Score Credit Reports

Archive for July, 2010

Judgments may have a worse effect on your credit score than collections. Since judgments may be reported much longer than collections, depending on which state you reside in, they may wreak havoc on your credit score for many years. Judgments appear in the “public records” section of your credit report, which is different than the section that contains collections. Also, in much the same way as a collection, once a judgment is reported on your credit report, it will still show as “paid” even after you pay it off. Many states also allow judgments to accrue interest, so don’t assume that the amount shown on your credit report is the actual total amount due. It’s never a good idea to ignore judgments for this very reason. Some states allow for double digit interest and additional fees to accrue, so the balance of a judgment could easily double or triple in a few years time. Don’t let judgments go a very long time without addressing them.

Judgments are typically the result of creditors pursuing legal action against consumers who failed to pay various debts. Some credit card companies may pursue legal action once an account goes to collection, but usually only if the amount is worth them hiring an attorney and filing a lawsuit. Once a lawsuit is filed, the debtor must be legally served and a court date is set once this occurs. And if the debtor can’t be located, the creditor may file papers to circumvent the serving process. In either case, the creditor will most likely be awarded a default judgment if they do not show up to court.

Many judgments can be settled for less than the full amount by either negotiating with the creditor for a release of judgment or seeking the help of an attorney that specializes in credit litigation. Many attorneys may offer to work with a creditor who has obtained a judgment for a small fee of a few hundred dollars or even less. Once a settlement is reached, make sure to get a release of judgment to prove that it’s been paid or settled and send this to the credit bureaus so your credit rating can improve.

Since credit scores are determined by an algorithm, it’s impossible to know exactly what effect a judgment will have on the score. But one thing is for sure: a judgment does not help your credit rating. If you suspect a creditor may have been awarded a judgment against you, obtain a free credit report today and make arrangements to either pay or settle the judgment as soon as possible.

In today’s society, everything depends on a credit rating or report; such as buying a house, buying a car, or just simply trying to acquire a small personal loan.

It is very important that a person is made aware of he or she’s financial rating because once a credit rating drops below 500, it is extremely difficult to be approved for any type of loan. Here are three suggestions one might be advised to do to maintain knowledge of a payment history report.

Aurora Lillo Editor of the “Credit Report And Scores” website — http://www.CreditReportAndScores.biz — pointed out;

 

“…First, there are several websites offered to the public that allow them to have constant supervision of a credit report. Many of them do charge a small monthly fee to have continuous access to the financial history report; however, it is always better to stay aware of one’s payment history and rating than to be denied help with financial resources one day and not a have clue why…”

Secondly, Identity theft is becoming a more threatening problem than ever. All someone has to have is a debit card number or simply a name and address together can lead to mail being sent to another person with confidential information in it. There are several known Identity Theft Prevention Companies that with a charge of a small monthly fee to monitor an individuals bureau and report to that individual any activity, suspicious or not, to ensure then that any change made to the bureau was performed by the owner themselves.

Lastly, an individual knowing her or his’ credit rating can save that person from the embarrassment of being denied financial opportunity at a bank or finance company. If a person so chooses to not monitor their personal report, or to have a Theft Prevention Company monitor it for them, there is still a chance for an individual to learn of their payment history rating. When an individual applies for a loan with a financial institution they can sometimes acquire their credit rating; however, with several institutions this may be a problem because some are bound under contract with a credit bureau to not release that information being as bureau’s are not free to any one financial institution or individual.

“…Maintaining knowledge of one’s credit rating is very important because of the many dangers of identity theft, and with as many opportunities as a person has to monitor their credit rating, there should be no excuse for any individual not to have full knowledge of what is on their credit rating and the report that makes that rating…” added A. Lillo.

Further information about how to get a detailed credit report including scores and as often as you want by visiting; http://www.CreditReportAndScores.biz

It is very important for every person to be aware of what is on his credit report.

In the long term, a bad credit score can cost someone thousands of dollars a year in high interest rates on mortgages, auto loans and personal loans. Sometimes you may not even know what is bringing your score down, maybe it is something that is easy to fix.

Aurora Lillo Editor of the “Credit Report And Scores” website — http://www.CreditReportAndScores.biz — pointed out;

 

“…You can get your full credit report online for FREE at websites like creditreport.com and freecreditreport.com. Monitoring your credit rating is a sure way to make it go up. These websites not only inform you of your score and what is making it good or bad, but they also explain how you can make your score go up! This will help anybody when it comes to getting approved for your dream house or even getting a student loan…”

Lenders are being very strict these days, and it is important to look like as little of a risk as possible. A high credit score will have lenders begging for your business, because it looks to them like you will never miss payments or default on your loan.

“…Employers can also use credit files to help pick candidates for jobs. If you are monitoring your file you will be more responsible and look better than the candidate that doesn’t know or doesn’t care that he has a bad credit score…” added A. Lillo.

Be sure to check your rating! It can help save you thousands of dollars as well as embarrassment of being declined for loans or apartments. It is very easy, and best of all it is FREE!! Check it out right now!

Further information about how to get a detailed credit report including scores and as often as you want by visiting; http://www.CreditReportAndScores.biz