Posts filed under 'House Of Mathematics'
Have you recently applied for a loan only to hear the dreaded word “denied”? This type of situation is one that can be devastating. It doesn’t mean you are irresponsible or shirk your bills. Regardless of the stigma attached to a low credit rating, there are probably logical reasons for your less than flawless credit. Still, the damage has been done. Now it’s time to fix it. If you follow some simple credit repair tips, you could be on your way to mending your credit.
The first credit repair tip to remember is that you can dispute any items on your credit report. The credit bureau must prove any claims. If they cannot prove them, they must remove the items from your credit file. If they don’t respond within one month of your disputing of an item, they must remove that item from your credit report.
Another credit repair tip is to contact any creditors with which you have outstanding accounts. Sometimes, being candid about your financial woes is the best option. Schedule a payment arrangement on the contingency that they update your credit report to reflect the account as being up to date. Make sure to keep your new payment arrangements. Getting behind again is the worst thing you can do when trying to boost your credit rating.
A simpler credit repair tip is one that might appeal to you if you are overwhelmed by the prospect of contacting creditors. You always have an option of having someone do the “fix-it” work for you. You can approach a credit repair company. Just be sure that you read all the fine print in any agreement. Remember that according to the Credit Repair Organization Act of 1997, credit repair companies are prohibited from accepting a dime from you until service has been rendered. Make sure that they have given you documentation of all payments, contract terms, etc. They should also be able to give you an estimated time frame of how long the reconstruction process will take.
No credit repair tip can magically erase the blemishes that taint your credit report. However, following these few simple credit repair tips can help shape your credit into that of a more desirable candidate. Take steps toward making your loan application disappointments turn into a thing of the past. Before you know it, you may hear that magic word “approved”!
Cornelius P Crumpacker
More Than 100 tips To Help Repair Your Credit
http://www.usacreditinfo.com
March 12th, 2008
Bankruptcy administers a devastating blow to your credit card. A bankruptcy may remain on your credit report for up to 10 years. But these effects do not remain long lasting; it starts to diminish on your credit report as soon as your case is closed.
Even before bankruptcy drops your previous credit report, you could qualify for credit with good rates and terms. In fact, newly discharged debtors are frequently solicited for enrollment onto new cards. However, before you plunge back into the credit world, consider the extent to which easy credit lead to a bankruptcy filing before you sign up for new cards. You must ensure that a responsible credit habit is maintained for payment of bills, and only a small portion of the available credit should be used.
Most credit card companies will allow you to keep their credit card for use even after you have filed bankruptcy. This is on the condition that you agree to reaffirm the balance on the card and enter into a new agreement, which is signed after the bankruptcy filing. Most creditors want your future business, and hence will be willing for you to use their cards.
A recent bankrupt may give you trouble to qualify for a regular, unsecured credit card. It may even turn out to be more expensive than before, and available with lower limits. Financially, secured credit cards offer you a better deal than any of the unsecured cards you’re likely to run into after your bankruptcy.
So it is best to opt for a secured card, which sets a limit for you. This credit limit in a secured credit card is equal to an amount you have to deposit at the card-issuing bank. A secured credit card requires up to $500 to be deposited. This amount may seem miniscule as compared to exorbitant credit limits you may have enjoyed before bankruptcy.
A secured credit card is usually available at lower rates than unsecured credit cards. But secured credit cards have gotten a bad rap, because most don’t help you rebuild your credit history.
Also, you must choose your secured card wisely. Look for a card, which has no application fee and a reasonable annual fee. Some secured cards demand huge upfront and annual charges.
If you maintain a good credit limit and make your payments on time, after 12-18 months you could be upgraded to a regular unsecured credit card.
However, there are some unsecured credit cards that you would also do well to steer away from. Most unsecured credit cards charge you such high up-front fees that you’re in debt before you even receive the credit card. Since your goal is to re-establish your credit, pick a credit card that you think is best suited for you.
Then apply for that one card. Don’t apply for several cards as they will stir up too many new inquiries on your credit reports. This will make your creditors nervous and less likely to extend credit to you.
For more detailed information on a credit card debt solution feel free to visit our online debt consolidation blog.
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January 7th, 2008
Lenders are quite fussy about what they like to see on your credit report. So much so that you will have a hard time to meet their high expectations. But what exactly are they looking for? In this article we take a look at one aspect of your credit history that lenders have a keen eye out for.
Most revolving loans, loan accounts and credit cards will show a monthly payment pattern describing your history for up to 6 years, although often only the last 3 years are visible on your credit history. Usually a revolving credit account or credit card account will be shown as a row of numbers, each one representing a single payment month. Often ‘0′ is used to show - on time, ‘1′ is used to show 30 days late, ‘2′ - 60 days late, and so on through to 9, which is generally indicating an account that has been written-off or sent to a collection agency. You should note that different credit reference agencies employ different codes but the agency concerened will normally give you a full explanation of the codes used.
As an example a well kept credit card should look something like this:
0000000010000121211001000000000000011000000100000
Even though some payments were late the card is generally well kept - lenders don’t normally expect perfection so the above example looks pretty good.
Conversely a bad credit card might appear something like this:
0001234110012212341110001231113334456789999999999
Notice that even at the start the card was maintained erratically and unreliably, often falling into arrears. Eventually this lead to the card becoming delinquent and written off. Lenders don’t like to see this at all.
Having credit cards and using them regularly and wisely, shows the lender that you are a model borrower. You are likely to be awarded around 50-100 bonus points for every loan or credit card that has been well maintained and/or paid back on time.
Jack Miles, Author of “The Complete U.K. Credit Repair Guide”, produced the guide to help people restore a poor credit rating and enjoy the benefits of good credit. The guide shows subscribers step by step how to repair bad credit history, how loan application forms are scored, how to remove court judgments (CCJ’s) and also how to best fill apply for loans to gain the best chance of approval.
For more information please visit The Complete UK Credit Repair Guide at http://www.creditsecrets.co.uk
This article is Copyright 2005 Jack Miles.
Reprint Rights: This article may be reprinted only in full (unedited), and complete with author’s name and active links. All other rights reserved.
December 8th, 2007
Car auctions can be a great place to snap up a bargain - but online there are so many car auctions available to browse. I had been searching high and low for a used but modified ford focus, only to come to the big names and not find a decent modified car.
I then came across UK modified car auctions, which had a good range of modified cars for sale in the uk. And because they are auctions you can snap up some great deals. Modified car hunting has been alot more fun since, I have brought 4 different cars in the last year - cleaned them up a bit and sold them on! all thanks to getting them at online modified car auctions. A great way to do it if you ask moi!
Typically its your boy racers who buy a semi nice car - do it up, adding 5k of stereo, 4k body kits, 4k paintjob and a whole lot more - I saw this one ford escort that had had more than 50k put into it for sale at just £8k - thats insanity. So dont pimp it yourself kids - get one from an online modified car auction! they rule!
October 28th, 2007
By: Dean Konstantine
Did you know that 70% of adjustable rate mortgage will be adjusting in the next 12 to 18 months? The worst may still be ahead for the sub-prime mortgage holders. The 2/28 loans have been a devastating ordeal for people thinking they would refinance their way out of these loans at the end of their two year fixed period or before their loans adjusted.
Why would anyone agree to such a nasty loan? Simple, they could not afforded the home of their dreams without the 2/28 reduced intro rate loan? No. It should be no surprise to the mortgage bankers who funded them and the mortgage back securities investors who bought these loans since the Fed steadily raised rates for fear of inflation, which I might add they, the Fed created when they drop their Fed rate to 1% in 2001. Read my article on www.deankonstantine.com
Now the Fed has spoken and they fear inflation more then mortgage defaults since they kept their rate unchanged today. Leaving mortgage rates to continue to climb if current economic trends do not change.
Now we have the politicians telling us how we need new regulations put into place so those bad brokers won’t be able to pull the wool over the eyes of the unsuspecting consumer! Looking back we know millions of these loans were sold with the blessing of the federal government who was encouraging home ownership for some who otherwise could not qualify to become home owner even with government programs like FHA, VA or Fannie, Freddy.
Was it really the brokers? No, of course not, the brokers only sell what is available to sell, brokers can not underwrite nor fund these loans, they can only submit them to the bankers who underwrite and fund these loans! Did the bankers create and fund these loans because they love people and really wanted to help with the home ownership dreams of the less fortunate? Not likely, they did it because of the huge and I mean huge profits made by these loans! Profits that make the oil companies feel poor!
We know Ms Clinton wants donations from the wealthy bankers for her campaign, so siding with them is only natural, brokers don’t have the money nor the political clout of the Wall Street bankers. But before throwing stones, think about this, auto dealers don’t build the cars, they only sell them, brokers can’t create the loans they sell, only big money can do that! Try to get it straight Ms Clinton.
I know people are led to believe brokers falsify information to get approvals for their clients and maybe a handful go that rout, but do you really think every broker is willing to risk their license to do business by breaking the law when they know the layers of quality control involved with a loan package? Not very likely. But before the pot starts calling the kettle BLACK maybe someone should look at the integrity and the self serving actions of politicians sounding alarm.
So, please stand by because if things do not get put in order the second shoe will drop soon in the form of the 3/27’s as they are known in the industry, the three year fixed ARMs now on the horizon and ready for adjustment. This might be avoided if the Fed inflates money again like it did to bail out their friends in the stock market crash of 2000. Follow along at www.deankonstantine.com
August 7th, 2007
Your credit report–a type of consumer report–contains information about where you work and live and how you pay your bills. It also may show whether you’ve been sued or arrested or have filed for bankruptcy. Companies called consumer reporting agencies (CRAs) or credit bureaus compile and sell your credit report to businesses. Because businesses use this information to evaluate your applications for credit, insurance, employment, and other purposes allowed by the Fair Credit Reporting Act (FCRA), it’s important that the information in your report is complete and accurate.
Some financial advisors suggest that you periodically review your credit report for inaccuracies or omissions. This could be especially important if you’re considering making a major purchase, such as buying a home. Checking in advance on the accuracy of information in your credit file could speed the credit-granting process.
Getting Your Credit Report
If you’ve been denied credit, insurance, or employment because of information supplied by a CRA, the FCRA says the company you applied to must give you the CRA’s name, address, and telephone number. If you contact the agency for a copy of your report within 60 days of receiving a denial notice, the report is free. In addition, you’re entitled to one free copy of your report a year if you certify in writing that
(1) you’re unemployed and plan to look for a job within 60 days,
(2) you’re on welfare, or
(3) your report is inaccurate because of fraud. Otherwise, a CRA may charge you up to $9.00 for a copy of your report.
If you simply want a copy of your report, call the CRAs listed in the Yellow Pages under “credit” or “credit rating and reporting.” Call each credit bureau listed since more than one agency may have a file on you, some with different information. The three major national credit bureaus are:
- Equifax, P.O. Box 740241, Atlanta, GA 30374-0241; (800) 685-1111.
- Experian P.O. Box 2002, Allen, TX 75013; (888) EXPERIAN (397-3742).
- Trans Union, P.O. Box 1000, Chester, PA 19022; (800) 916-8800.
Correcting Errors
Under the FCRA, both the CRA and the organization that provided the information to the CRA, such as a bank or credit card company, have responsibilities for correcting inaccurate or incomplete information in your report. To protect all your rights under the law, contact both the CRA and the information provider.
First, tell the CRA in writing what information you believe is inaccurate. Include copies (NOT originals) of documents that support your position. In addition to providing your complete name and address, your letter should clearly identify each item in your report you dispute, state the facts and explain why you dispute the information, and request deletion or correction. You may want to enclose a copy of your report with the items in question circled. Your letter may look something like the sample below. Send your letter by certified mail, return receipt requested, so you can document what the CRA received. Keep copies of your dispute letter and enclosures.
CRAs must reinvestigate the items in question–usually within 30 days–unless they consider your dispute frivolous. They also must forward all relevant data you provide about the dispute to the information provider. After the information provider receives notice of a dispute from the CRA, it must investigate, review all relevant information provided by the CRA, and report the results to the CRA. If the information provider finds the disputed information to be inaccurate, it must notify all nationwide CRAs so they can correct this information in your file. l Disputed information that cannot be verified must be deleted from your file.
If your report contains erroneous information, the CRA must correct it.
If an item is incomplete, the CRA must complete it. For example, if your file showed that you were late making payments, but failed to show that you were no longer delinquent, the CRA must show that you’re current.
If your file shows an account that belongs only to another person, the CRA must delete it.
When the reinvestigation is complete, the CRA must give you the written results and a free copy of your report if the dispute results in a change. If an item is changed or removed, the CRA cannot put the disputed information back in your file unless the information provider verifies its accuracy and completeness, and the CRA gives you a written notice that includes the name, address, and phone number of the provider.
Also, if you request, the CRA must send notices of corrections to anyone who received your report in the past six months. Job applicants can have a corrected copy of their report sent to anyone who received a copy during the past two years for employment purposes. If a reinvestigation does not resolve your dispute, ask the CRA to include your statement of the dispute in your file and in future reports.
Second, in addition to writing to the CRA, tell the creditor or other information provider in writing that you dispute an item. Again, include copies (NOT originals) of documents that support your position. Many providers specify an address for disputes. If the provider then reports the item to any CRA, it must include a notice of your dispute. In addition, if you are correct-that is, if the disputed information is not accurate-the information provider may not use it again. Accurate Negative Information When negative information in your report is accurate, only the passage of time can assure its removal. Accurate negative information can generally stay on your report for 7 years. There are certain exceptions:
- Information about criminal convictions may be reported without any time limitation.
- Bankruptcy information may be reported for 10 years.
- Credit information reported in response to an application for a job with a salary of more than $75,000 has no time limit.
- Credit information reported because of an application for more than $150,000 worth of credit or life insurance has no time limit.
- Information about a lawsuit or an unpaid judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer. Criminal convictions can be reported without any time limit.
Adding Accounts to Your File
Your credit file may not reflect all your credit accounts. Although most national department store and all-purpose bank credit card accounts will be included in your file, not all creditors supply information to CRAs: Some travel, entertainment, gasoline card companies, local retailers, and credit unions are among those creditors that don’t. If you’ve been told you were denied credit because of an “insufficient credit file” or “no credit file” and you have accounts with creditors that don’t appear in your credit file, ask the CRA to add this information to future reports. Although they are not required to do so, many CRAs will add verifiable accounts for a fee. You should, however, understand that if these creditors do not report to the CRA on a regular basis, these added items will not be updated in your file.
Sample Dispute Letter
Date
Your Name
Your Address
Your City, State, Zip Code
Complaint Department
Name of Credit Reporting Agency
Address
City, State, Zip Code
Dear Sir or Madam:
I am writing to dispute the following information in my file. The items I dispute are also encircled on the attached copy of the report I received. (Identify item(s) disputed by name of source, such as creditors or tax court, and identify type of item, such as credit account, judgment, etc.)
This item is (inaccurate or incomplete) because (describe what is inaccurate or incomplete and why). I am requesting that the item be deleted (or request another specific change) to correct the information.
Enclosed are copies of (use this sentence if applicable and describe any enclosed documentation, such as payment records, court documents) supporting my position. Please reinvestigate this (these) matter(s) and (delete or correct) the disputed item(s) as soon as possible.
Sincerely,
Your name
Enclosures: (List what you are enclosing)
About The Author
© Copyright. http://www.deleteuglycredit.com
Omar M. Omar is the owner of http://www.deleteuglycredit.com. The website is dedicated to provide credit consumers with information about their credit right and how to dispute inaccurate information on their credit report. Omar M. Omar is also the author Of “The Credit Repair Bible” book.
You have permission to publish this article electronically or in print, in your Newsletter, on your website, or in your E-Book, as long as the author’s Resource Box is included with the article.
omar@deleteuglycredit.com
June 26th, 2007
In recent years, the UK credit card industry has undergone absolutely massive changes. It is practically unrecognisable from the industry that was present even just a few short years ago. The competition that has flowed in from other countries, especially the United States, as well as from internet lenders and other institutions has meant that there are now more offers and more products than ever before.
Some of these offers would have been unimaginable in the past. You don’t have to go back very far to think of a time when no one had heard of zero per cent balance transfers. Not to mention zero per cent on purchases which is now available. Then there is the whole range of rewards schemes and loyalty schemes that lenders are offering in an ever heating bid to claim a larger market share.
Despite these massive changes in recent years however, it is certainly the case that credit cards can still cost a lot of money. In fact we spend more money on credit cards now than ever before. The UK credit card industry makes billions of pounds every year in profits and it shouldn’t come as a surprise to anyone to learn that all these offers aren’t being made to the public out of the good kind hearts of credit card providers.
The main charge that we still incur when using our credit cards is interest on out card balance. If you incur a balance on your card, and don’t pay it off by the end of the billing cycle, then you will be charged interest on the balance. This interest is among the highest of any credit available in the UK. While loans are coming in at six to eight per cent, credit cards rates typically average anywhere up to twenty five or even thirty per cent. The rates are far higher than other sources of credit.
However, interest on your account balance is not the only place you pay for your credit card. There are a host of penalty charges for people who fail to make their repayments or who do so late. These penalty charges can become very expensive if you get into the habit of paying your bill late and they will soon add up. There are also some credit cards that charge an annual subscription fee. While these cards purport to do so to give them an air of exclusivity, these days when cards are so common, it seems to make little sense to pay for one when you don’t have to, and there seems to be little benefit for doing so.
Joe Kenny writes for the Credit Card Guide, offering the latest 0% credit cards, visit today for introductory balance transfers and start clearing credit card debt today.
Visit today: http://www.cardguide.co.uk/
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June 14th, 2007