A Simplified Outlook On Credit Repair

            Accumulating too much credit has never been a good practice. If someone is feeding you the notion that having a lot of credit is okay, that it is now an accepted part of finances and a very common practice then stay as far away as possible from that person. Having too much credit that is not manageable is reckless and it has always been and will always be. Now another bad thing about having too much credit is the bad reputation.

            It is often the case that people with bad credit history are hounded by credit card companies, loan companies and banks. But the thing is, today utility companies and even employers also frown upon people with low credit scores. This is essentially why you should take care of your credit score and undergo some credit repair if necessary.

            I do understand, however, that sometimes having credit is an unavoidable circumstance. An emergency medical expense or your company goes under are just some of the instances that you need to borrow some money for a while in order to live on the daily expenses. But the idea here is borrowing money only on a temporary basis. You need to pay what has been owed as quickly as you can you won't get too low of a credit score.

            You need to make a preemptive strive on your credit score if you do find out that it is already going down fast. There are some techniques to help you repair your credit standing. Some are quite basic that you can practice or should learn to practice more often to improve your scores. Always remember that the more you put on hold repairing your credit standing, the more difficult it will be.

            An example of which is by paying your credit card bills or other loans on time. Credit card bills are one of the first things that finance companies look at to evaluate your credit rating. If they find that you have not been paying your bills on time, you will get low ratings on your credit scores. Sometimes or oftentimes, people just forget to pay their credit card loans.

            Avoid doing so. This can be seen as negligence on your part and seeing you as not responsible enough to plan your finances. Every unpaid and overdue bill is recorded in your credit history, which is a negative mark on your credit record.

            Another good way to end your endless cycle of accumulating credit bills is to avoid using your other credit cards to pay off other credit card bills. You're just paying your credit with more credit. This is simply not acceptable. What you should do is work on one credit card bill and after you have paid it off, do not use it for a while.

            The more cards you have, the higher the chances that you use them especially if you have been accustomed to that lifestyle for so long. Get all your credit cards settled and leave just one for emergency use. Credit cards that you don't use for a short period of time actually increase your credit ratings contrary to some beliefs.

            One other way to help your credit score is making advance payments on loans or better yet making extra payments whenever you have the money. What this shows is that you want to do away with your loans as soon as possible and you're making every means necessary to pay if off way before the loan date matures. It shows you are responsible and you have all intentions of paying back loans. This is a big deal to all finance and credit companies.

            Now, you can do all these things if you don't take out loans too much at one time. Learn to budget your needs and take out loans only if you have paid off the previous one. Having too much credit at one time will definitely cause you problems on making the payments. Keep a realistic time-table and proper finance projection so you can plan on the loan payments.

            Credit repair is a necessary thing especially when you have found out that your credit scores have decreased to an all time low. It is important to keep ahead of your credit or loan payments to avoid any other money problems in the future. 

            Since some want more information on how to improve their credit profile, we have decided to offer our ebook, Credit ABC’s, that teaches you how to read your credit report and find inaccurate items to remove from your credit report quickly and effectively and 10 ways to improve your credit scores and live the lifestyle of your dreams. 

        Click here for instant access to download the book now. All you have to do is implement the steps and be on your way to a higher credit score.

           

About The Author:

Stephanie is a highly preferred credit repair consultant. Also, she is the Owner of Precision Credit Restoration. At Precision Credit Restoration, she specializes in helping individuals and business owners establish excellent credit scores and then leverage those scores for individuals to get qualified for big purchases such as a new car, their dream home, and high limit credit cards and for business owners to get access to cash and credit to grow their businesses.

Her writings are based on her past experiences and those of helping many of her clients. She is also known as “The Credit Repair Queen”.

For more information on credit tips visit:

https://thecreditrepairqueen.leadpages.net/creditabcs/

No Money? Credit Shot? Who Cares....Your Swipe File Is Here!

I just got an email from one of my prospective clients. This is what she wanted to know:

"I soooo desperately need some money and a new car, but I don't have a single penny to my name to work "from".

How can you help a person who financially has NOTHING? And, my credit is SHOT, as a matter of fact, CAN YOU HONESTLY HELP ME???"

This is a common question we get, so I am glad she asked.  If you THINK there is no way to invest in repairing your credit without paying thousands of dollars, then I am personally telling you that YOU ARE WRONG!

But before I became a credit repair consultant, I thought the same thing...how in the word can anyone do this, it MUST be bogus! But what I have learned is that you don't know, what you don't know! And it wasn't until I started EDUCATING myself that I found out that there were indeed ways to repair my credit that does not require paying thousands of dollars or enrolling into a monthly credit repair program which takes years to complete.

If you don't know how, then say you do not know.  But DO NOT, dismiss this without looking into it first.  And for heaven's sake...DO NOT listen to all the negative people in your life telling you that it is not possible.  Please note that this is the same exact technique I used to take my credit score from 535 to 811 in only 90 days.

So, the people telling you that it isn't possible are obviously not credit repair experts, so why would you even listen to them?  You don't let a lawyer perform heart surgery on you, do you? Of course not!

So take a look at The Ultimate Credit Repair Swipe File and see for yourself how you can start repairing your credit today.  It costs NOTHING to find out the truth, that these powerful proven letters are the key to your success.  You owe yourself that much.  After-all, without doing something new or different, your circumstances are destined to stay the same!

       ERADICATE THOSE NEGATIVE ITEMS FROM YOUR CREDIT REPORT NOW HERE

P.S. You have nothing to lose because it's absolutely FREE, but you have everything to gain.  Start by taking action now.

P.P.S. Please feel free to contact us at 877-292-0656 for a free consultation should you need further assistance of have any questions.

Cheers To Financial Freedom,

Stephanie "The Credit Repair Queen"
Certified Credit Consultant 

Poor Credit??? You Should Understand Your Credit Rights

Your Credit Rights... The Fair Debt Collection Practices Act

Many consumers have their legal rights violated by collectors without even knowing it. The Fair Debt Collection Practices Act is designed to stop harassing, unfair, and abusive debt collection practices.

Knowing the important details of this act will help you stand up against abusive collection practices and stop collection companies from violating your rights.

There are many requirements debt collectors must abide by per the FDCPA.

Debt collectors are not allowed to tell others details about the consumer including that they owe a debt, they cannot communicate with anyone other than the consumer more than once, not communicate through post card or have ANY markings on the outside of their envelope indicating they might be a debt collector.

Basically, collection companies cannot use the fact that they are a debt collector to bully you into paying.

They cannot identify themselves as a debt collector to your employer, and they cannot send things in the mail to identity they are a debt collector with the intent of embarrassing or causing other hardship to you.

Debt collectors are also not allowed to call a consumer at an unusual time or place. This includes before 8 a.m. and after 9 p.m. A debt collector cannot contact a consumer at their place of employment if they have reason to believe this is prohibited by the employer.

They are also required to immediately cease and desist contact with you if you are represented by and attorney, or if you notify them to do so in writing or notify them that you refuse to pay the debt.

There are many restrictions of abusive and harassing practices in the FDCPA also. Debt collectors are prohibited from using the threat of violence or other criminal means to cause harm to the consumer.

The use of obscene language is prohibited along with the publication of information that the consumer allegedly owes the debt.

Debt collectors cannot cause a consumer’s phone to ring repetitively with the intent to annoy or harass any person. And they have to clearly identify themselves on every phone call.

False and misleading representations are also prohibited per the FDCPA. These include the debt collector identifying themselves as an affiliate of the United States government, miss-representing the legal status of a debt, or that they are an attorney if they are not.

Your debt collectors cannot falsely represent that the nonpayment could result in the arrest or imprisonment of the consumer or the seizure of their property or garnishment of their wages unless such action is lawful and the debt collector intends on taking that action.

Debt collectors are not allowed to communicate to any person credit information which is known to be untrue or in dispute. They also cannot falsely issue you documentation representing itself as coming from the courts.

They also are prohibited from using any false representation or deceptive means to collect a debt. They must identify themselves to the consumer as a debt collector and that the nature of the call is for that purpose.

Debt collectors are NOT directly affiliated with the credit reporting agencies, and they cannot claim that they are per the FDCPA.

They cannot accept post-dated checks of more than 5 days, or attempt to collect more than what is owed due to the original contract.

They must also send a statement to each consumer within 5 days of contacting the consumer. This letter must contain many things including the amount of the debt, creditor’s name, and many disclosures specific to FTC language.

Any violations within this act can be costly to the debt collector, especially in the civil and class action aspects.

About the Author

Stephanie Lawrence is currently the CEO of Precision Credit Restoration.

At Precision Credit Restoration, she specializes in helping individuals improve their business credit scores and then leverage those scores to access the dream financial goals.

Stephanie Lawrence is also the mastermind behind the book: The Credit Repair Blueprint: The Secrets Behind Your Credit Scores And How To Beat The Credit Bureaus At Their Own Game. Her mission is to guide you from financial distress to financial success one household at a time.

For more information on credit scoring or business credit, visit www.precisioncreditrestoration.com.

Credit Scores and Inquiries

Inquiries Effect on Credit Scoring

 

Many people have heard before that inquiries lower the score.  As a result many customers will ask you whether this is true or just a myth.  Inquiries definitely impact the consumer credit score.



FICO score inquiries account for 10% of the total credit score.  FICO counts this to the part of their score that deals with the accumulation of new debt.



If consumers apply for a lot of credit within a short period of time, their scores will go down.  There is no set amount of drop per inquiry - it's bundles of inquiries in a short period of time that really impact the score, not just one single inquiry.

This means that when a customer applies for something and an inquiry is put on their report, their score might not go down at all.  But if they start applying for a lot of new credit in a short period of time, these groupings of inquiries will have an impact on their score.



However, there are exceptions: mortgage or auto loans.  If they go to apply for a mortgage, all mortgage inquiries within a 2 week time period only count as 1 inquiry on their credit report. The same applies for auto loan inquiries.



The reason for this, is that the score providers understand that consumers will commonly shop around for the best terms on home and auto loans, and they shouldn’t be punished for doing this. Plus, in the auto business, it is common for the consumer’s application to be sent to many different banks, which could also lower their scores, if FICO didn’t operate this way.



Accumulation of new credit or new inquiries on the report, accounts for 10% of the total credit score,  Insure your clients know about this, so they can minimize the amount of inquiries they put on their report further maximizing their scores.



For more details about your credit score and to learn ways to improve your credit status, please contact a representative at Precision Credit Restoration at 877-292-0656.  We are here to guide you from financial distress to financial success.  

What Should Potential Home Buyers and Those Refinancing Know About Credit Scores

When a third party pulls a copy of an individual’s credit profile and scores a “hard inquiry” occurs.  This credit review can have a negative consequence to your scores.  Do not have your credit pulled by any third party unless there is a very good reason for it like a pre-approval letter.  There are windows of time that a series of “hard inquiries” for the purpose of a mortgage will hurt your scores less (usually within 45 days) but what is essential to remember is more than 5 third party inquiries for any purpose can drop scores dramatically depending on the individual’s full credit profile. “Hard inquiries” impact credit scores for one year and stay on credit reports for two.

When you pull your own credit online it will not impact your credit scores. However, the scores that are available online to purchase are usually not the same as the scores used by mortgage lenders.

Most mortgage lenders use the “middle score” as the risk factor. When a report is pulled by a lender it includes merged information from the three credit bureaus Experian, Trans Union, and Equifax. Each bureau has a FICO score that represents the risk of the borrower. The bank takes the middle number not the average.

The score model used by most mortgage lenders has customized versions for each bureau therefore each bureau has created their own name for the version they use. They are:  FICO 4 (used by Trans Union), Beacon 5.0 (used by Equifax), and Fair Isaac Risk Model V2 (used by Experian). We refer to these as FICO 4 for an abbreviation.  All of these scores are very similar but they have small variations.  Lenders tend to follow the score models used by Fannie Mae and Freddie Mac. These scores are currently FICO 4 models and will not be changing any time soon.

The scores sold at the consumer site www.myfico.com are FICO 8 score models and will be changing to FICO 9 sometime this fall.  This will cause confusion and larger score differences between the consumer FICO scores and the mortgage banking FICO scores. 

If your team would like more info on the details of the differences between the FICO 4 model lenders use and the FICO 8/9 model sold to consumers, plus how to handle questions and concerns of loan applicants, referral sources, and potential home buyers please reach out to us and we will set up a meeting to educate and discuss (stephanie@precisioncreditrestoration.com).

Besides the differences in FICO score models there are also many scores sold online that are not FICO scores at all.

Some of these scores are:

●National Equivalency Score: sold by Experian and it ranges from 360-840 points.

●​Vantage 2.0 Score: created by all three credit bureaus and it ranges from a 501- 990 score with letter grades A-F.

●​Vantage 3.0 Score: a newer version which ranges from a 300-850 like the consumer FICO score. Although it is the same range as most FICO scores it is not the same.

●​Plus score: sold by the bureaus, it ranges from a 330-830 score and is strictly educational.

●​Equifax score: sold and created by Equifax and it ranges from a 280-850 score. It is sold for educational purposes.

●​Trans Union scores: they range from 300-850 points and are also sold for educational purposes.

The best way to find out what the FICO score used by a banker is would be to have a banker pull credit for pre-approval. 

​​

​Feel free to reach out to us at 877-292-0656 if you have any credit questions or reports you would like reviewed!

"Guiding you from financial distress to financial success"

How to prepare our future for financial success?

How should we be preparing our future Millennial clients for successful real estate purchases and financing approvals?

Millennials (those under the age of 34) make up many of our current and potential home buyers/financing applicants.  With this in mind it is of great value for us all to learn more about their attitudes about homeownership and future investments and how we can help prepare them for success. Here are some trends among Millennials: -The National Association of Realtors Trend Study of 2014 found “8 out of 10 recent buyers considered their home purchase a good financial investment, ranging from 87 percent for buyers age 33 and younger, to 74 percent for buyers 68 and older.” -Lawrence Yun, the Chief Economist and Senior Vice President of Research at the National Association of Realtors, said the Millennial generation, which is under the age of 34, is now entering the peak period in which people typically buy a first home. “Given that Millennials are the largest generation in history after the baby boomers, it means there is a potential for strong underlying demand. Moreover, their aspiration and the long-term investment aspect to owning a home remain solid among young people,” he said.  “However, the challenges of tight credit, limited inventory, eroding affordability and high debt loads have limited the capacity of young people to own.” -Although Millennials have a much greater talent for navigating technology and social media, they are far from educated about credit and scoring.  The Fourth Annual Credit Score Knowledge Survey done by the Consumer Federation of America found that this generation falls short in credit knowledge.  About half of Millennials surveyed never pulled a copy of their free annual credit reports whereas with older adults, about 80% use free annual reports to view and learn about their credit.   When individuals are unaware of what is on their credit profile it is less likely they will have a curiosity about how credit works.  Many Millennials do not even know what kind of information is posted on credit profiles or how scores are tabulated. How can we help these individuals & gain referrals? We can send information relating to Millennials to our referral sources as well as our current, potential, and past clients.  This information will be really valuable to Millennials and also help us gain them as loyal customers in the future. For referral sources, they will appreciate good quality info that they can use to enhance their reputation and gain referrals and trust.  In addition, our current customer base will appreciate our interest in helping those they care for, which will give us an opportunity to expand our business and build a great reputation. Here are tips on credit and scoring to share with Millennials: -Order your free Experian, Trans Union, & Equifax credit reports once a year at www.annualcreditreport.com and learn about what is on your credit reports. -If you purchase the scores offered on the annual site understand they differ from FICO scores.  FICO scores are the scores used by most lenders to evaluate a borrower’s ability to pay back loans. -FICO scores can be purchased at www.myfico.com. -Paying a credit card, car loan/lease, student loan, store card, mortgage, or overdraft protection late can drop credit scores hundreds of points no matter how small the amount owed is. -Starting to build credit at a young age can add many points to your scores as the credit ages. -FICO scores over a 680 could save many mortgage applicants $100,000 or more over the life of a mortgage loan depending on the size and type of mortgage.  A 740 FICO score and above is considered excellent credit. -Credit scores take time to build and improve so starting early is extremely important. -Co-signing or signing for a friend or loved one’s cell phone, credit card, lease or loan can extremely damage credit scores for years to come and alter your ability to get loan approvals. If you have no control over paying the bill or are not comfortable paying the debt if it defaults do not sign up for it.  -Being added on as an authorized user to a parent or trusted friends old credit card with an excellent payment history can add points to scores since it increases the average age of credit.  Beware of being added on to maxed out cards. ​ Feel free to reach out to us at 877-292-0656 f you have any credit questions or reports you would like reviewed!