Credit problems are rampant. There are countless commercials on TV for credit repair companies, most everyone you know has had some sort of credit issue, but so far, youve been lucky " or maybe not. Today, well explore three of the tell-tale warning signs that signal you may be in need of credit repair, and then well outline some of the most successful solutions to help get you back on track.
Warning 1 – Know the score! Your credit score says more about you than you may think. Your credit score has a major impact on everything from interest rates to insurance premiums. For practicality sake, lets say your credit score is 600, thats pretty good right? WRONG! Unfortunately, any credit score under 720 is considered problematic and could use some repair.
The credit scoring range extends from 300 on up to 850. If you have a credit score of 850, you have the golden ticket! High credit score equals low risk to lenders and insures they will provide you with the best possible interest rates. Experian, Equifax, and TransUnion are the three main credit bureaus and their sole purpose is to collect information from companies that give you credit. The information is then analyzed and used to write up your credit report, wherein your credit score is derived.
Warning 2 – Dont be so negative! Although it may have been a long time since you were late with a payment or went delinquent on an account, your credit report may still be holding a grudge. If you havent taken steps to guarantee your credit has been cleaned up, those late payments and delinquent accounts can take as long as 18 months to clear off. The really bad news is that each negative entry on your credit report will pull down your credit score.
Warning 3 " You got troubles! Imagine youve gotten a raise in pay and youre ready to trade in that old beater for something new and shiny. Youre talking things over with the finance officer at your local car dealership, when, much to your surprise, you learn your payments will be a lot higher than you thought they would be. As you sign the dotted line, you begin to wonder why youre going to be writing a monthly check for twice what you calculated. Well, If you have difficulty getting a decent rate on loan for a new car, you may be in need of credit repair.
These are three laymans warning signs that indicate your credit might not be as great as you thought. If you think you may be in need of a little credit CPR, all it will take is some patience and perseverance. Most people can tackle credit issues themselves like getting debt consolidation loans, but if you dont feel confident doing this, or your problems are more severe than you can handle, there are a few respectable credit repair companies that, for a nominal fee, will take on your credit woes for you Keep on your toes when it comes to your credit. If you spot the warning signs, go on the offensive immediately. Your finances and your credit rating plus your secured loans will be happy you did!
