You and Your Credit Articles
We’ve Decided to RAISE our Borrowers’ Interest Rates
“We appreciate your loan business very much, but because the economy has gotten difficult we’ve decided to TRIPLE your interest rate effective immediately. When your next statement comes, the payment and interest rate will be higher, but don’t panic – it’s just our way of staying profitable so we can continue to serve you…” OKAY, BEFORE YOU CALL ME IN A PANIC – THIS IS NOT TRUE!!! But are you one of the ...Credit Scoring In Plain English
Most people understand that there are 3 major credit bureaus who keep track of all your credit transactions, and that they give you a rating – known as a “credit score”. But very few people understand how this “score” is actually determined. It is a complicated mathematical scientific formula locked away in a secret vault somewhere, but you don’t want “complicated”, “mathematical”, or “scientific” mumbo jumbo to stuff in your head, so ...Credit Report Errors? Or Deliberate Misreporting?
You just got a copy of your credit report and it is full of errors and accounts that aren’t yours. Your first reaction is to get mad at the credit reporting agency for being so stupid and ruining your life. But hold on a second there pardner… Before you direct your anger at the wrong place, you need to understand that the credit reporting agencies rarely make errors. The report you have in ...Using Bribes and Threats To Get a Good Credit Account
Yes, you read the title correctly. If you need to add a good credit account to your credit report (and the only way you can raise your credit score is if you have some good credit accounts), you can try using a bribe to get one. And , yes, this is legal to do! The best place to start when trying to add a new credit account is your bank. Go in and ...“SAFETY NET” Credit Scoring Factor
Lenders and credit card companies use your credit score to help determine how likely it is that you will pay back the money they lend you. Fair Isaac Corporation, the creator of FICO credit scores (the most commonly used credit scoring system) has a breakdown of the relationship between your credit score and your chances of being a “Good Player” vs. a “Bad Player” (see chart here). So, your credit score reflects an estimate ...How Many Credit Accounts Should I Have?
Many people ask me, “How many credit account should I have?” I could give you a “Well, it depends...” kind of answer, but you are reading this looking for real answers and advice, so I’m going to boldly give you an answer. I don’t know of any scientific study that suggests that my answer is the correct one. All I can tell you is, I’ve dealt with literally thousands of credit reports over the ...They ARE Plotting Against You – Watch Out For Universal Default!
Almost all credit card companies have adopted the policy of Universal Default. So what is Universal Default? This is the legal right for them to change the terms of your agreement if you become a riskier borrower. What kinds of changes can they make? Well, they can immediately raise your interest rate up to a predetermined “default rate” that you’ll find somewhere in the fine print of your credit card agreement. It is quite ...Universal Default – Yes, They ARE Out To Get You!
Read the fine print of virtually EVERY credit card agreement these days, and you will find a hard to understand clause called “Universal Default”. Most everybody understands that failing to pay your credit card bill on time can result in a late charge being tacked on. This has been going on for years. And many credit card users have learned the hard way that failing to make your payment on time can result in ...Where To Get Your Free Credit Report
Before you can start working on raising your credit score, you need to get a copy of your credit report to see what you’re dealing with. You’ve no doubt heard of the website FreeCreditReport.com, and this is one place you can get your report if you’re willing to sign up for a $14.95 a month credit monitoring service (you do have 7 days to cancel before you have to pay anything – just be ...Latest Articles
Credit Scoring is like a Teeter Totter
Back in the days when it was okay and acceptable to have dangerous, limb-breaking, skull-cracking playground equipment on school ...
I’ll Start Saving, Just As Soon As…
Of course you’ve heard that you need 3-6 months of spending money tucked away ...
Free IRS Money for Home Buyers
Great news for First Time Homebuyers! The massive economic stimulus ...
We’ve Decided to RAISE our Borrowers’ Interest Rates
“We appreciate your loan business very much, but because the economy has gotten difficult we’ve decided to TRIPLE your interest rate effective immediately. ...
Does Your Home Have A Story To Tell?
I am often asked by my real estate partners to assist them in marketing their listings. They know I like to write and tell stories ...