leskovarlm.com

By Tim H Lambert

Most of us are asking how long it takes to improve our credit score. Will it be years, months, weeks or days? Is it possible to improve your credit score in 24 hours? The answer to that question is yes, it is possible to improve in overnight.

To start the improvement process, you should know your credit score. Aside from that, get a copy of your credit report for the three credit bureaus. It is very important that you have those two. The three credit bureaus are the Experian, Equifax and TransUnion. You can get your score in TransUnion for free over the phone while the other two will charge a small amount if you know your score through phone or Internet. Credit report should come with a confirmation number. This is necessary for you to follow up your items in the credit report via phone or online. Now that you have both the credit score, you should look into the middle score of the three especially if you are applying for a home loan and work on it. For example, your score for TransUnion is 595, Equifax is 623 and Experian is 636, the lender will pull all yours score and then chooses the middle one which is 623 in our example. So you should work to improve the Equifax and improve your credit report there. Remember, items in your credit report directly influence your credit score.

So what will be the plan to improve your credit card in 24 hours? It is very simple, dispute with you being persistent. Disputing is the right given to the borrowers based on the Fair Credit Reporting Act. Disputing is necessary to eliminate or remove any inaccurate items in your credit report that have negative effects in your score. Disputing inaccurate item get be a do it yourself work or you can hire credit repair consultants; however, you have to pay them at least $700 to repair your credit report.

Disputing derogatory items is necessary when you have items, meaning these items on the credit report are erroneous and you don’t actually deserve it. For example, there is an open collection amounting to $90, but you have paid in 2 years ago. You can dispute this item with the credit bureau and the law states that the creditor should investigate it and give a report after 30 days. If your claim is correct, they will tell the bureaus and delete it from your report. It would be great if you show proof of your payments to help the investigation fast. Sometimes, there are creditors that will just delete the item without any responding to the bureaus. Each item that gets deleted will give you an increase of 20 – 25 points in your score. Another way to increase your score is to ask the creditor that do they delete items once you pay it. If they delete then you can have a 20+ points increase after you have pay your debts or any collections!

The most powerful way to improve your credit score in 24 hours is to constantly dispute derogatory items until they get weary of you and they delete that item!

About the Author: Improve your credit score now, go to

CreditScoreBooster.com

. Let the experts show you how to

raise your credit scores

.

Source:

isnare.com

Permanent Link:

isnare.com/?aid=531821&ca=Finances

By Sean A. Kelly

Credit card debts are indeed very risky for you to be carrying around without actually making any payments. As credit cards can be very addictive, you might even keep accumulating new debts with more interest on top of the existing credit card debts that you have not even paid for yet. Normally if you stopped making payments to your credit card companies for more than a few months (usually up to 6 months or 180 days), your creditors might actually write you off as a bad debt. It is considered as an expected cost of doing business from the point of view of your creditors but from your point of view, the charge-off appears on your credit report and might actually decrease your credit scores significantly. It may not be as severe as bankruptcy filing but the impact on your overall credit history may be quite major as it shows that as a debtor you have not been making any attempts to make payments to your creditors.

Sometimes, you may have the option to stop making your credit card payments altogether and wait for your bank to issue you a charge-off or you could opt for bankruptcy filing in order to have your debts discharged or modified. You might want to bear in mind though that when your creditors write off your debt as bad debt, they are not totally letting you off the hook by giving up on you paying your debt. They are merely giving up on your paying your debts voluntarily. So, although you probably think that a charge-off might be better than having to file for bankruptcy, you have to remember that any negative notation will stay on your credit report for seven years. So you probably might want to rethink your options and if it comes down to choosing between bankruptcy and credit card debt charge-off you might want to thoroughly weigh your options and go through all the pros and cons of each option.

In general, if your credit card debt is high, a bankruptcy may protect you from a lawsuit and prevent charge-offs from occurring, with the court allowing you to pay off your debts with a lower interest rate and sometimes a waiver of fees. Of course, the damage that the credit card debt charge-off might cause to your credit rating is not as severe as that of a bankruptcy filing. Yet, it will still stay on your credit report for years and might be the reason you may find it difficult to apply for a new loan in the future, as potential lenders will run a background credit check on you and see that you have a record of debt charge-offs.

If you opt to file for bankruptcy, when the debt is discharged by the court, you will no longer be held responsible for the debts you originally owed your creditors. However, if you choose to simply stay dormant while waiting for your bank to issue a charge-off, you are merely taking the chance that your creditors will not file a suit against you. Regardless of whether your creditor might win a judgment against you or otherwise, the charge-off will no doubt be reflected in your credit score for at least seven years.

Either way, you may want to consider and weigh the risks of each option thoroughly. You will have to bear in mind that a bankruptcy court takes all your debts into consideration, even the ones that you are not having any problem with. In the end it might come to choosing between risking a creditor lawsuit and a judgment and risking losing your assets such as your home or car.

About the Author:

bankruptcy filingbankruptcy and creditcredit report

Source:

isnare.com

Permanent Link:

isnare.com/?aid=634848&ca=Finances