Posted on 2015-12-09 08:00:25
In a perfect world everyone would have a completely accurate credit report. But, unfortunately, that is not the world we live in. The reality is that mistakes on credit reports happen rather frequently. The worst mistake may be the one you don’t know about, the one that could be causing you to pay high interest rates or larger down payments. The bottom line is no one is more responsible for checking the accuracy of the information in your credit report than you. You are the one who will know if something on your credit report is inaccurate. You are the one who can take action to correct errors on your credit report.
How Information Gets on Your Credit Report The three major credit bureaus—Equifax, Experian and TransUnion--collect information from credit card companies, banks, landlords and other businesses and government agencies consumers deal with. They compile this information in individual credit reports, then sell the information to lenders and other entities to use to evaluate your creditworthiness. A lot of information is passed to the credit bureaus every day, and the potential for errors is high. How Inaccuracies Happen Most of the mistakes on a credit report could probably be traced back to human error. But sometimes the problem is identity theft or credit card fraud. Whether someone has stolen your credit card or merely obtained enough personal information about you to open new accounts, the information that is reported to the credit bureaus is accurate—it’s just not yours. Take Charge of Your Credit Report There is really no excuse for not knowing what is on your own credit report. You are the one who will recognize mistakes in your personal information. You are the one who can spot a new account that you didn’t open or fraudulent charges. If you check your credit report and find nothing amiss, congratulations! But don’t be foolish enough to think a mistake can’t show up tomorrow. MyFreeScoreNow’s credit monitoring service will keep daily tabs on your credit report and will alert you whenever there are significant changes you should personally verify. If you find mistakes, you can begin the process of disputing those items.Credit monitoring puts time on your side and gives you one less thing to think about as you go about the business of life. Give yourself the gift of credit monitoring in 2016.
Posted on 2015-10-07 09:00:12
Your credit report tells the story of how you have and are handling credit obligations. The heart of your credit report is the listing of your credit accounts and loans with details about each—the type of account, when it was opened, your credit limit, the current balance and your payment history. Those you have accounts with update information regularly. Credit report mistakes are rather common and can result in a lower credit score. That can impact your access to credit at the best terms. But it doesn’t stop there. Other entities such as utility companies, insurance companies, landlords and employers use the information in your credit report—or the credit score calculated based on that information—to make decisions that can affect your life. Accuracy matters! When you spot an error on your credit report, it should be reported to the credit bureau that is listing the incorrect information.
Report Errors to the Credit Bureau Report credit report errors in writing to the credit bureau that is listing inaccurate information. Your credit report will have contact details for each credit bureau. Include copies—not originals—of documents to support your claim. Explain your side of the story and why you think there is a mistake. The credit bureau must investigate within 30 days (unless your claim is frivolous). They must forward the information in your claim to the information provider who must investigate and report back to the credit bureau. If the information provider determines the disputed information is inaccurate, it must notify all three national credit bureaus so the information can be corrected on your credit report with each credit bureau. When the investigation is complete, the credit bureau must provide you with the results (in writing) and a free copy of your credit report if the dispute resulted in a change to the report. If the investigation is not in your favor, you can add a statement to your credit report that will be included with future reports. Credit Report Monitoring Since information on your credit report can change frequently, it is a good idea to review your credit report periodically. MyFreeScoreNow’s credit monitoring service will alert you whenever there are significant changes to your credit report. This early notification of potential errors can help you maintain the accurate credit report you deserve.
Posted on 2015-09-24 16:33:12
Identity theft is the fastest growing crime in America. It is a crime that strikes victims from all walks of life. It happens when someone uses your personal information to assume your identity for personal or financial gain. Even the most careful consumer can become an identity theft victim. What sets identify theft apart from other crimes is that it is a silent attacker, often going undetected until an enormous amount of damage has been done. Criminals may go on spending sprees, open new accounts, apply for large loans, establish cell phone service and even file for bankruptcy or commit a crime using your personal information. Identity theft takes an enormous toll on its victims, many who have worked a lifetime to establish and maintain a good credit record. The best way to limit the damage done by identity theft is to act quickly. Here are 5 steps to take if you suspect you may be an identity theft victim.
Posted on 2015-09-11 09:00:51
We spend a lot of time talking about things that can hurt your credit score. This article focuses on 5 things that won’t help or hurt your credit score. 1. Income Whether you are working for minimum wage or are independently wealthy, your income does not directly affect your credit score. Your employer’s name may be recorded on your credit report, but your income is not. That said, your income could certainly affect how you pay your bills, and that affects your payment history which is a major factor in most credit scoring models. 2. Child Support or Alimony Do you pay child support or alimony? Don’t expect it to help or hurt your credit score unless you become delinquent. If you become delinquent, your account may be turned over to a collection agency. The collection agency may report the delinquency to the credit bureaus. But aside from that scenario, child support or alimony is unlikely to affect your credit score.
Posted on 2015-07-15 09:00:30
Your credit score matters! A higher credit score can save you money each and every month through lower interest rates and better credit terms. It can add up to thousands of dollars over time—money that could be in your pocket instead of a creditor’s. Yet everyday people make mistakes that hurt their credit score. Here are 5 mistakes to avoid. 1. Late Payments Late payments will put you on the fast track to a low credit score. Not only will you have late fees to pay, that black mark on your credit report is a red flag to other creditors to beware. Always, always, always make your payments on time. If you are the forgetful type, set up a calendar reminder or automatic payments to ensure that your payments aren’t even a day late. 2. Charging Too Much Creditors like to see some leeway between your credit limits and the amount you actually charge. Most experts recommend you keep your balances below 30%; some recommend even lower. Just know that the ratio between how much you owe and your credit limit can account for about 30% of your credit score. Keep balances low for a better credit score.