracy, validity,
and verifiability of all items which are listed on your consumer credit report.
It also required that the credit bureau repair any credit listing if it was inaccurate
or could not be verified.
What hurts my credit? How do I make it better?
Credit is affected by various actions: Late payments, Collections, Charge-offs Reposessions,
Foreclosures, Bankruptcies, Tax Liens, Judgements, Unpaid/Late Child Support.
Each month every account that you have, reports your current status, either positive
or negative. If you make your payment on time you're credit carries over a positive
status. Non-payment or payments made after the due date will have a negative impact
on your credit and decrease your score.
In addition, there are also other factors that influence your credit score such
as your debt to income ratio and the number of credit inquiries made each time you
have applied for credit.
|
|