Every thing we do today is driven by credit, from loans to employment. Well get this, as if things are not tough enough your good credit just isn’t going to cut it anymore. It is more difficult to obtain credit than ever before plus the fee’s are going through the roof.

Check Out this information on your credit just not what it was.

http://finance.yahoo.com/banking-budgeting/article/108486/good-credit-score-not-good-enough-anymore

Have you shopped for a loan recently? If so then you may have been it with the harsh reality that credit score price adjustments are real. These adjustments can effect someone with a 700 credit score, just imagine the negative effect on the lower scores. The price adjustments can be 3% just for your credit score.

If you have not checked your credit score recently, you need to get it. Remember only from MyFico.com, this will help you to be proactive instead of reactive in the battle of credit based pricing.

Be on top of your number, and get the help when you want it and not when you need it.

Topics: Authorized User, Bankruptcy, Charge Offs, Collections, Credit Basics, Credit Builder, Credit Cards, Credit Repair, Credit Repair Services, Credit Repair Success, Credit Repair Webinars, Credit Scoring, Debt Management, Debt Negotiation, Debt Settlement, Identification Protection, Loan Modifications, Moral Credit Repair, OCR Revealed | 1 Comment »

Recently there was a big buzz about FICO releasing their damage points. In the article that was released by a leading publisher it supposedly revealed the FICO damage points. Damage points in this case were referring to the amount of damage that a negative action could have on your credit score. Knowing this could totally change the game of credit and credit repair for sure.

Well they did release an example of what could happen to your credit score if you fit this exact near perfect case. The key is could happen, but the author wrote the article as if this will be the case. That could not be further from the truth. FICO has so many different algorithms plus 16 score cards on their new scoring model which leave an . To fit this criteria in itself would be like hitting on some lotto numbers. An experienced professional who understands score cards and the use of credit score reason codes should be able to give an idea of the impact of items on a case by case basis. These “Damage Points” being revealed is nothing but some fools gold that was taken out of context.

The reality is this was just someone trying to get their name and face out there, which they did. The article was misrepresenting FICO Damage Points and was pulled down almost immediately . There are just too many factors that go into a FICO credit score to just give a number on score damaging actions. You can use the score simulator on myfico.com to see what could happen. This again is only an estimate and situations can change on the fly.

This article that slipped on the scene is a great example to be careful of who you listen to when it comes to credit. The publisher is one of the top news sources on the internet and let this happen. Another good lesson to be diligent with research especially on a topic as misunderstood as credit scoring.

Topics: Credit Basics | 2 Comments »

The Credit Card Holder’s Bill of Rights is going into effect, the CARD Act provisions will become enforceable by law in February 2010.

These last few months in the credit card world’s version of the Wild Wild West we should continue to see credit card issuers behaving very badly!. The mega-credit card issuers time-line to finish remolding their cardholder client base to look more like what they are seeking. This means consumers will continue to suffer the at the hands of their credit card companies, that is of course unless they employ one or more of the following strategies.

1. DO NOT – NOT Use Your Card – Credit card issuers are in busy to make money and make a profit. They can’t do either unless you are using your credit card. The best news is that you don’t have to carry a balance from one month to the next in order to drop a few dimes in your credit card issuers pockets. Each time you use your credit card the merchant (aka the place you used the card) has to pay the bank a fee. This fee is called interchange. It technically comes out of your pocket because many retailers will build the assumed fee into the price of the merchandise but it sure doesn’t feel that way when we buy stuff with our credit cards. So, knock the dust off your cards and use them for modest purchases. Don’t revolve a balance and don’t get into a position where your balances spiral out of control and you’ll be fine.

2. Shut Up! – In the past a viable strategy to get fees waived and interest rates lowered was to call your credit card issuer and complain or otherwise plead your case. That’s still a decent strategy but beware. Your credit card issuer might turn the tables and start asking YOU questions in order to determine whether or not they still want to do business with you. If you call them and THEY start asking questions about your job status and salary then end the convo and hang up or you might just end up with a closed credit card.

3. Open Another Card, NOW – One of the worst strategies I see people employing today is the 1-card strategy. This is a consumer who has swallowed the Dave Ramsey gospel hook, line and sinker. The problem is that it’s unrealistic and appealing only to the lowest common credit denominator. You should have MORE cards, not fewer cards. Clearly this is a credit score play as well since having more available and unused credit limits are always good for your credit scores. So, if you have one or two credit cards right now, think about opening at least one more. This gives you options in case one of your credit card issuers starts behaving badly towards you. Nothing is more empowering than saying “I’ll take my business elsewhere” and then actually doing it.

4. Don’t Hide Behind Great FICO Scores – FICO published a study earlier this year and the findings showed that the median FICO score for a consumer who has seem his or her credit limit reduced was 770. A 770 FICO score is fantastic in any lender’s book and especially in this credit environment where lenders are gravitating to stronger borrowers. What this means is that just because you have great FICOs it doesn’t fully shield you from adverse treatment from lenders.

5. Go Small and Go Local – We, as consumers and watchdogs, tend to focus on the largest 5-10 banks and tend to forget about the thousands of lenders who are NOT treating their customers poorly. Credit unions are a great example of these lenders. If you are sick of how you’re being treated by your Manhattan bank then perhaps you need a local credit union or local bank on your side.

6. Don’t Exit The System – The blogs are on fire with angry consumers who are claiming to have sworn off credit for the foreseeable future because of how they are being treated by their lenders. “From now on if I can’t pay cash for it I won’t buy it.” Eh, that plays well on the big screen but it’s not realistic. Carrying around cash to pay for things is a bad idea. And good luck using debit cards for things like business travel and European vacations. Credit cards can help and do protect you, keep in the game

7. If All Else Fails, Litigate – If you’re finding yourself saddled with a garbage credit report because of errors and you can’t the credit bureaus or lenders to correct your files then think about filing a lawsuit. You certainly wouldn’t be alone. There will be over 8,500 credit related lawsuits filed this year. Collections agencies are the targets in most of them but certainly the credit bureaus and lenders are in the cross hairs a fair amount too. Just be sure to hire a lawyer who knows what their doing.

Here are seven solid strategies to hopefully minimize your chances of being treated poorly by your creditors. And while there are certainly no guarantees that you’ll exit this credit environment without a few scars, you can certainly make yourself as immune as possible by doing a few easy and inexpensive things. Good luck!!

Topics: Credit Basics | 1 Comment »

The results achieved with credit repair are as different as night and day. When considering a credit repair company you want to do your research. You want to know that the company is both fast and effective.

What good is credit repair if you have to wait years for less than expected results? How do you even know what kind of results to predict with the service? The only way to really know is to see what the actual clients have received and the time that it was accomplished.

The average success rate with credit repair for our company is over 70%. We define success as items deleted, updated, or changed to reflect good standing. Most companies have an average success rate of less than 30%. Most companies simply mail out template disputes to the credit bureaus alone. We take a multi-front attack requesting validation from your creditors, the foundation of the problem. We then simultaneously use customized disputes with the credit bureaus aligned with your case. This aggressive method of attacking both sides is what makes the big guys move on to pick on an easier victim.

No matter who you decide to hire to help you achieve your credit repair results, be diligent. You will want to see actual responses directly from the credit bureaus, before and after credit score case studies, plus you would want to hear real customer testimonials. The things to review will be the average time-frame the clients receive the results, their credit score increases, and most importantly the average success rate of removing negative items. When you know the average success rate you will get a good idea of what you can expect for yourself.

Topics: Credit Basics, Credit Repair, Credit Repair Services, Credit Repair Success, Moral Credit Repair | 1 Comment »