Posts Tagged Mail
The Importance of Credit Reporting Laws
Jeremy L Roberts asked:
Credit reporting laws in the United States can be rather difficult to understand if you are not an attorney or don’t happen to work in finance. When it comes to your personal credit, understanding credit reporting laws is important.
The Fair Credit Reporting Act is one law every consumer should know. It was originally signed into law in 1970 and it guarantees the confidential, accurate, relevant and proper handling of all consumer information collected and recorded by the credit bureaus. It also gives consumers the right to request a copy of their credit report and scores. The only provider that is legally authorized to give you this report once a year is annualcreditreport.com.
This law also requires that written disputes be investigated within 30 days by credit bureaus. Here, any information deemed inaccurate or unverifiable shall be removed and kept from reappearing on your credit report.
Another important credit reporting law is the Fair Debt Collection Practices Act. This law was enacted in 1977 in an effort to eliminate abusive debt collection practices by debt collectors and to ensure that those debt collectors who refrain from using them are not competitively disadvantaged. It also promotes state action that is consistent in protecting consumers against such debt collection abuses. It prohibits several activities considered to be deceptive or harmful to consumers such as: lying, misleading or harassing. This law is enforced by the Federal Trade Commission and annually reports to congress regarding any issues that involve it. Here, a debt collector is defined as any person who uses any method of interstate commerce of the mail in any business for the purpose of collecting debts.
This means the rules of this law do not apply to the company who extended the original credit line, but instead are only relevant for collection companies who were hired or contracted by the initial creditor involved.
When it comes to how your credit is reported and what the scores mean, you need to have a rough idea of how it all works so you will be able to interpret any problems and come up with a solution for repairing them. After all, your credit is a very important part of your life in general as it affects many different aspects all at once.
Pamela
Credit reporting laws in the United States can be rather difficult to understand if you are not an attorney or don’t happen to work in finance. When it comes to your personal credit, understanding credit reporting laws is important.
The Fair Credit Reporting Act is one law every consumer should know. It was originally signed into law in 1970 and it guarantees the confidential, accurate, relevant and proper handling of all consumer information collected and recorded by the credit bureaus. It also gives consumers the right to request a copy of their credit report and scores. The only provider that is legally authorized to give you this report once a year is annualcreditreport.com.
This law also requires that written disputes be investigated within 30 days by credit bureaus. Here, any information deemed inaccurate or unverifiable shall be removed and kept from reappearing on your credit report.
Another important credit reporting law is the Fair Debt Collection Practices Act. This law was enacted in 1977 in an effort to eliminate abusive debt collection practices by debt collectors and to ensure that those debt collectors who refrain from using them are not competitively disadvantaged. It also promotes state action that is consistent in protecting consumers against such debt collection abuses. It prohibits several activities considered to be deceptive or harmful to consumers such as: lying, misleading or harassing. This law is enforced by the Federal Trade Commission and annually reports to congress regarding any issues that involve it. Here, a debt collector is defined as any person who uses any method of interstate commerce of the mail in any business for the purpose of collecting debts.
This means the rules of this law do not apply to the company who extended the original credit line, but instead are only relevant for collection companies who were hired or contracted by the initial creditor involved.
When it comes to how your credit is reported and what the scores mean, you need to have a rough idea of how it all works so you will be able to interpret any problems and come up with a solution for repairing them. After all, your credit is a very important part of your life in general as it affects many different aspects all at once.
Pamela
Experian Personal Credit Report – Phone and Address
Hector Milla asked:
Many consumers know that they have a credit score that is used to calculate what kind of car loan they are qualified to obtain. However, a great many also don’t know that this figure is formulated from their credit history and is basically a composite number — the average of all 3 credit reporting bureaus. These firms all employ a unique algorithm to determine a 3 digit number between 350 and 800. As the number goes higher on the scale, a consumers ratings goes up as well. That is why there are more advertisements in the media, advising people to obtain a free personal credit report. By obtaining this document and analyzing it thoroughly it is possible to find erroneous data that has been reported about their finances.
One of the 3 main credit reporting bureaus is Experian. Their toll free contact number is 1 888 397 3742, and contact mailing address is Experian, PO Box 2002, Allen, TX 75013. Both of these methods are valid ways to obtain a copy of your own personal payment history. This company also advises consumers to order this once per calendar year. There are a number of simple ways to improve this rating, including paying all bills online if possible. In this way, a statement or payment can’t get lost in the mail and the charges are deducted straight from the bank account. There are no bounced checks or waiting for them to clear.
The most important part of any credit score calculation is how many late or missed payments are made by a consumer. These make up about 1/3 of the total and will stay on the report for 7 years, even if there are no other items for this length of time. Only time will fix this problem, not a financial service that promises a quick end to those financial hardships.
As the credit score increases, a consumer is able to get lower interest rates and credit cards with lower annual fees. These 2 perks are reserved for customers who are a good risk. That is, the companies offering their credit services are betting on the fact that these people pay on time, every time. This is why it is important to stay within a budget and pay bills on time. By establishing, and maintaining a good payment history, most people can get exactly what they want out of their life.
Stacy
Many consumers know that they have a credit score that is used to calculate what kind of car loan they are qualified to obtain. However, a great many also don’t know that this figure is formulated from their credit history and is basically a composite number — the average of all 3 credit reporting bureaus. These firms all employ a unique algorithm to determine a 3 digit number between 350 and 800. As the number goes higher on the scale, a consumers ratings goes up as well. That is why there are more advertisements in the media, advising people to obtain a free personal credit report. By obtaining this document and analyzing it thoroughly it is possible to find erroneous data that has been reported about their finances.
One of the 3 main credit reporting bureaus is Experian. Their toll free contact number is 1 888 397 3742, and contact mailing address is Experian, PO Box 2002, Allen, TX 75013. Both of these methods are valid ways to obtain a copy of your own personal payment history. This company also advises consumers to order this once per calendar year. There are a number of simple ways to improve this rating, including paying all bills online if possible. In this way, a statement or payment can’t get lost in the mail and the charges are deducted straight from the bank account. There are no bounced checks or waiting for them to clear.
The most important part of any credit score calculation is how many late or missed payments are made by a consumer. These make up about 1/3 of the total and will stay on the report for 7 years, even if there are no other items for this length of time. Only time will fix this problem, not a financial service that promises a quick end to those financial hardships.
As the credit score increases, a consumer is able to get lower interest rates and credit cards with lower annual fees. These 2 perks are reserved for customers who are a good risk. That is, the companies offering their credit services are betting on the fact that these people pay on time, every time. This is why it is important to stay within a budget and pay bills on time. By establishing, and maintaining a good payment history, most people can get exactly what they want out of their life.
Stacy
Credit Report – How to Correct Errors and Improve Your Credit Score
Peter Fisher asked:
The people who compile your personal credit report are human just like you and me and they can make mistakes while compiling your reports from the various sources they use.
So to correct errors and improve your credit score, requesting a copy of your report frequently can be very important. Although this will cost a small fee, it will allow you to know what they have compiled about you. If you discover unfavorable information, you can ask for corrections before they start disseminating inaccurate information about you.
When you get a copy of your personal credit report to determine the status of your credit file, study the information carefully and attempt to remove all incorrect information in it. As all your credit history may not be contained in one file from one firm, if possible get the files from other firms too. Some information may be duplicated, or not included at all in the other file.
To correct errors and improve your credit score, you need to check your full name, social security number, current and previous addresses, spouse’s name, and date of birth and make sure that they are all correct because they are some of the points used in identifying you. Also, make sure that any merchants’ names, credit account numbers, date opened, date closed, high credit limit, highest amount of credit used, and repayment history are correct, current and accurate.
If after studying the file carefully you spot any errors, write out the exact error and the way you think it should be listed. You will find a space on the right-hand side of your report where you may challenge any item in your report that you feel is wrong or incorrect. You will have to attach photocopies along with pertinent information as proof of your claim and send it to bureau or credit reference agency by mail. When they get your message they will investigate and send you the results of their findings. Be patient, because it may take the agency some time to complete their investigation.
The fact that not just one agency may compile information about you may make it almost impossible for you not to encounter problems in future. When you apply for credit in a bank, in stores or any with a lending company you may be turned down. This does not mean the agency you filed error corrections with haven’t made the changes, it’s more likely that the bank or store you are trying to deal with have another report from a different agency about you.
So anytime that you are denied credit, you have the right to know why you were turned down! If the bank or stores used a credit report agency, they must provide you with the name and address of the agency that supplied them with the report.
Once you have the contact information of the agency involved, you should make an immediate effort to contact the credit agency, so that you can review your credit report, find out any information that is causing you to be denied credit, and make corrections if you have enough evidence to back up your claims. Otherwise how can you correct errors and improve your credit score?
Allen
The people who compile your personal credit report are human just like you and me and they can make mistakes while compiling your reports from the various sources they use.
So to correct errors and improve your credit score, requesting a copy of your report frequently can be very important. Although this will cost a small fee, it will allow you to know what they have compiled about you. If you discover unfavorable information, you can ask for corrections before they start disseminating inaccurate information about you.
When you get a copy of your personal credit report to determine the status of your credit file, study the information carefully and attempt to remove all incorrect information in it. As all your credit history may not be contained in one file from one firm, if possible get the files from other firms too. Some information may be duplicated, or not included at all in the other file.
To correct errors and improve your credit score, you need to check your full name, social security number, current and previous addresses, spouse’s name, and date of birth and make sure that they are all correct because they are some of the points used in identifying you. Also, make sure that any merchants’ names, credit account numbers, date opened, date closed, high credit limit, highest amount of credit used, and repayment history are correct, current and accurate.
If after studying the file carefully you spot any errors, write out the exact error and the way you think it should be listed. You will find a space on the right-hand side of your report where you may challenge any item in your report that you feel is wrong or incorrect. You will have to attach photocopies along with pertinent information as proof of your claim and send it to bureau or credit reference agency by mail. When they get your message they will investigate and send you the results of their findings. Be patient, because it may take the agency some time to complete their investigation.
The fact that not just one agency may compile information about you may make it almost impossible for you not to encounter problems in future. When you apply for credit in a bank, in stores or any with a lending company you may be turned down. This does not mean the agency you filed error corrections with haven’t made the changes, it’s more likely that the bank or store you are trying to deal with have another report from a different agency about you.
So anytime that you are denied credit, you have the right to know why you were turned down! If the bank or stores used a credit report agency, they must provide you with the name and address of the agency that supplied them with the report.
Once you have the contact information of the agency involved, you should make an immediate effort to contact the credit agency, so that you can review your credit report, find out any information that is causing you to be denied credit, and make corrections if you have enough evidence to back up your claims. Otherwise how can you correct errors and improve your credit score?
Allen
The Credit Dispute Dance
James Charlet asked:
I have worked at an extremely high level within a credit-reporting agency. I have responded to attorney general complaints, lawsuits against them, congressmen, and lobbyist firms working on their behalf. I am considered an “expert.” I have also worked for credit restoration companies, including one of, if not the, largest as an executive. I have written letters for and on behalf of clients that specifically stated which sections and sub-sections of the FCRA were being violated by errors I saw on the client’s credit report,; only to get a form letter response completely ignoring the substance of the letter. I recognize that it is odd to start an article this way, but I say these things only to illustrate that what I am about to compose is made from a position of direct, first hand knowledge about the credit reporting industry and their practices. Frankly, credit-reporting agencies would be happy if you did not even know that your personal credit report exists.
Recently, I mailed a letter from my home to the credit reporting agencies to investigate a couple inaccuracies with my wife’s credit report. I reviewed the report online, composed the letter, had my wife review and sign the letter, addressed the envelope by hand, stamped it, and dropped it in the mail. To even my surprise, they responded with a one-page form letter, that, if I remember correctly, is coded as letter 501 in their system, stating that the dispute they received was “suspicious” and “not sent by me.” The letter is vaguely threatening and implies that some sort of fraud may have been committed. It is clearly designed to deter someone from investigating his or her credit report. Personally, I filed a complaint with the better business bureau immediately. But, let’s face it, most consumers would have thrown that letter in the trash, dejected, and never bothered the credit-reporting agency again.
So, what is the recommended course of action? Well, according to the FTC, some state attorney generals, and the credit reporting agencies themselves, they are benevolent corporations; ready to do whatever they need to do when a consumer comes to them. They even go so far as to actively discourage people from seeking any 3rd party help in dealing with complex issues in their credit report, instead endorsing “self help.” The obvious problem, as illustrated by the above two paragraphs, is that this does not work.
To top off the problem, for all of the thousands of credit reports I have looked at over the years, from all of the credit reporting agencies credit bureaus, I cannot thing of one report that did not have some sort of legitimate error on it. Some of them small, like an inaccurate open date or closed date, some of it ridiculous like a mixed file between two consumers who never met, one with 50 collections, the other with none. Addressing these problems can also be a big gamble for the consumer based upon the knowledge or experience level of the random agent who services the file and the consumer’s ability to recognize whether or not there issue has been properly handled. For most consumers, this is just too much of a task to undertake with everything else they have going on in their lives. That is exactly how the credit reporting agencies and their real clients, the creditors, prefer it.
I do not write this to encourage cynicism or despair, but to propose a different perspective. I left the credit-reporting agency because, after a lot of soul searching, I came to believe that what they did was bad for average citizens. I saw how they lobbied and contributed to the creation of the laws that were to eventually regulate them: how they then hid behind those laws, blaming any errors on the creditors, while the creditors, in turn, blame the errors on the credit reporting agency. What consumers must do is be vigilant when they decide that their report is worth fighting for. Despite claims that are made by the credit reporting agencies, opting to utilize a credible credit restoration company to save you the hours of time and effort that could be spent doing it yourself can be a very good option. For others, if you choose to go it alone, make a solid commitment. Do your research, checkout online forums with others doing the same thing, respond when you receive mail from a creditor or credit reporting agency, and don’t be afraid to complain to higher authorities when it is necessary. Most of all, be very wary of any news or instructions that come from the credit reporting agencies themselves. They are in business to make money and they make more money when you don’t bother them.
Tammy
I have worked at an extremely high level within a credit-reporting agency. I have responded to attorney general complaints, lawsuits against them, congressmen, and lobbyist firms working on their behalf. I am considered an “expert.” I have also worked for credit restoration companies, including one of, if not the, largest as an executive. I have written letters for and on behalf of clients that specifically stated which sections and sub-sections of the FCRA were being violated by errors I saw on the client’s credit report,; only to get a form letter response completely ignoring the substance of the letter. I recognize that it is odd to start an article this way, but I say these things only to illustrate that what I am about to compose is made from a position of direct, first hand knowledge about the credit reporting industry and their practices. Frankly, credit-reporting agencies would be happy if you did not even know that your personal credit report exists.
Recently, I mailed a letter from my home to the credit reporting agencies to investigate a couple inaccuracies with my wife’s credit report. I reviewed the report online, composed the letter, had my wife review and sign the letter, addressed the envelope by hand, stamped it, and dropped it in the mail. To even my surprise, they responded with a one-page form letter, that, if I remember correctly, is coded as letter 501 in their system, stating that the dispute they received was “suspicious” and “not sent by me.” The letter is vaguely threatening and implies that some sort of fraud may have been committed. It is clearly designed to deter someone from investigating his or her credit report. Personally, I filed a complaint with the better business bureau immediately. But, let’s face it, most consumers would have thrown that letter in the trash, dejected, and never bothered the credit-reporting agency again.
So, what is the recommended course of action? Well, according to the FTC, some state attorney generals, and the credit reporting agencies themselves, they are benevolent corporations; ready to do whatever they need to do when a consumer comes to them. They even go so far as to actively discourage people from seeking any 3rd party help in dealing with complex issues in their credit report, instead endorsing “self help.” The obvious problem, as illustrated by the above two paragraphs, is that this does not work.
To top off the problem, for all of the thousands of credit reports I have looked at over the years, from all of the credit reporting agencies credit bureaus, I cannot thing of one report that did not have some sort of legitimate error on it. Some of them small, like an inaccurate open date or closed date, some of it ridiculous like a mixed file between two consumers who never met, one with 50 collections, the other with none. Addressing these problems can also be a big gamble for the consumer based upon the knowledge or experience level of the random agent who services the file and the consumer’s ability to recognize whether or not there issue has been properly handled. For most consumers, this is just too much of a task to undertake with everything else they have going on in their lives. That is exactly how the credit reporting agencies and their real clients, the creditors, prefer it.
I do not write this to encourage cynicism or despair, but to propose a different perspective. I left the credit-reporting agency because, after a lot of soul searching, I came to believe that what they did was bad for average citizens. I saw how they lobbied and contributed to the creation of the laws that were to eventually regulate them: how they then hid behind those laws, blaming any errors on the creditors, while the creditors, in turn, blame the errors on the credit reporting agency. What consumers must do is be vigilant when they decide that their report is worth fighting for. Despite claims that are made by the credit reporting agencies, opting to utilize a credible credit restoration company to save you the hours of time and effort that could be spent doing it yourself can be a very good option. For others, if you choose to go it alone, make a solid commitment. Do your research, checkout online forums with others doing the same thing, respond when you receive mail from a creditor or credit reporting agency, and don’t be afraid to complain to higher authorities when it is necessary. Most of all, be very wary of any news or instructions that come from the credit reporting agencies themselves. They are in business to make money and they make more money when you don’t bother them.
Tammy
How Can I Get Free Online Credit Report
Allan Hausnork asked:
Many people will tell you that it’s possible to get free credit reports through the internet whenever you like, completely hassle-free. However, do you know whether this is true? I can tell you that the answer is yes, but also no. Firstly, you can get a completely free annual report if you know where to look. However, virtually all offerings of free annual reports are not real, asking you for personal information, billing information, and often only being free in conjunction with other purchases. If you choose to provide anyone with all of your personal information the chances are high that you’ll receive huge amounts of spam mail and spam emails, and you may also receive nuisance phone calls. I have personally experienced this, with phone calls from the same people coming in every hour or so regardless of the time or the day. You might also be asked to sign up for a free trial of a certain subscription which you are automatically billed for once the trial expires. This kind of scheme relies upon the likely chance that you’ll forget to cancel your subscription in time. On other occasions you may even find that they make it deliberately difficult for you to cancel anything you’ve signed up for.
In spite of these warnings it can be worth signing up for an annual report online if you can find a relatively cheap one, or better yet a free one. It isn’t impossible to get hold of such good value credit reports. Getting a financial report is highly recommended as it can help you to improve your chances of getting a good loan when you need one. Credit scores can be damaged very easily – simply forgetting to pay one dollar that you owed before changing address is enough damage your credit score to some degree. With every single late payment you will find your score is affected. If you choose to get a credit history report you’ll discover exactly what the state of your credit score is. However, if you never see your credit report you might not find out that you have a bad credit score until the time that you actually need to take out a loan, at which point you will be faced with unfavorable loan rates. Given all this, it’s probably worth while looking into getting a financial report online.
One benefit of obtaining a credit report besides knowing the state of your credit score is the ability to spot theft of identity. Every day hundreds of people are the victims of this crime which uses their forged details to make financial payments fraudulently. A credit report will show all your payments and you will quickly be able to identify anything that has not been paid by you. If you let this go your credit score may be damaged without you even knowing about it, and it’s far harder to repair a credit score than it is to keep a good score in the first place.
GRANT
Many people will tell you that it’s possible to get free credit reports through the internet whenever you like, completely hassle-free. However, do you know whether this is true? I can tell you that the answer is yes, but also no. Firstly, you can get a completely free annual report if you know where to look. However, virtually all offerings of free annual reports are not real, asking you for personal information, billing information, and often only being free in conjunction with other purchases. If you choose to provide anyone with all of your personal information the chances are high that you’ll receive huge amounts of spam mail and spam emails, and you may also receive nuisance phone calls. I have personally experienced this, with phone calls from the same people coming in every hour or so regardless of the time or the day. You might also be asked to sign up for a free trial of a certain subscription which you are automatically billed for once the trial expires. This kind of scheme relies upon the likely chance that you’ll forget to cancel your subscription in time. On other occasions you may even find that they make it deliberately difficult for you to cancel anything you’ve signed up for.
In spite of these warnings it can be worth signing up for an annual report online if you can find a relatively cheap one, or better yet a free one. It isn’t impossible to get hold of such good value credit reports. Getting a financial report is highly recommended as it can help you to improve your chances of getting a good loan when you need one. Credit scores can be damaged very easily – simply forgetting to pay one dollar that you owed before changing address is enough damage your credit score to some degree. With every single late payment you will find your score is affected. If you choose to get a credit history report you’ll discover exactly what the state of your credit score is. However, if you never see your credit report you might not find out that you have a bad credit score until the time that you actually need to take out a loan, at which point you will be faced with unfavorable loan rates. Given all this, it’s probably worth while looking into getting a financial report online.
One benefit of obtaining a credit report besides knowing the state of your credit score is the ability to spot theft of identity. Every day hundreds of people are the victims of this crime which uses their forged details to make financial payments fraudulently. A credit report will show all your payments and you will quickly be able to identify anything that has not been paid by you. If you let this go your credit score may be damaged without you even knowing about it, and it’s far harder to repair a credit score than it is to keep a good score in the first place.
GRANT
When Should You Check Your Credit Report?
John Rasor asked:
are preparing to make a major purchase such as a home or auto loan you should check your credit report. Your credit score is one of the most important factors lenders use in determining whether or not you get a loan. Credit scores also determine what interest rate you will get. The higher the credit score the better off you will be. Nonetheless, if you are planning a major purchase, you should check your credit report and credit scores several months before. Make sure the information revealed in your credit report is accurate. Errors in credit reports can be common and most are simply the result of human mistakes. Data entry clerks processing thousands of payments will sooner or later make an error. Inaccuracies can have an adverse affect on your credit score. These days a score of 620 or better will usually qualify you for credit. Anything less and you may have trouble getting approved. You should also check your credit if you think your personal identity has been compromised. Identity theft is the fastest growing crime in America. This occurs when someone grabs a hold of key information such as social security numbers, bank account numbers, credit cards information and even driver’s license numbers for their own personal gain. It can happen with a lost wallet or stolen purse, pilfered mail, computer virus, dumpster diving, phishing or various other scams. Protect yourself and your identity by shredding key financial documents and keeping your social security number, driver’s license number, bank account numbers and credit cards under lock and key. If you have recently been denied credit you should check your credit report. There’s a good chance you were denied because your credit score wasn’t high enough. Carefully study your credit report line by line and check for mistakes. Identify derogatory items and rectify them as soon as you are able. The government mandated that you are entitled to a copy of your credit report once a year. If you have ever received your report from this portal you will find that it did not come with your credit scores. The credit scores are the single most important part of any credit report. For a fee you can get your credit scores directly from each of the three credit bureaus, Equifax, Experian and Transunion. Be mindful of your creditworthiness and take control of your financial future.
DALE
are preparing to make a major purchase such as a home or auto loan you should check your credit report. Your credit score is one of the most important factors lenders use in determining whether or not you get a loan. Credit scores also determine what interest rate you will get. The higher the credit score the better off you will be. Nonetheless, if you are planning a major purchase, you should check your credit report and credit scores several months before. Make sure the information revealed in your credit report is accurate. Errors in credit reports can be common and most are simply the result of human mistakes. Data entry clerks processing thousands of payments will sooner or later make an error. Inaccuracies can have an adverse affect on your credit score. These days a score of 620 or better will usually qualify you for credit. Anything less and you may have trouble getting approved. You should also check your credit if you think your personal identity has been compromised. Identity theft is the fastest growing crime in America. This occurs when someone grabs a hold of key information such as social security numbers, bank account numbers, credit cards information and even driver’s license numbers for their own personal gain. It can happen with a lost wallet or stolen purse, pilfered mail, computer virus, dumpster diving, phishing or various other scams. Protect yourself and your identity by shredding key financial documents and keeping your social security number, driver’s license number, bank account numbers and credit cards under lock and key. If you have recently been denied credit you should check your credit report. There’s a good chance you were denied because your credit score wasn’t high enough. Carefully study your credit report line by line and check for mistakes. Identify derogatory items and rectify them as soon as you are able. The government mandated that you are entitled to a copy of your credit report once a year. If you have ever received your report from this portal you will find that it did not come with your credit scores. The credit scores are the single most important part of any credit report. For a fee you can get your credit scores directly from each of the three credit bureaus, Equifax, Experian and Transunion. Be mindful of your creditworthiness and take control of your financial future.
DALE