Get Started Today

Call 877-652-2991 For Your Free Consultation

The Law is on Your Side

Many consumers have the mistaken idea that credit bureaus are federally supported organizations backed by a vast array of laws meant to protect creditors. Nothing could be further from the truth. Aside from the government simply recognizing the need for credit reporting, credit bureaus have absolutely nothing to do with the government. Credit bureaus are simply huge bureaucratic companies which exist for the soul purpose of making money by selling information about you-information they never bothered to verify.

Because of the vast potential for error in the credit reporting system, the United States Congress has enacted laws to protect the consumer from being victimized by the credit bureaus. It is your right and responsibility to make use of these laws.

The Law versus Practical Reality

As the credit bureaus computerized their processes and greatly expanded their reach and influence in the late 1960s and early 1970s, consumer complaints began to mount at the FTC and state attorney general offices. The credit reporting agencies quickly became huge bureaucracies second only in size to the federal government. The credit bureaus expressly served only the needs of their clients, the credit grantors. Many consumers were negatively affected by the credit bureaus, but they had no way to correct or change their credit information.

The American consumer lay completely at the mercy of the credit bureaus. The United States Congress enacted the Fair Credit Reporting Act (FCRA) in 1971 to insure that the credit bureaus investigate the credit items disputed by consumers. This federal law set procedural guidelines, which gave the consumer the right to challenge the accuracy, validity, and verifiability of the credit listings appearing in their consumer credit report. It also required that the credit bureau delete any credit listing if it was inaccurate or could not be verified. Learn More.

In theory, the FCRA charges the credit bureaus with responsibility to the consumer as well as the credit grantor. In reality, the credit bureaus resist, resent, and reject consumer disputes. The credit bureaus would rather be left alone to make a profit. And, each time a consumer challenges his credit, profit is lost.

The credit bureaus first defend their profits by erecting walls of stall tactics, including requests for more information, further clarification, and additional identification. The vast majority of consumers give up before they even receive copies of their credit reports. If a consumer manages to get a credit report, decipher the codified information, write a coherent dispute, and mail it, the bureaus may still find some reason to disregard the challenge. The entire dispute system is designed to frustrate and discourage the consumer.

Many consumers have the idea that the credit bureaus must complete their investigation within thirty days or be forced to remove all disputed information. They threaten to sue the credit bureaus if they don’t conclude their investigation in time. In practice, such thinking is delusional. Nobody forces the credit bureaus to do anything.
However, if you manage to submit a valid dispute letter, and the credit bureau investigates your dispute, the chances of success are good.

If a credit bureau cannot verify an item before completing its investigation, that item will be removed. Many creditor grantors are simply reluctant to take the time to verify the data. While the credit bureaus are in the business of reporting credit histories, creditor grantors are not. Click Here.

If you are trying to find more info about the topic of forex managed account, then please make sure to check out the URL which was mentioned right in this line.

What if we could show you how to put over $100,000 back in your pocket by doing a thing 99% of men and women in your position never take the time or effort to do (would that interest you?). Let us give you a speedy example of what we’re talking about…

One costly thing is if you’re in the business of helping folks get the mortgage for that residence and they get denied simply because of their credit score. All your time and money invested in long term advertising, marketing and PR only to lose the potential commission because the consumer can’t get prequalified for the home they want.

Think about this: how many purchasers are you losing each year due to the fact they can only qualify for the home their credit score says they can “afford” and NOT the home they really want? Think about that…

How many people would obtain a home tomorrow if they could get a superior rate and therefore qualify for the house they WANT instead of the one their credit score “says” they can afford? Think about it. How many more deals would you close every year?

If your commission on the loan is $3600 it’s a lot of cash. But more importantly, how many $3600 commissions are you LOSING each and every year mainly because of your clients’ credit scores? TEN? You’re LOSING $36,000 a year – ($3600 x 10 ). 20? You’re LOSING $72,000 a year – ($3600 x 20). 30? You’re LOSING $108,000 a year – ($3600 x 30).

Think about it… Just thirty loans a year lost because of the clients credit score ends up costing you over $108,000. That’s plenty of cash…Now, imagine if you had a way to genuinely help those clients increase their credit scores so they could be approved instead of denied?

We’re talking about a genuine resolution that really helps them rather than one which just mails “dispute letters” to the credit bureaus on their behalf. What could that be worth to your bottom line this year? Next Year? By the way, if you’re a client, we want you to think about three things when it comes to your agent.

1. Don’t get hung up on their commission (trust us, they work hard for it when you look at all the deals they work on that fall through these days).

2. The fact they sent you to this demonstration article means they’re serious in not only supporting you to get APPROVED for the home you want… but also supporting you to save over $100,000 by pointing you in the proper direction to increase your credit first.

3. For that… we think you must thank them and even consider taking them to lunch after they get you prequalified to buy the home you want.

Seriously… you don’t find service like that these days. And when you do, it’s fairly rare. Moving onward, we’ve recognized the dilemma of bad credit and just how serious it is (not to mention, pricey). But before we move on there’s 5 other ways a reduced credit score will make your life depressing if you don’t fix it.

Listen… we understand life is already difficult enough and the last thing you need are folks using your credit score to make it even more tricky. But unfortunately, this is specifically what’s happening. For instance:

1. Over 50% of employers now run credit checks on employment applicants. This means if you lose your existing job, your credit score may be used against you in the case of a new employer reviewing you for a position. If your credit is bad and another applicants’ is much better… you can imagine who will get the job.

2. More landlords are currently running credit checks than ever before. If you lose your residence or the rental you’re presently living in (or choose to move to a much better area), your new landlord is far more likely to run a credit check on you. Again, if your credit is poor and another applicants’ is better, you can only guess who’ll get the keys and who won’t.

3. Most utility businesses now require deposits from low credit score prospects. Water, Gas, Electric, Trash and Cable, just about all utility organizations now demand their low credit score buyers to put up deposits, before turning on services. In some cases these deposits are hundreds of dollars and can take years to get back.

4. Most auto insurance companies are now running credit checks on new applications. If you’ve got bad credit, you’re going to pay more for car insurance in almost every case… plain and simple.

5. Bad credit will cost you a fortune in business. Getting any form of unsecured credit to grow a business is much more difficult if not impossible with negative personal credit. And, don’t think for a minute you can legitimately create a corporate credit profile to get around this… most every merchant account now calls for a personal guarantor.

So, now you understand all the ways a minimal credit score is going to make your life hard and why credit repair is critical. So, don’t get mad and don’t get depressed. When you transform your credit score…you change your life!

If you’re buying a home for $200,000 and a low credit score causes you to pay a 2% greater interest rate… that 2% ends up costing you in excess of $100,000 over the time period of the loan. In other words, you’ll throw away over $100,000 just because your credit score was low.

Of course, many folks will share the opinion this doesn’t matter as you’ll never remain in the home for the life of the loan and you can always later “refinance.” It would be good if that were true but, based upon our 16 years of expertise we’ve found consumers rarely (if ever) do this. They’re too caught up in the “Monthly Payment” and smaller monthly payments mean more interest paid over the term of the loan.

As a result, it’s not unusual for 90 points in a credit score to cost a client over $90,000 because of this type of thinking. Only focusing on the monthly payment makes about as much sense as marrying someone for nothing but their looks. On the flipside, bettering your credit score by as little as ninety points can put over $90,000 back in your pocket that you’d otherwise be pissing away to the bank (Yes, I say “Pissing Away” mainly because that’s specifically what it is).

So, what’s the quickest way to enhance your credit score up to 90 points – guaranteed? The answer to that query lies within the ANSWERS to these three inquiries:

1) What is the “HIGHEST SCORING” credit you can ADD to your Credit Report?

2) What is the FASTEST way to ADD this type of Credit to your Credit Report?

3) What impact will it have on your overall “DEBT to CREDIT” Ratio?

Contrary to popular belief the HIGHEST SCORING credit you can add to your credit report is any variety of UNSECURED revolving credit account (please note, debit cards do NOT count). Many people believe car loans and home mortgages characterize the highest scoring credit one can add. In our experience, this is simply NOT true.

UNSECURED Revolving Credit Accounts are the RISKIEST form of credit to the lender while also being the easiest to be abused by the consumer. It’s for this Reason we think we’ve found them to be the HIGHEST SCORING when added and used effectively.

Compare this to a vehicle loan or home mortgage where if you quit paying the house will be foreclosed or the automobile repossessed. The next question becomes…“What’s the fastest way to ADD this type of Credit to your Credit Report?” The quickest way to get this kind of credit on your report is by obtaining what’s known as an “Authorized User” Account.

However, for this to be MOST successful, you need to have…The SAME Last Name and The SAME Mailing Address, as the primary account holder. Otherwise, this approach will be limited in its impact. So, if you have a brother, sister, father, mother (or spouse) living at the exact same address as you who are using the SAME last name…

By all means, have them add you onto their $5,000 Unsecured Credit Account and you should be looking good in no time flat. On the other hand, if this ISN’T an option, DON’T Despair. There is a “PLAN B” for you. You may be able to obtain what’s known as an…UNSECURED “Consumer” CREDIT ACCOUNT

This is an account which gives you an “UNSECURED Credit Line” of up to $5,000 but only makes it possible for you to purchase products or services from a particular catalog or website.

Kind of sounds like a scam, right? But DON’T be a fooled… as long as the account reports to “ONE” or more credit bureaus it’s truly the GREATEST invention since the cellular phone and…It has the potential to save you over $90,000 in thrown away interest payments on a home mortgage.

If you’re sharp you should “get this.” If you’re “BULL HEADED” and stubborn nothing will change and the banks will love that… Now, let’s wrap up with the ultimate question about adding an “UNSECURED” Consumer Credit Account and that is…

“What impact will it have on your overall DEBT to CREDIT” Ratio? The answer to this query is EXTREMELY crucial as the majority of consumer credit score’s suffer from a negative “DEBT to CREDIT” ratio.

What Is Your “DEBT to CREDIT” Ratio? Your debt to credit ratio is extremely important to your credit score simply because it tells the story of how wisely you’re using the credit you’ve previously been granted. To calculate your DEBT to CREDIT ratio simply add up all the UNSECURED Revolving Credit Accounts you at this time have listed on your credit report.

Let’s say you had $5,000 worth. This would provide you a “HIGH CREDIT LIMIT” of $5,000. Now, let’s say on that $5,000 of Credit, you’re in debt for $4,000. Your DEBT to CREDIT ratio is calculated by taking the $5,000 in High Credit and dividing it by the total amount of unsecured debt you have.

In this case you have 80% DEBT to CREDIT Ratio. Ideally, you need a DEBT to CREDIT Ratio of LESS than 45%. Now, in this example, let’s say you added an “Unsecured Consumer Credit Account” for $5,000. (Yes, you can only purchase products or services from their Catalog or web site, but let’s look at what happens).

When the account gets on your credit report your “High Credit Limit” will instantly…INCREASE by $5,000. This will take your High Credit Limit from…$5,000 to $10,000 (Overnight…) But that’s not even the greatest part. The ideal part comes with the impression it will have on your DEBT to CREDIT Ratio.

Overnight, your DEBT to CREDIT Ratio will go from …(80%) EIGHT PERCENT Down to…(40%) FORTY PERCENT…Here’s how it transpires. When your High Credit Limit increased from $5,000 to $10,000 from the “Unsecured Consumer Credit Account” being added, your unsecured debt remained at $4,000. When you divide $10,000 in High Credit by $4,000 in Unsecured Debt you now wind up with a DEBT to CREDIT Ratio of only 40%.

This is the fastest way we’ve seen clients increase their credit scores by up to 90 Points – Guaranteed. If you work hard on this credit repair method, you will too.

Reconstructing credit is simpler than you think using a credit card. So many people think that they need excellent credit before they can acquire a credit card. This could not be further from the truth. In reality, having a credit card and employing it wisely is the best way to rebuild credit. While someone with poor credit can’t be authorized for a gold MasterCard at a very low interest rate, you can quickly get accepted for a sub-prime risk or merchandise credit card. I have personally helped thousands of shoppers with minimal credit scores and a poor credit history receive new credit.

A subprime credit card is ordinarily for people today with low credit scores who are considered high risk due to their credit history. They generally evaluate a high application or annual fee for this sort of card, but you can utilize the credit card to make purchases at many retailers. A merchandise credit card is constrained to the card issuer’s product line. There are a broad range of products that are obtainable depending on the merchandise card you choose. Either way, as long as you are paying the card as predetermined and the activity is noted to the credit reporting bureaus, then you are restoring your credit in the process. It is that simple!

If the credit card meets particular requirements, then you can anticipate to see your credit score steadily rise. You might be questioning what that criteria is. The credit card company must report your credit usage and payment history to all 3 credit reporting agencies and not be secured by a savings account or other economic instrument. This means that an individual is extending you an actual line of credit where you are getting merchandise or services and being allowed to pay over time, based mostly on your word and almost nothing else.

Given the current economic climate, subprime and merchant credit card issuers are in abundance. Since the customer is expected to pay a high application fee and/or high annual fee, the credit card company is taking a nominal risk in relation to the total credit line that they offer initially. For example, the application fee may be $100, but you will be given a $200 credit line. In this instance, the credit card issuer has already made $100 of the application fee so if you default on the credit card, they are not out the complete $200.

If you will need credit cards to rebuild credit, you need to be informed that not all credit card issuers will hit you over the head with huge fees. I have discovered a few good subprime credit cards with a reasonable fee structure. The key thing is to shop around for the card that best fits your unique scenario. It is vital to review the terms and conditions of the credit card so you can be sure to pay in accordance to the agreement and rebuild credit.