What Is an OK Credit Score?

Your credit score ranges from 300 to 850 and represents how likely you are to default on money you have borrowed. Higher scores represent more creditworthy borrowers. What Is an OK Credit Score? An OK credit score usually falls between 650 and 700. About 15 percent of Americans falls in this range. About 27 percent has scores below 650, and about 58 percent has scores higher than 700. Why Scores Are Important Credit scoring helps lenders determine whether or not to issue you a loan, and what interest rate to charge you to account...

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Does Overdraft Protection Affect My Credit Score?

Having overdraft protection for your bank account may or may not affect your credit score. Banks offer more than one type of overdraft protection; one does not affect your credit score, but may impact your consumer ChexSystems report. ChexSystems is the primary reporting agency for your banking history. Negative information on your ChexSystems report may impede your ability to open a new bank account. Overdraft Protection --- Savings If your bank offers overdraft protection in the form of an automatic transfer from your savings account...

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How to Fix Your Credit to Buy a House

Maintaining a good credit history is important, especially if you plan to buy a home. Individuals with good credit can easily qualify for a mortgage loan, and they'll likely pay a lower interest rate. On the other hand, bad credit can result in a loan denial. But fortunately, bad credit isn't permanent. There are tricks to fix your credit score, which will help you qualify for a mortgage loan in the future. Instructions 1 Get a copy of your...

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Who Are the Three National Credit Bureaus?

There are three national credit bureaus in the United States. The Fair Credit Reporting Act, or FRCA, states that all three credit reporting bureaus must provide you with a free credit report once every 12 months. The Fair Issac Company, or FICO, credit scores can range from 300 to 850. According to the Federal Trade Commission, the three credit bureaus do not share files with each other so you must contact each one individually to obtain all three...

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Three Ways to Start Building Good Credit

A good credit history will help you qualify for more credit cards, mortgages and loans, and receive the best rates on interest and fees. Fortunately, there are simple things you can do to start building a positive credit history whether you are just starting out or trying to rebuild a credit score. Open a Checking and a Savings Account Most lenders see active checking and savings accounts as a sign of financial stability, according to MSN. In fact, you will be asked if you have an open bank account on most credit applications including...

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Reasons That a Credit Report Lowers

There are a number of factors that credit reporting agencies use in determining a credit score. While most consumers know that major events such as foreclosure or bankruptcy will damage a credit score, there are many smaller factors that can also cause a credit score to lower. By understanding these factors, a consumer can work to maintain or improve her current credit score. Late Bill Payments Paying bills late can cause a credit score to drop. In fact, a consumer's record of paying bills is the largest factor in the calculation of a credit...

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Can You Get a Divorce in Georgia Without Going Through an Attorney?

Divorce is always a stressful time, and often the added financial burden of hiring attorneys makes a bad time worse. In Georgia, you are legally entitled to forgo the expense of a lawyer and complete the divorce proceedings yourself. These kinds of divorces, also known as "pro se" divorces, are less costly, but it is important to know that any mistake you make as you dissolve the marriage could cost you much more down the line. Georgia Law and...

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How Are Consumers Divided in the Debt Industry?

In general, lenders classify consumers as prime (creditworthy) or subprime borrowers. A prime borrower has a good credit history and is afforded lower interest rates on loans. Your financial history is compiled and tabulated by a company called FICO (formerly Fair Isaac Corporation), which has created the widely-used FICO score. The FICO Score range is 300 to 850. The higher your FICO score, the greater your chances of being approved for a loan....

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Does Canceling Credit Cards Affect Your Credit Score?

Canceling a credit card will affect your credit score. The effects may be negative or positive depending on how long an account has been open, how much total debt there is and how many credit cards are canceled in a short amount of time. It's important to check your credit score after canceling a credit card to ensure credit reporting accuracy. Benefits Having many high-balance credit cards near or at their limit will lower your credit rating. Having too many open lines of credit with or without balances will also negatively affect your...

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Credit Scores & Ratings

Credit scores and ratings refer to three-digit numbers that lenders and creditors use to assess creditworthiness. Scores and ratings range from 300 to 850, and countless factors play a role in your individual score. Understanding these factors will help you maintain a high rating and qualify for loans. Purpose Establishing credit and keeping a high rating and score helps you acquire loans from a mortgage lender, auto lender and other types of finance companies. Before lenders and creditors extend large funds and lines of credit, they assess...

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How to Fix Credit Report Scores

Credit report scores can increase or decrease your ability to secure financing. If you are planning on buying a home or financing a new automobile, raising your score not only helps you get approved, but your lender is more likely to give you a good rate on the loan. Rates affect the monthly payment -- the lower your rate, the lower the monthly note. Instructions 1 Use credit cards to establish a positive credit history. Keeping credit cards locked away doesn't help your score. Building a better score involves using credit wisely. Pull out...

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Do Department Store Credit Cards Help Rebuild Credit?

If you've had problems managing credit, such as making late payments on a credit card or having an account placed in collections, your credit score likely suffered. With a low credit score, you'll have a hard time getting approved for top-rate credit cards and loan products. You may get approved for smaller credit card products, such as department store cards, which can help you rebuild your credit if used wisely. Basics A department store card works like a traditional credit card. You apply for the card through the department store. The...

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Do-it-Yourself Credit Restoration

Credit restoration involves taking steps to boost a low score. Improving credit helps you qualify for financing, and credit is necessary if you plan on acquiring a mortgage or auto loan. Different factors play a role in credit restoration, and successfully fixing credit entails knowing the factors that influence scoring. Automated Payment Reduce the likelihood of late payments with automated payments to your credit card companies and loan providers. With automated payments, you establish a date for creditors to withdraw payments from your...

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How to Submit a Credit Statement to a Credit Bureau to Improve Your Report

According to the Federal Trade Commission, "Nationwide consumer reporting companies sell the information in your report to creditors, insurers, employers and other businesses that use it to evaluate your applications for credit, insurance, employment or renting a home." In essence, these companies use your credit report to determine your credit worthiness. If you have found inaccurate information on your credit report issued from a credit bureau,...

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What Can a Consumer Do If Denied Credit?

Completing and submitting your credit application can help you get the financing you need to purchase a car, furniture, even a home. But after careful review, a creditor or lender may decide to reject your credit application. As a consumer, you can take steps to address the problems that led to a rejection and improve your chances of getting an approval in the future. Get Details on the Rejection Being calm and asking for details regarding the rejection can provide clues as to why a lender or creditor rejected your credit application. Lenders...

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Can a Charge-Off Be Suppressed on a Credit Report?

A charge-off on your credit report is considered derogatory by lenders and can severely damage your credit score. If you have grounds for having a charge-off removed, it is always in your best interest to do so. Facts It is not possible to suppress a charge-off and lessen its negative effects on your credit score. You may, however, attempt to remove the charge-off from your credit report altogether. Time Frame Charge-offs will typically...

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The Best Way to Check Credit

The best way to check your credit is to obtain copies of your credit reports showing your credit activity--this way, you will be seeing the same information potential creditors will see when they pull your reports. Instructions 1 Visit the website Annual Credit Report to view your credit reports and print them. Click on "Request Report" on the homepage and follow the prompts to see your reports. The system will guide you through a questionnaire...

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What Is the Meaning of an Unsecured Loan?

When trying to borrow funds, you can choose to apply for either a secured or unsecured loan. It's important to learn more about unsecured loans and whether this is a smart choice for your own financial needs. Some lenders specialize in unsecured borrowing, but note that it is sometimes more difficult to get approved for this type of loan. Definition A secured loan is one that has an asset backing the borrowed funds, like a car or home loan. An unsecured loan is the exact opposite---the lender offers funds to the consumer without the presence...

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How Long Do Collection Accounts Stay on a Credit Report?

Credit reports are records of your credit history, created and maintained by credit bureaus called TransUnion, Equifax and Experian. All of your credit activity shows up on these reports, including your payment performance on your loans, credit cards and other accounts. Charge-Offs and Collection Accounts Creditors expect you to pay loans, credit card bills and other debts by the due date. Payments received after that date are typically delinquent, although some lenders may give you a grace period. Late payments appear on your credit reports,...

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How to Raise Your Credit Score Once You've Paid Off Your Debt

Debt is a large factor in your credit score. According to MSN Money, the amount of debt you have makes up 30% of your total credit score. After paying off debt, consumers typically see an improvement in their credit score. However, if you're interested in improving your score further, there are a few steps you can take. Focusing on using credit solely to improve your score can help. Instructions 1 Review your credit report. Errors on your credit report might be pulling down your score. Order a free credit report online from Annual Free Credit...

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Does a Signer on a Credit Card Get a Credit Report Also?

A person is assigned a credit report if he takes out a line of credit or a loan with a lender or incurs an unpaid debt that is reported to a credit reporting agency. Generally, anyone who has any credit history has a credit report assigned to him. If a person signs for a credit card, he has a credit report, because he is taking out a line of credit from the company. Taking Out a Credit Card A person who takes out a credit card can be defined as the person who signs the contract with the credit card company that issued him the card. The...

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Will Using a Debt Consolidation Company Show Up on My Credit Report?

Debt consolidation offers consumers a chance to get out of debt and on the road to financial success. Many consumers worry that using these agencies may damage already fragile credit scores. Consumers must review the credit report completely when using a debt consolidation company to verify that all information is reported accurately. Debt Consolidation Debt consolidation agencies work with clients to review spending habits, expenses and...

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How to Dispute Wrong Information in Debt Collection

Disputing wrong information offered by a debt collector or in debt collection is important. A debtor should never pay a debt that could list a wrong amount due or even belong to someone else. Dishonest debt collectors may inflate balances or provide other misleading information about the status of collection accounts. Knowing your rights under the Fair Debt Collection Practices Act makes disputing collection accounts easier. Delinquent accounts usually move to collections status after the debtor misses three or four payments. Eventually, creditors...

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How to Get a Good Credit Rating

Do you want perfect credit? Well, it's easy. Just pay all of your bills on time, every time. Never miss a payment. Never pay your bills late, not even by one day. If you're like most people, you have missed at least one bill payment at some point in your life. And, more than likely, you have inadvertently forgotten to mail out at least one check on time. Most people do not have a perfect credit score of 850. In fact, there are many who are not even in the 800-neighborhood. With a sound financial plan, and a little self discipline, you can improve...

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How to Cancel an Equifax Score Watch

Equifax is the oldest U.S. based credit reporting agency, having been founded in 1899. The company is headquartered in Atlanta, Georgia and maintains information on more than 400 million credit cards around the world. Equifax Score Watch is an added service of Equifax that provides credit card holders with daily monitoring, notifications of changes in your score, two credit reports and two FICO scores per year. The service costs $12.95 per month as of 2011 and can be canceled at any time. Instructions 1 Call the Customer Care Team. All products...

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How to Take Something Off of Your Credit Record

Companies with which you have credit-related accounts, including not only credit cards, but also loans of all types, provide your account information and payment history to credit bureaus. The bureaus---Experian, Equifax and TransUnion---compile the information onto your credit report. If one of your creditors provides incorrect information or if someone else's credit information gets put on your credit report, initiate a dispute so the credit bureau will research the information and, if it is incorrect, remove it from your credit record. Instructions...

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What Is a Soft Credit History?

Your credit history shows your repayment of debts as well as any late payments or even bankruptcies. When someone looks at your credit history, it's called a hard or a soft credit pull. Meaning A soft pull is a check of your credit history that you can see on your credit report, but does not affect the score. Soft pulls or inquiries do not change any lending decisions and are mainly done for promotional purposes or as review. Promotions...

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How Does a Car Repo Affect Credit?

About Car Repos A lender repossess a car when a borrower defaults on a car loan. A car repossession can have a very negative impact on a credit score. There is no set amount of percentage points that a credit score will be reduced by. However, a car repossession will lower a credit score significantly. Types of Car Repos There are two types of car repossessions: voluntary and involuntary. A voluntary repo is when the borrower voluntarily...

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How Paying Down Debt Can Change Your Credit Score

Debt is one of the main factors in determining your credit score. Paying down debt will reduce your debt-to-credit ratio, lower the total amount you owe, and improve your credit score. However, debt is only part of what goes into calculating the score. The best way to raise your credit score is through a combination of tactics. Credit Score Calculations The formulas used to calculate credit scores are kept secret. However, we do know what...

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How Long Do Charge-offs Stay on Credit Reports if They Are Paid?

If you have debt that has been referred to a collections agency, you have a black mark on your credit report. A delinquent debt such as this is called a charge-off. You can pay a charge-off, and your credit report should reflect this, but the item itself will remain on your report even after it's paid. Charge-Offs Most lenders or service providers pursue you for a debt until it is 120 days, or four months, overdue, according to Bankrate. At this point, companies may hand the debt over to a collections agency, and they will tell the credit...

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FICA Score Information

When it comes to credit scores, the one you may be the most familiar with is the FICO score. The Fair Isaac Corporation developed this score, and it is currently the most widely used credit scoring system in the U.S. Your FICO score can determine your eligibility for loans such as mortgage loans, it can help determine what type of interest you will pay on your loans, and a low FICO score can even affect your ability to gain employment. Five...

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Free Help for Credit Card Debt Elimination

Help is available to people who want to eliminate their credit card debt. Some reach out to credit counseling agencies, whereas others use the equity in their homes, acquiring extra money with a cash-out refinance. While these methods are useful when getting rid of debt, some agencies charge a monthly fee for assisting debtors, and refinancing a home loan to eliminate debt involves expensive fees. However, there are tactics to get rid of debt for...

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How to Buy a Low-Cost House With Bad Credit

Having a low credit score not only affects the kinds of credit cards you can have, but it also impacts the amount of a home loan (if any) you may obtain. You'll also be subject to an increase of several percentage points to your mortgage rate. However, if you have found a low-cost house you simply must have, there are a few different options available to you, even with a low credit rating. Instructions 1 Pay in cash. If you have enough money...

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What Affects Credit Ratings?

Your credit rating, commonly known as a credit score, is based on the information contained on your credit report. Only the information on your credit report affects your score, so if you have an account that does not appear on your report or if someone else's account or other mistake appears on your report, your rating might be affected. Your credit score is based on five major areas of your credit history. Record of Payments The biggest factor in your credit rating is your payment history on all types of credit accounts. The scoring...

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Does Good Payment History Show Up on a Cosigner Credit Auto Loan?

Co-signers are often needed for certain borrows to qualify for a loan. The types of loan can be anything from an automobile loan to a mortgage. Co-signers take risks when agreeing to co-sign on any loan; however, when a co-signing agreement is handled well the co-signer can benefit from the process. What is a Co-Signer? A co-signor is someone who is willing to use his credit information to help another person qualify for a loan such as an...

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Legal Credit Report Improvement

Improving your credit report improves your overall credit score and can help you obtain credit cards, lines of credits and financing for a home. Raising your credit scores can also increase your chances for employment and or award you lower insurance premiums. The fastest legal ways of improving your credit reports involves direct and decisive action on your part. Payment History Avoid late payment history whenever possible. Devise a plan to make on time monthly payments to all your creditors. Make more than the minimum monthly payments...

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The Best Credit Card to Repair Bad Credit

When your credit goes south, perhaps due to difficulty paying your loans on time or falling behind on credit cards, you may find that it takes much longer to improve your score than it does to hurt it. A poor credit history and low FICO score may disqualify you from traditional credit sources, but you may be able to heighten your credit score and reinstate a respectable credit history by applying for and using a secured credit card. About When you receive approval for a secured credit card, you must provide your credit card company with...

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