Posts Tagged Creditor
Your Personal Credit Report – What’s In It and What Does It All Mean?
Do you know what your credit score is? Do you know what credit
score banks and other lenders look for when they review your
mortgage application? When was the last time you looked at your
personal credit report?
Your credit score is a reflection of how well you use credit and
many view it as an excellent picture of your financial health or
stability. Your credit score is based on information contained in
your credit report. Your personal credit report shows several
pieces of your financial history. It shows:
- How much credit you have been approved for and how much of it
you are using
- Which bills you pay on time and which bills you pay late
- Who all of your creditors are, how long you’ve had
each account open and how much credit you are using with each
creditor.
A person seeing your credit score and reviewing your credit
report can draw many conclusions about you based on what they see.
Your credit score is a numeric value between 300 and 900 that is
primarily determined by the timeliness of your past loan payments
and the amount of debt you have.
Actual rankings vary slightly from lender to lender but
generally speaking, a credit score of 620 or above is considered
good and a credit score of 619 or below is cause for some concern
and additional review. The median credit score in the United
States is 723. This means that the same number of people have a
credit score above 723 as those that have a credit score below
723.
Obviously, the higher your credit score is, the better off you
are. A credit score of 750 or above is usually considered to be
excellent, while a credit score below 580 means it could be very
difficult to qualify for a loan.
You should review your credit report at least once a year to make
sure it is accurate and to see what your credit score is. Each of
the three credit reporting bureaus — Experian, Trans Union and Equifax — are required by law to give you one free annual credit report and you can even get this credit report free online.
You can find information about getting your free credit
report online at http://www.annualcreditreport.com/
Lori
Debt Settlement and Your Credit Score
Are you considering debt settlement, but concerned it may negatively impact your credit score? If a lower credit score is your main concern regarding debt settlement, read on for answers to some questions you may have.
First, you’ll want to check your credit score to be sure it’s as high as you think it is. You see, if you’re carrying high balances on your credit cards, with many of them being nearly “maxed out,” there’s a good chance that your credit score is only mediocre, at best. Worse yet, if you’ve made even one late payment, your credit score will be reduced, as well.
If you find that your credit score is fairly decent, and you’re worried about your credit file reflecting a lower score as a result of debt settlement, you have a legitimate concern.
Unfortunately, most creditors won’t even consider working with you until your accounts are near “charge-off” status. At that point your credit report will show that your accounts are 180-210 days delinquent, and you can expect your credit score to be significantly reduced.
How long will you need to tolerate a lower-than-normal credit score? Well, that depends on your ability to generate sufficient funds to pay the agreed-upon settlements negotiated and reached with your creditors. Generally, your score will improve when zero balances are reflected on your credit report – usually 30-90 days after a settlement has been paid in full. You can speed this process up by being proactive and sending proof of payment to the major credit reporting agencies, rather than waiting for your creditor to report the changed status. Your score will continue to improve as the debt settlement process is further behind you, and can expect a score of at least the mid-600 range within twelve months of paying your accounts off through debt settlement, provided your mortgage and installment loans do not reflect any late payments.
If you’re struggling each month to make the minimum payments on your accounts, and debt settlement seems to be your best option, a temporary reduction in your credit score probably shouldn’t influence your decision too much. Rather, peace of mind and the ability to pay your bills should be your main concern. If you take a realistic look at your finances, you may very well see that you’re in deeper than you thought. I urge you to gather all of your bills and add up your monthly expenses – including your credit card bills, and then minus your credit card bills. After you’ve made the comparison, you’ll likely understand that the benefits of debt settlement easily outweigh the few months you’ll need to deal with a reduced credit score.
Herbert
How to Remove a Judgment from Your Credit Report
Being sued by a debt collector can be very intimidating. If you are being sued, never let a default judgment be entered. You have nothing to lose by disputing the validity of the judgment or even settling it out of court to avoid that nasty record landing on your credit reports.
The statute of limitations (SOL) on judgments is very long; usually 12 to 20 years. More and more collection agencies are starting to seek litigation simply for the fact that judgments are renewable. Once they get a judgment, it may be renewed if the creditor files a new suit seeking to renew the judgment prior to the expiration of the original judgment) therefore, technically, a judgment could follow you around for life.
Even if you pay a judgment you will be stuck with a ‘satisfied judgment” for 7 years from date satisfied not filed! This can be a hopeless situation so avoid being sued at all costs!
However, if you already have a judgments reporting on your credit report, there are ways to have them removed. There are many strategies and options one could use to remove a judgment from their credit report. You have more rights and are protected by more federal and states laws than I could ever write about in one article. The most common is disputing it with the credit bureaus. Another way is simple to negotiate with the creditor. Many people use “pay for delete” letters when negotiating. It’s always important to get the agreement between you and the creditor in writing as once you have paid; they have no other motivation to remove it from your credit report.
Joann
I want to fix my credit and I have questions about my report?
Posted by admin in Personal Finance on June 21, 2010
I have pulled my credit directly from all three reporting agencies and I want to start fixing my credit. I have a few questions about what is being placed on my credit.
1.) An acct I paid off reads paid, closed/ collection account – Is this what it is suppose to read and is that good?
2.) I had a car reposesed in Oct of 06. The original car loan was for about $15k, I paid approx $5k on the car before getting into trouble. I know they sold the car at an auction for about $6k. so I shoudl owe about $5k, plus some legal expenses. It is reporting Original Amount of $10,500, with a $7,120 is written off (whats that mean?) and a $0 balance as of 12/2006 (under recent balance) But last payment recieved was 12/06 for $5645. So I am confused on this debt and it is one of the things I want to really fix (as it is the highest debt and I want to buy a car in the future).
3.) A credit card I had about the same time I lost my card is reported on my report as Status: Transferred, closed/ account charged off. $311 Written off. Again, what does that mean? If this account has been sold to another creditor (as it states) why are they reporting the debt as well? Further down my report the other company is reporting the same debt, so i am getting a doubly whammy for the same acct.
4.) A company shows a recent payment on an account that I have NOT paid on. This is actualy the new company from question number 3. They show I made a payment of $675 this month, but I did not. Why would they say this?
5.) Why does only one company show my Balance History?
6.) I have inquiries on my report that I do not know how to explain (like an Attorney from Paul Law Offices in UT. I live in WA state and have not contacted an attorney for any reason. The inquiry was made 06/2008.
7.) I have a judgment against me from an old roommate for a phone bill she said I owe, the courts agreed because I could not show up (I was in hospital having a baby). I have paid this back to her and she has yet to report it to the courts that I paid it. What do I do, she wont answer my emails, phone calls, or Certified Letters asking her to let them know I paid it. Plus I was an idiot and didn’t keep a record of payment.
8.) I have a judgment from an apartment complex that I was evicted from and I want to pay this off. However now a days even if it is paid off you can not find an apartment to rent to you if you have an evictions (paid or not). How can I get a judgment removed from my credit? I read somewhere if you get the plaintiff to agree to it being removed they will, but is this true?
9.) Under my personal information I have tons of aliases. Mainly they are mis spellings of my last name, but it will report that mis spelling several times because they will add my middle name, or report last, first and then middle. Does this hurt my credit and how do I fix it. I have only had two last names, my maiden name and my now married name. My mothers name is listed as well as a name I am known to go by. Believe me this is not true and I would never want to be known as her.
10.) I moved a lot and does the number of addresses hurt your credit, some of the addresses are reported three or four times even though I have only lived there once.
11.) I have been told that my credit wont be repaired by paying opff certain debts. Many of these debts on my report are for under $100, to $300 and I can easily pay those off. Will it improve my score by doing this? Can I call these debt places and give my address to get statments and such so I know I am paying the correct agency? Are they required to send me a statment (I had a credit agency refuse to mail me a statment before)?
Do you have any other suggestions that may help me? I am not looking to get credit or anything like that, but here in the next two years I want to be able to buy a house and what not. My low low credit scores are hurting me and I want to fix it.
Kathryn
Fixing my credit and have a few question about report?
I have pulled my credit directly from all three reporting agencies and I want to start fixing my credit. I have a few questions about what is being placed on my credit.
1.) An acct I paid off reads paid, closed/ collection account – Is this what it is suppose to read and is that good?
2.) I had a car reposesed in Oct of 06. The original car loan was for about $15k, I paid approx $5k on the car before getting into trouble. I know they sold the car at an auction for about $6k. so I shoudl owe about $5k, plus some legal expenses. It is reporting Original Amount of $10,500, with a $7,120 is written off (whats that mean?) and a $0 balance as of 12/2006 (under recent balance) But last payment recieved was 12/06 for $5645. So I am confused on this debt and it is one of the things I want to really fix (as it is the highest debt and I want to buy a car in the future).
3.) A credit card I had about the same time I lost my card is reported on my report as Status: Transferred, closed/ account charged off. $311 Written off. Again, what does that mean? If this account has been sold to another creditor (as it states) why are they reporting the debt as well? Further down my report the other company is reporting the same debt, so i am getting a doubly whammy for the same acct.
4.) A company shows a recent payment on an account that I have NOT paid on. This is actualy the new company from question number 3. They show I made a payment of $675 this month, but I did not. Why would they say this?
5.) Why does only one company show my Balance History?
6.) I have inquiries on my report that I do not know how to explain (like an Attorney from Paul Law Offices in UT. I live in WA state and have not contacted an attorney for any reason. The inquiry was made 06/2008.
7.) I have a judgment against me from an old roommate for a phone bill she said I owe, the courts agreed because I could not show up (I was in hospital having a baby). I have paid this back to her and she has yet to report it to the courts that I paid it. What do I do, she wont answer my emails, phone calls, or Certified Letters asking her to let them know I paid it. Plus I was an idiot and didn’t keep a record of payment.
8.) I have a judgment from an apartment complex that I was evicted from and I want to pay this off. However now a days even if it is paid off you can not find an apartment to rent to you if you have an evictions (paid or not). How can I get a judgment removed from my credit? I read somewhere if you get the plaintiff to agree to it being removed they will, but is this true?
9.) Under my personal information I have tons of aliases. Mainly they are mis spellings of my last name, but it will report that mis spelling several times because they will add my middle name, or report last, first and then middle. Does this hurt my credit and how do I fix it. I have only had two last names, my maiden name and my now married name. My mothers name is listed as well as a name I am known to go by. Believe me this is not true and I would never want to be known as her.
10.) I moved a lot and does the number of addresses hurt your credit, some of the addresses are reported three or four times even though I have only lived there once.
11.) I have been told that my credit wont be repaired by paying opff certain debts. Many of these debts on my report are for under $100, to $300 and I can easily pay those off. Will it improve my score by doing this? Can I call these debt places and give my address to get statments and such so I know I am paying the correct agency? Are they required to send me a statment (I had a credit agency refuse to mail me a statment before)?
Do you have any other suggestions that may help me? I am not looking to get credit or anything like that, but here in the next two years I want to be able to buy a house and what not. My low low credit scores are hurting me and I want to fix it.
Philip
How Long Do Tax Liens Stay On A Credit Report?
A lien is a property interest granted over a piece of property to make sure that a debt or any other form of obligation is met. A tax lien can be stated to be a lien placed on a property to secure payment of taxes. They are imposed when there has been a failure to pay taxes, which could be any tax like personal property tax, real property tax, income tax or any other delinquent tax. That is, if you have not paid your tax and have ignored to pay it even after demand, the tax amount along with any fines and interest will become a tax lien to the government upon any real or personal property belonging to you. This is placed on your property to ensure that before the property is sold the pending taxes are paid up, either by you or by the buyer.
The tax lien will become effective from the date of assessment made by the IRS (Internal Revenue Service) which is the formal recording of the tax in the revenue records. Once the demand for paying the tax is received and you do not pay within ten days from the notice date, the lien is automatically activated, from the date of the assessment. The tax lien will cover not only the property currently in your possession but will also apply to property to be acquired in the future. The priority or order of the claim on a property is determined by the type of creditor and the type of lien. For example, a retailer’s lien on a personal property takes priority as compared to a vehicle lender.
If a tax lien has been placed on any of your real or personal property, it will appear in your credit report. It can haunt you for a long period and in case you are wondering “How long do tax lien stay on a credit report”, here are the answers: Paid tax liens continue to appear in the credit report for seven years from the date of paying the lien. In case, the tax lien has not been paid, it will remain for a minimum period of fifteen years; in some cases it may remain forever. Equifax and TransUnion show unpaid tax liens indefinitely while Experian shows it for fifteen years.
This action will affect your credit rating in a negative way (just like any unpaid debt will do) and in turn will reduce your credit score. This means that your credit worthiness in the loan market is lowered and you will be perceived as a high risk debtor. Your ability to find a lender for any future loans could be seriously hindered by this. Therefore, it is important to get the tax lien off your credit report at the earliest. The only way you can do this is by paying the pending taxes in full and ensuring that the tax agency removes the lien, by showing them the receipt for your paid taxes. You should also make sure that the tax settlement is reflected in your credit report – please note that only the severity of the lien’s impact on your credit rating is reduced, as the lien will continue to appear for seven years in your credit report.
Glen