How to Make a Budget & Fix Credit

A poor credit score can make it difficult to borrow money and may affect your ability to find a job in certain fields. Poor credit usually happens as a result of poor money management skills, which can cause you to fall behind on payments. A budget will help you gain control of your money and make it easier to repair your poor credit history. Instructions Make a Budget 1 List your monthly expenses. Look at receipts from the last three months...

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How to Rebuild Credit to Buy a Home After Bankruptcy

Most people dream of owning a home. Unfortunately, a recent bankruptcy can put this dream on hold so you might have to rent a property until your credit improves. Still, it is possible to rebuild your credit after a bankruptcy. You'll need to recognize habits and mistakes that led to a bankruptcy and resolve to modify these habits. A bankruptcy falls off your credit report in ten years. Fortunately, you don't have to wait that long to purchase a...

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How Best to Build Credit

Without credit, you will have a hard time renting an apartment, making a large purchase or borrowing money in an emergency. Even some potential employers will check your credit rating. To build a good credit score, you need to open and use credit cards and other credit products. You also need to manage those products responsibly. Open Credit Accounts You must have active accounts that report to the three major credit bureaus, Equifax, TransUnion and Experian, to build a credit history. Many financial companies offer traditional and secured...

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Credit Help Information

You may hesitate to apply for a home or auto loan due to a bad credit history. Past credit problems limit your finance options. But fortunately, there are solutions to credit problems, and there are ways you can raise a low score and qualify for the best finance rates. Debt Balances Carrying high balances and constantly opening new accounts can hurt your credit rating because the amount you owe accounts for 30 percent of your FICO credit score. Don't rely on credit cards to acquire possessions. Get into a habit of using cash, and start...

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What's a Good Credit Score?

When you apply for a loan or credit card, a lender will use your credit score to determine whether to approve a loan and at what interest rate. Credit scores generally range from 300 to 850, with anything below 620 considered a poor score. While each lender will determine what they consider to be a good credit score, typically anything over 700 is considered good. How Your Score Is Calculated Your score is calculated using information gleaned from your credit report including student loans, credit cards, auto loans, tax liens, inquiries,...

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How to Repair a Poor Credit Rating

It takes a measure of responsibility to manage credit wisely and keep a high rating. However, situations such as lack of income or poor money management habits can cause your credit rating to drop, making it much harder to get approved for home loans, car loans and credit cards. Fortunately, a poor credit rating is fixable by changing your current habits and learning how to manage credit to boost your score. Instructions 1 Make payments early. Late payments contribute to a low credit rating. Make bill payments on time every month to repair...

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Where Can I Get Information on My Credit Score Without Using a Credit Card?

If you attempt to purchase your credit scores online, you will be asked to provide a credit card number. For individuals without access to a credit card, however, there are alternate ways of obtaining a credit score. Facts You can purchase your credit scores from the credit bureaus via mail with a check or money order. Each credit score may take several weeks to arrive. Options You can visit a local bank and explain that you are considering...

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Does Your Credit Affect Employment?

Most people know that a low credit score can affect the ability to borrow. But it can also affect your employment prospects if you're in the market for a job. Most corporations and businesses use extensive background checks to select new hires; one of the useful tools is a credit report. A credit report can reveal much about character, level of responsibility and problems that may be a major distraction in your work. Verification of ID and Previous...

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How to Send Multiple Disputes to Credit Bureaus to Erase Bad Credit

With loans becoming increasingly difficult to obtain, and credit card limits decreasing, consumers are becoming more concerned about what information is on their credit reports. Under the Fair Credit Reporting Act, the consumer reporting agency and the information provider--or the company or organization reporting the credit information--are responsible for correcting inaccurate or incomplete information listed on your report, according to the Federal Trade Commission. To dispute errors on your credit report and erase bad credit, you must contact...

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How to Request a Fraud Alert With a Credit Reporting Agency

If you have ever been a victim of identify theft, you know the importance of keeping your information private. You have to be careful about where you enter your Social Security number, your credit card number, and even your birth information and address because thieves have found ways to take on your identity using these basic details. It is especially important in this Internet Age to protect your personal information. But even if you haven't been affected by identity theft, you should immediately request that a fraud alert be placed on your account...

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How to Speak to a Live Person at Experian

There sometimes are questions on a credit report that can only be resolved by speaking directly to a customer service agent. Figuring out the automated series of prompts can feel like a maze. With a few preparatory steps, and a road map as to what numbers to enter when prompted, the maze can become a straight line. With a few correct taps on your phone's touch pad, you can speak to an Experian customer service agent. Instructions 1 You will...

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What Determines Your FICO Score?

A person's credit score is a measurement made by credit reporting bureaus to reflect a person's creditworthiness as compared to other people who have taken out credit. The system used by Fair Isaac Corporation (FICO), the inventors of the predominant credit scoring model, assigns a person a score between 300 and 850. Higher FICO scores are more favorable and may allow a person access to loans at a lower rates of interest. This score is informed by a number of different pieces of data. Payment History One of the main factors that influence...

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Are Unpaid Property Taxes on a Credit Report?

Unpaid property taxes reached high levels in 2009 --- for example, in Nashville, Tennessee, the figure came in at about 8 percent among all homeowners that year, according to "USA Today." You can't escape taxes owed to the government, and not paying them simply adds another headache: ruining your credit. If you can't pay your property taxes, you can get help from your creditor and the government, so don't ignore the problem. Identification ...

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Identity Fraud Safety

Your identity is valuable, especially if you've worked hard to build up a good financial history. The Federal Trade Commission (FTC) warns that you could be one of the 9 million Americans who have their identities stolen every year. Criminals have many ways to do this, so you must always be on guard for identity fraud and work hard to keep your information safe. Definition Identity fraud occurs when people steal your personal information....

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Credit History & Delinquency

Using personal credit, such as a credit card, bank loan or student loan, can be a good way to make large purchases and invest in an education. However, failure to pay debt as they come due can result in account delinquency, which has a negative effect on the individual's credit score. Definitions Credit history refers to the information contained on a credit report from one of the major private credit reporting agencies. These companies gather...

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How to Delete Negative Credit

Deleting negative credit information from your credit report is easy--if the law is on your side. The Fair Credit Reporting Act, a federal law, gives you two ways to remove negative credit entries from your credit report. You can have negative information that is inaccurate removed within about 30 days. Or you can have outdated information removed in about the same time span. Despite what some credit repair agencies claim, there is no other honest...

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What Is Considered an Excellent Credit Rating?

An excellent credit rating is indicated by a credit score of 750 or higher. A person with a credit score that high has a solid, consistent payment history, because he has diligently focused on the conservative use of credit rather than the abuse of it, lives within his means and does not live on credit lines. Excellent credit takes planning and an understanding of how it works. Identification Credit scores are determined by several components. Minneapolis-based Fair Isaac developed the system, called a FICO score, and the three credit-reporting...

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How to Determine a Married Couple's Credit Score

Getting married and starting a life together is a fantastic adventure. But as with all adventures, it is best to go in well-prepared. Knowing your credit score and your spouse's credit score and how those scores will be viewed by potential lenders is crucial to financial success as a couple. Instructions 1 Visit myfico.com to get credit reports from all three of the major credit bureaus. You will need to provide each spouse's Social Security number. As of November 2009, each report costs $15.95. You should have six reports total. 2 ...

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What is the Minimum FICO Score for FHA?

In the past, the Federal Housing Administration (FHA) did not require a FICO credit score to provide home mortgage insurance. As of 2008, that changed as a result of a series of revisions to FHA approval standards. According to the FHA, having a minimum FICO score for FHA loan guarantees will help home buyers who are credit-worthy, but would not have qualified under the old standards. This article explains what the FHA does and how the new minimum FICO score for FHA loans fits into their overall requirements. Identification The FHA is an...

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How to Get a FICO Score by Mail

The FICO score is the most widely used rating that lenders use to assess your suitability for credit. Checking your FICO score regularly is advised, especially when considering applying for credit. It will help you understand how the assessment process works and how you can improve your score. The FICO score is separate from your credit report although the information contained within your report is used to compile your score. The myFICO site only...

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Does Getting a Store Credit Card Lower Your Credit Score?

Store credit cards lower your credit score as soon as you apply for one, but they can probably raise your credit score in the long run. What you must watch out for are cards that charge exorbitant fees, especially if you have no other lines of credit. Also, consider that normal credit cards usually offer a better deal in general if you can get one. Identification Getting any type of credit card account hurts your score because it requires...

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How to Quickly Improve Your Credit Score

Several factors play a role in bad credit. For instance, you may lose your job or experience other financial hardships, like health care bills, that make it difficult for you to keep up with payments. But fortunately, bad credit is fixable; and there are tricks to quickly improve a low score and receive the best rates on mortgages, auto loans and credit cards. Rather than accept bad credit as a way of life, take steps to improve your situation. Instructions 1 Apply for a new line of credit. If a recent bankruptcy or foreclosure contributes...

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What Is a Credit-Based Insurance Score?

When paying insurance premiums, you most likely know that they are influenced by the history of filing claims, the property insured and several other factors. Many homeowners do not know how much their credit history influences their insurance premiums. Insurance companies use a credit based insurance score to calculate policy premiums. Insurance Score An insurance score is a number that insurance companies use for each person who applies for a policy. While the insurance score is similar to a credit score, it is not calculated using the...

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How to Raise My Credit Score Fast & Free

Your credit rating has a direct effect on your life and financial well being. A high credit score will help you get the best rates on mortgages, loans and credit cards, while a low credit score will lead to higher interest rates and fees. Several companies offer credit repairing service for a fee, but you can repair your credit yourself for free. Instructions 1 Order a copy of your credit reports. You are entitled to one free copy of each...

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When Does Foreclosure Appear on Your Credit Report?

A foreclosure can put a substantial ding in your credit rating and typically stays on your report for seven years. The official date of foreclosure is generally recorded as the day of the foreclosure auction or sheriff's sale, and the completed foreclosure will appear on your credit report by the end of the next data-reporting cycle. Process Once you are 30 to 90 days late with your mortgage payments, the lender can initiate the foreclosure...

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Cleaning Up Bad Credit & Raising a Credit Score

Cleaning up negative entries on your credit reports is just the first step in raising your credit score. Getting rid of the negative entries should give you an immediate boost, but continued improvement will likely be tied to your ability to make timely payments on your existing accounts. Generally, a string of on-time payments over 12 to 24 months--on all of your accounts--is the best strategy for improving your credit score. Instructions 1...

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How to Analyze Credit Reports

You have three credit reports compiled by the three major credit reporting companies: Experian, TransUnion and Equifax. These reports help companies decide whether or not you are a good credit risk and a candidate for a credit card or mortgage. Analyze your credit reports at least yearly to check for any errors. If you find an error, you have the legal right to dispute it with the company. Send a letter to the company explaining the error and back up your claim with photocopied documents, as recommended by the Federal Trade Commission. Instructions...

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How Can I Check to See If My Fraud Alert Is Still Active?

Individuals who have been victimized by identity theft need to protect their credit information. If you have been victimized, you can place two different kinds of fraud alert on your credit reports. You need only contact one credit bureau. That company is required to contact the other two credit bureaus to place fraud alerts on the credit reports they maintain on you. Instructions 1 Contact the credit bureaus. Call Equifax at 800-525-6285...

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Forms & Processes for Disputing Credit Reports

If your credit report contains errors, dispute them to have them fixed and prevent them from artificially dragging down your credit score. When you find an error, you need to dispute it with each credit bureau that displays the error on its credit report for you. Each credit bureau has a slightly different process for disputes. Order Credit Report All three credit bureaus require that you have the file number of your credit report if you would like to file a dispute. To get a free copy of your credit report, order it online through the...

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How to Repair My Credit Report on My Own

Your credit report contains detailed information about your past borrowing habits and your current debt levels. Lenders can legally deny your applications for new credit because of negative information listed on your credit report. While you cannot undo the past, you can take steps to improve your credit score. It may take months or years for you to see a significant increase in your credit score; but the sooner you start to address your credit issues, the sooner you can enjoy the benefits of having a good credit report. Instructions 1 Order...

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How Credit Scores Are Done

Having a good credit scores helps a person out when it comes to getting a good rate on a home loan or buying a car with available low financing. Various components of a person's credit history make up the credit score, including any past late payments and whether or not someone applies for new credit cards. Algorithms Credit scoring provide a means for lending institutions to judge an individual's ability and likelihood to repay a loan, as well as the additional interest. Complex algorithmic formulas decide a person's credit score. Each...

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Can Overdrafting Hurt Your Credit Score?

Account overdraft occurs when you spend more money than is present in your account. Overdrafting has many negative effects on your finances. In addition to extended overdraft fees, overdrafting your checking or savings account could impact your credit score. Effects Overdrafting your bank account puts your account into delinquent status. If you do not have the overdraft reversed or pay off the negative balance, your account will be closed, charged off and sent to collections. In addition, many banks will report you to ChexSystems, a company...

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How to Increase Your Credit Score By As Many As 40 Points

While the Fair Isaac Corporation, or FICO, will not reveal exactly how it calculates credit scores, particular factors in your credit history contribute to your score. Taking certain actions can raise your score 40 points or more and help qualify you for prime interest rates. The actual number of points your credit score will rise with each strategy varies. Some approaches may give your score an immediate boost, whereas others will raise your score...

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Are Medical Bills Allowed to Be Reported on Your Credit Report?

At any given time, 77 million Americans have problems trying to pay back medical debt, despite most of them owning a health insurance plan, according to New York City-based nonprofit The Commonwealth Fund. Medical bills can tax a person's finances and wreck his credit score. Paying your medical debt as scheduled, however, won't win you any points. Identification As of 2010, the major credit reporting agencies cannot report medical history...

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