15 May

Credit Bureaus

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Credit bureaus say they usually need to check with the lender because 30 percent of disputes are filed by shady credit-repair companies that challenge all the negative information on a consumer’s report, regardless of its validity. To sort the good from the bad, the industry sends almost everything through the automated system e-OSCAR (Electronic Online Solution for Complete and Accurate Reporting), which forwards consumer disputes to lenders for verification. They use the information in your credit report to determine your credit rating on the day it’s requested. Your credit score is important because most lenders will use it to automatically judge if you’re a good credit risk. They can release your information only to people with a legitimate business need. In addition, lenders and insurers may use in your credit file as a basis for sending you unsolicited offers.

They don’t have to report your credit limit if the creditor doesn’t tell them. And creditors often don’t tell because they want to prevent competitors from identifying and stealing their high-limit customers. They may be private enterprises or may be operated on a cooperative basis by the merchants in one locality. Users of the service pay a fee and receive information from various sources, including businesses that have granted the customer credit in the past, public records, newspapers, the customer’s employment record, and direct investigation. They compile and sell
your credit report to businesses. Because businesses use this information to evaluate your applications for credit, insurance, employment, and other purposes allowed by the Fair Credit Reporting Act (FCRA), it’s important that the information in your report is complete and accurate.

Credit bureaus and their hirelings often inadequately match
public records before adding the info to credit reports. Some other John Smith filed for bankruptcy– but it wasn’t you.

Information about your checking or savings accounts is not included on
your credit report. Information that is available in
public records, such as court judgments, foreclosures and seizures may also make up part of your file. Information on Free Advice or a Forum should not be relied upon and is not a substitute for advice from an attorney licensed in your jurisdiction who you have retained to represent you.

Report such attempts to government regulators immediately. Report your identity theft to your local police or sheriff’s department, making sure your police report lists all the fraudulent accounts. Of course, get a copy of the report.

Check with your service provider for their fraud hotline number. In addition, you may want to ask your telephone service provider to implement a “carrier freeze”. Check in the yellow pages for mailers near you. To track down a specific mailer, check the fine print on material mailed to you. Checking your report periodically you will prevent different problems, such as identity theft. Moreover, monitoring
your credit report and score regularly gives you more opportunities to attain good credit history.

Consumer advocacy groups recommend reviewing a copy of
your credit report at least once per year. When you are prepared to explain blotches on your credit history, you are more likely to have credit extended to you. The most common type of CRA is the credit bureau. Consumer advocates have picked up on it and made some strong efforts to get the truth out and stop the spread of this incomplete and misleading chain letter.

Consumer advocates recommend that you do not do this. If you take action quickly, the companies with which the fraudulent charges were made or fraudulent accounts were opened should work with you to limit your responsibility for the debts and permanent effects on your credit. Consumers can obtain their FICO
credit score, for a fee, at myfico.com.

They are permitted by law to report bankruptcies for 10 years and other negative information for 7 years. There is nothing that you (or anyone else) can do to require a
credit bureau to remove accurate information from your credit file until the reporting period has expired. They are a function of the big banks and should be not allowed to operate. The 4th Amendment protects Americans from keeping any kind of data files on them. They are required to do this and when someone pulls your report they are obligated by law to disregard that item. If you ask, the consumer reporting company must send notices to anyone who received your report within the last 6 months AND you can have a corrected copy of your report sent to anyone who received a copy during the last 2 years for employment purposes.

They are businesses that collect information on the payment habits and current debt of individuals. They gather this information from financial institutions and others sources (such as utility companies, retailers, consumer creditors, tax authorities, governments, etc.) and organize it in a database. They are in the business of making money. They make money this by selling the information they have regarding your financial life and habits.

Scores over 750 are considered excellent, while those below 620 are risky. Your FICO score can differ from one company to another by as much as 100 points. Scores reflect payment patterns, with more emphasis placed on recent activity. By paying bills on time, keeping balances low (particularly in relation to the account limit), and only applying for and opening new accounts as needed, you can increase your score over time. Scores generally range from 300 to 850, with higher numbers indicating a lower risk. As your credit activity changes, so does your score.

Financial institutions often request FICO, Beacon, or Empirica
credit score as part of the report. The score is a statistically-proven weighting of items in the report, boiling it down to a single a number to simplify decisions about credit-worthiness or the likelihood of bankruptcy. Financial institutions have great incentive to pay close attention to the list. Criminal penalties for violating the SDN list provisions under the Executive Orders range up to 10 years in prison, $500,000 in corporate fines and $250,000 in individual fines. Financial institutions were required to send notices to existing customers by July 1, 2001. Thereafter, new customers also will get privacy notices, and all customers will receive a notice annually.

Financial decisions are personal, based on an individual’s situation. Consult with a financial professional before making any financial decisions.

Free copies of the reports were only available to consumers who were turned down for credit or were victims of identity theft. As of March 1, 2005, the three major nationwide credit bureaus are required by the Fair and Accurate Credit Transactions Act to give all Minnesota consumers a free annual report.

FICO scores are the credit scores most lenders and financial institutions use to determine your credit risk. Each score is based on information the
credit bureau keeps on file about you. FICO scores vary from approximately 375 to 900 points. Higher scores are better. To get the best interest rates, you will generally need to score 680 or higher.

Send it certified mail. The
credit bureau must correct any errors in the report. Send a letter to the creditor, or other information provider. Follow the same guidelines from Step 1 (letter to the
credit bureau).Know that many creditors have a specific address for disputes. Send the letter by registered mail and ask for a return receipt. Allow at least 40 days for any action and then recheck
your credit report.

TransUnion, Experian, and Equifax are the three major US credit bureaus (sometimes called credit reporting 

agencies). Each of them compiles and stores the personal and financial information on an estimated 205 million Americans. TransUnion will also send you a form to fill out (Equifax does not send a form.) The purpose of the form is to provide formal authorization to TransUnion to place an “alert” message on your file. Complete and return this form as soon as possible.

Identity theft has become a $50 billion business, bilking both consumers and companies alike. Your credit report contains information about your past and present credit transactions. Identity theft can impact you as an insurance consumer because insurers often use an individual’s credit score to determine whether to accept an applicant for insurance and to set an individual’s rates. The Texas Insurance Code, however, requires companies selling personal lines of insurance to make reasonable exceptions upon request to rates, rating classifications, and underwriting rules for an applicant or policyholder whose credit information has been directly influenced by a catastrophic illness or injury; by the death of a spouse, child, or parent; by temporary loss of employment; by divorce; or by identity theft. Identity theft is on the rise. The Federal Trade Commission reports that in 2005 Florida ranked number six in the nation for instances of identity theft.

Alternative credit bureaus are trying to fill this hole. In fact it is said that there are millions of businesses and consumers who are not part of the traditional credit bureaus. Alternative credit bureaus also calculate credit scores using their own financial models based on the bill-paying information. These alternative credit scores use the same data and criteria that traditional credit scores use, but simply apply it to non-credit-reporting bills.

Thank you for taking your time to read this article. Information shared here does not constitute financial, legal, or other professional advice. This article is intended to provide general information only and does not give advice which relates to your individual circumstances.

 



15 May

Credit Card Consolidation

General

Posted by: Gurmit Singh

Written by Gurmit Singh

 



Credit Card Consolidation clubs or consolidates debts into one account. The advantages are many – for one, debt consolidation means more convenience Credit card consolidation involves merging your credit card balances into one, lower interest account. All credit card consolidation strategies have one thing in common. Credit card consolidation could save your money and time if you are in heavy debt due to overspending and mismanagement of credit. You can fall into multiple debt traps if you go on spending on several credit cards that you hold.

Credit card consolidation is moving your balances from multiple credit cards to a single credit card or loan. Many times people will move their high interest balances to a low interest rate credit card. Credit card consolidation helps you to avoid paying high interest on your credit card bills. So, if you’d like to obtain lower rates on your cards, get credit card debt help from a debt consolidation company. Credit card consolidation debt can just be from a number of unsecured credits into one more unsecured credit, but more frequently it engages a protected loan next to a benefit that serves as security, most usually a house. In this case, an advance is secured next to the house.

Debt sometimes happens just because life is that way, such as a lost employment, medical emergency or plain old bad luck. Debt can throw finances out of order and make it seem impossible to get back under control, or sometimes it is just because we spend more than we make just to make our monthly ends meet. Debt consolidation can simply be from a number of unsecured loans into another unsecured loan, but more often it involves a secured loan against an asset that serves as collateral, most commonly a house. In this case, a mortgage is secured against the house. Debt Settlement may be the answer for you.

Debt consolidation loans on the other hand do not to negatively affect your credit score, although certainly if your debt-to-income ratio is suffering, this debt relief option will not help it. Debt consolidation typically works within your budget to set a monthly payment that you can afford, so, there’s no excuse for missing payments. Debt consolidation can help make your finances manageable.

Debt free living is easy if you never spend more than you have. Using cash only is a great way to do it. Debt Consolidation refinance loans can also produce a positive impact on credit scores. Credit reporting agencies place a large emphasis on an individual’s “credit mix”.

Debt management will help you consolidate your unsecured debts which include but are not limited to medical bills, unsecured loans, student loans, and credit cards into one low monthly payment. This will also allow you to save and get back on top while restoring your credit worthiness.

Interest rates are one of the keys to managing credit card debt. If you have a high balance on a high interest credit card, you are spending a lot of money to “borrow” that money from the credit card company.
Interest rates and loan costs are typically lower than that of a cash advance loan, and will even improve your credit rating once it’s fully paid off. In most cases, home equity lines of credit are also tax deductible. Interestingly enough, however, some experts say individuals who take out a home equity loan to pay off credit card debt accumulate similar debt in a two-year period.

Bankruptcy ruins your credit. Only
debt settlement offers peace of mind and a fresh start. Bankruptcy is not your only option!

Loan consolidation is the best way to combine all your debts in to one, and pay one single lower monthly payment, which makes your financial situation easier. While you go for consolidate debt you will be qualify for lower interest rate than actually what you were paying.

Credit card consolidation is a procedure that collects all credit from several different cards into one lump sum to be paid off. This can be done with either loans or balance transfers to a low interest credit card. Credit card consolidation is being catching on in the form of a smart and popular way, especially for consumers for lowering their ‘debt levels’. The way in which credit card consolidation operates is as follows: you acquire a new-fangled credit card, that too, with good ‘credit line’. Credit card consolidation is considered an option when a person possesses a multitude of credit card accounts that have become very difficult to control. It is too easy to extend credit card debt and when added together the amount that one could pay out each month can add up to a substantial percentage of the household expenditure.

Credit card consolidation is not the perfect solution to credit card debt, but those who are struggling to make their monthly payments and continually making late payments may benefit from this type of arrangement. The truth is this: Debt can never be eliminated, but interest rate debt can.

Credit card consolidation is ideal for anyone who is looking to have better credit now, and in the future. Consolidation is very common these days, and it is actually a sure way to combine your debt and make sure that you never get yourself too far in credit.

Personal debt in the US exceeds $8 trillion and in the UK the debt is around $2 trillion. This article provides advice on trying to stay on top of your credit card debts.

Financial experts are of the opinion that in majority of the instances consumers are cheated because of their ignorant nature. Even the BBB or the Better Business Bureau has urged consumers to have a clear idea of the debt help program they are opting for. Financial institutions rely on highly computerised
credit rating systems, and co-operate with each other in providing details of bad credit risks. Hence the concept of the black list or black listing or being black listed.

Consumers can get help through consolidating their debts and multiple loans. The new loan will cost them lower rates of interest and save time as they have to repay only one lender instead of many.

Start with defining debt consolidation and the types of debt consolidation. Start using your debit cards instead of your credit cards and you will find that this will curb your passion to spend on plastic. You will go overdrawn in your bank account if you have not got enough money to cover your purchases.

People these days are seeking help of the credit counseling agencies as these agencies help a lot in shaping the right and effective decision. There are certain credit counseling agencies that offer proper counseling for the people who want to go for credit card consolidation loans.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.




15 May

Credit Card Debt

General

Posted by: Gurmit Singh

Written by Gurmit Singh



 

Credit card debt takes many years to repay, especially if you only pay the minimum amount due each month. Credit card debt consolidation will be useful primarily because it offers a lower interest rate. If you opt to consolidate credit card debt, your minimum monthly dues will then be significantly lowered as well. Credit card debt is a huge problem for many American consumers.

Credit card debt is a major issue in a substantial percentage of consumer bankruptcies. Credit card debt is a plague that has stricken countless families. Paying off the excessive debt can stress your monthly cash flow but having too much debt can keep you from getting a good rate on a home mortgage or car loan. Credit card debt is destroying many Americans’ financial lives. Credit card sharks continue devouring us with outlandish interest rates of up to 24%.

Consumer advocates now advise debtors not to acknowledge old debts or debts they don’t recognize as their own to avoid inadvertently re-setting the clock on the statute of limitations. In January, average debt on credit accounts and fixed-payment accounts such as auto loans climbed to $16,600, up from $15,500 last April, according to the credit reporting agency Experian. Consumers with this many cards are still in the minority, but experts say that the majority of U.S. It’s true that credit cards have become important sources of identification — if you want to rent a car, for example, you really need a major credit card.

Carrying credit card debt costs money. When you signed up for the credit card, you agreed to pay monthly finance charges to the credit card company for every $1 you didn’t pay before the grace period.

Fees can be similarly changed. Credit card companies also engage in a variety of other practices that most of us would agree are somewhat “shady.” Bankruptcy is not your only option! The result is a vicious cycle of borrowers being hit with higher interest rates, hair-trigger late fees and curtailed credit lines just when they need funds the most. Banks don’t need the government’s permission to write down losses. They can do that it already, but they want the government to change accounting rules so that writing down credit card losses is advantageous to the banks.

Free Credit card debt consolidation and dealing strictly in cash are two of the new the most common changes that people are making. Truthfully, the only free method of paying off your credit card debt is doing it on your own.

Actually, in order to get the benefits of having access to standby credit and receiving positive credit reports, it is important for you to learn how to get out of credit card debt. Actually, it’s a good idea to begin building an emergency fund while you’re going through your debt consolidation program. That way, you have some savings to fall back on in case of a financial emergency.

Consolidation isn’t the only step though. You also have to find ways to reduce expenses or increase your income. Consolidation of all your credit card accounts and bills can be of great help in reducing the interests or fees that you pay on the different credit cards and loans. Debt consolidation can also bring down your monthly payments by almost 50 percent. Consolidate your debts onto one or two credit cards that have the lowest interest rates you can get (as far under 10% as possible). Bargain for those rates!

Secured credit cards can be a good first step to building or establishing your credit. From there, you can proceed to a guaranteed unsecured Visa or MasterCard.

Colleges then receive money, either in a lump sum, an amount for each completed application, or, in some cases, a percent of the amount charged by those possessing the cards. Credit card companies often are allowed to seek business on campus. College students may frequently encounter credit card offers on campus and in their everyday activities. Credit issuers offer cards to students through the mail, campus displays, and tables at athletic events, college publications, and flyers in bookstores.

Student loans, credit cards, car payments, rent-sometimes it seems like the whole system’s conspiring to keep you broke. Mortgage lenders will pull a copy of your credit history and credit score when you apply for your loan, but they’ll pull another one just before you close. You don’t want to do anything, or buy anything, that will make your debt-to-income ratio look bad, or you risk losing your loan just before you close on your new home.

Gather your bills and clear a space at the kitchen table to line them up. Rank your cards from the lowest to the highest interest rate. Gather all of your credit cards and make a list. On the list write down the name of the card, what you owe, the current interest rate, and the phone number for each card.

Granted, we make a decent income to be able to pay over $2,000 extra per month to our debt (first our one car and then the credit cards), but we also live a fairly frugal lifestyle. Our frugal lifestyle doesn’t involve reusing paper towels or taking baths every third day. Granted the plan may result in some new jobs a few years down the road once the additional federal borrowing to pay for it works its way through the economy.

Perhaps the most infamous trick card issuers have employed in recent years is double-cycle billing. This basically set up consumers to pay newly acquired interest on balances they’ve already cleared from their card. Perhaps you’re a loyal credit cardholder: is there some room to negotiate with your credit card company? It doesn’t hurt to ask if they can work out a better rate for you.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.




15 May

Credit Card Offers

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Visa credit cards offer low fixed interest rates as well as 0% APR credit cards. Up to 5% cash back with travel and frequent flyer miles. Visa Credit Cards are the number one credit card used by people around the world. Visa cards offer the world’s largest and most sophisticated consumer payments processing system with exceptional convenience and reliability.

Interest adds up fast so it is important to pay off entire balances each month and remember not to make late payments.
Interest rates reflect, among other things, the risk a lender is taking in letting you borrow money. If you have a poor credit history and a low credit score, you will still receive credit card offers. Interestingly, but 50% of those surveyed said that they planned to give gift cards. The truth is that practical gifts have never been so popular!

Compare the best business credit card offers for your small business, company or other enterprise. We offer a wide variety of small business credit cards: low interest, low balance transfers, no annual fee, cash back, gas rebates, airline reward and other rewards. Compare popular credit cards and apply for the best offers online.

Fraudulent credit card companies may also claim that they can repair your bad credit for a large upfront fee. But you can correct inaccurate information in your credit files yourself for free, and no one can erase negative information that is accurate. Fraudsters that steal your identity lurk in places where you would never expect to find them. These thieves can’t be seen and you only know that you have become an identity theft victim when you receive your banking statement or your credit card bill.

Balance transfer cards are ideal if you have a large balance on another card with a higher rate. These cards will not have any charges for making the balance transfer. Balance transfers at lower rates simply do not interest me. Low limited-time APRs that expire in three months is equally unimportant.

Searching for your first credit card will only be hard if you make it that way. If you’ve been searching for a while and you’re still confused about the credit cards themselves, this article will help you better understand some of the important questions most first time student appliers ask. Search by credit card reward, category or issuer.

Credit card offers are great at advertising. You, pre-approved customer X could get (up to) $5000 in credit. Credit card offers are placed around campus, and sometimes students are recruited and paid to convince other students to apply for a credit card. Student Loans College is a time when students experience a freedom they have never before known. Credit card offers are perhaps the most annoying types of junk mail that adult Americans deal with on a regular basis. After the Free Credit Reporting Act passed in 1970, it became legal for credit bureaus to sell credit histories to lending companies that mail out credit card offers.

Credit card offers are available for students of any level: high school, college, university, community college or other schools.

Financially, credit cards can be very beneficial of course like any other service in the world if used correctly. Are you ready for the best credit card offers available? Financial institutions frequently offer low introductory
interest rates to entice individuals to open and use credit accounts with their firm.

Check carefully for any unauthorized charges or withdrawals and report them immediately. Call if bills don’t arrive on time. Check your credit card statements. Sometimes thieves will take a small amount (out of many accounts) in the hope that no one will notice or make the effort to track down the charges. Check carefully for any unauthorized charges or withdrawals, and report them immediately.

Banks with a 1 percent higher annual percentage rate of interest have estimated delinquency rates 16.5 percent higher than average. And even after controlling for
interest rates, banks with higher annual fees or late fees still have higher delinquency rates. Banks and other financial services companies that offer credit want your business and will make concessions to gain it. Many offer low interest incentives and other enticements such as frequent flyer miles or cash back rewards.

Banks are trying to reel in the amount of credit they extend, not offer us more of it. They just don’t trust us much anymore, at first perhaps because we were irresponsible borrowers. Bank card programs often fail because customers don’t know their bank offers the service. Your agent bank should actively market the cards to your customers.

Reward credit cards tend to have higher
interest rates than standard low APR credit cards– but you’ll avoid the higher charges altogether if you pay your bill in full before the grace period ends. This will allow you to earn extra bonuses and perks from daily purchases you’d normally pay for with cash. Reward yourself for your responsible history by seeking out low
interest rates on cards with no annual fee. Whether you intend to leave a balance on your card right now or not, you may need to have that option available in the future. Rewards have grown beyond airline miles and cash backs. Issuers now offer high-end rewards, such as exclusive access to movie premiere events and luxury resorts and create-your-own rewards.

College students’ lead stressful lives and the temptation to buy stuff–such as junk food–can be great. Even buying small things can be dangerous. College students are new to financial experiences and are independently responsible for finances, and obtaining a credit card is an experience that can make or break our financial future. Credit cards can establish good credit or drive a student deep into debt. College students are prime targets for banks and credit lenders, so don’t be lured by free flat screens, laptops and t-shirt offers while on campus. Credit companies prey on college students who are anxious to spend money, have not developed any money habits, and are generally naive as to how credit cards work.

Included in your monthly statement, lenders appear to be lending a helping hand. But beware of services that are offered to make borrowing more convenient or easier.

Consumers can either write a letter to the three major credit bureaus —Equifax, TransUnion and Experian — or use an automated service (1-888-5-OPTOUT) that the credit bureaus employ. Consumer s, in need of credit, compare the different schemes of different companies and also give a weight age to the credit card offers there under and choose the most suitable one matching his needs and specifications. Consumers should avoid credit cards that use two-cycle billing.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.

 




15 May

Credit Card Processing

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Credit card processing is available using an existing processor to provide secures transactions. Credit card processing is your core business. The value-added products are just that: value added. Credit card processing is no different. Credit card transactions now account for more than 50 percent of all purchases in the U.S.

Credit card processing is a very simple process as far as you, the customer, is concerned. The merchant at the store at which you are making your purchase simply slides your credit card through a machine that reads it.

Online if there is a problem, the sale stops in its tracks, the customer gets irritated, blames the site and leaves. Online credit card merchant services work through online merchant account that is provided by a bank. These services allow you to make or receive credit card payments through Internet.

Additionally there can be a Discount rate which is a percentage that you will also have to pay on every sale you make. Some credit card processing companies will also charge a Rate of return which is a percentage of your monthly sales and it is kept in reserve in case of fraudulent transactions.

Check their reputation with the Better Business Bureau and perform a Google search for complaints against the particular vendor prior to entering into a contractual agreement with them.

Proven strategies involved with small business credit card processing used by many successful businesses are available to increase your bottom line profits and streamline sales operations. Processing is completed in real-time, and your clients’ billing accounts are updated immediately.

Wireless credit card processing is most often used by businesses that operate mainly in a mobile environment. These businesses include mobile utility repair service businesses, locksmiths, mobile windshield repair and others. Wireless account is designed for wireless credit card machine and the Mail Order is the one where the merchant enters the credit card number manually in the credit card terminal. Home based business account is a specially designed package for home based businesses.

Customers find it convenient and processors love it because they get a fee. Only merchants dislike it because they have to pay a fee on each transaction. Customizing the templates allows us to keep the look-and-feel of the shop the same as the other parts of the site.

Banks, Third Party Processor, Associations and many more such

credit card processing companies offer merchant account with variety of offers and scheme. The merchant just dials a toll free number whenever he/she has to process the credit card, and the fund is deposited directly to the account in a matter of a few days.

Information about the purchase is sent over a secure, proprietary connection to the cardholders bank. Within a few seconds, the authorization response is sent back to the merchant and the customer will be told onscreen whether the transaction was approved or declined. Information about credit card processing can vary from one source to the next and even from one provider to the next. It’s tough to know who to listen to and what can and can.

Selecting a Merchant Account vendor is extremely important to your business. If your business does not have a merchant account, you run the risk of turning away customers that prefer to pay with a credit or debit card.

Basis points sound a lot more complicated than they really are. Simply put, the basis points are 1/100th of 1 percent or 0.01% and they’re used specifically when referring to the discount rate that a merchant pays to process credit cards. Basically, business credit card is for the business people s consumption. Compared to the regular credit card, a business credit card has a high limit plus low interest rates.

The payment gateway service comes into play when a customer submits their credit card information to the webpage form. Think of the gateway service as the middleman in the process. Payment to the merchant is made once monthly.

Financial decisions are personal, based on an individual’s situation. Consult with a financial professional before making any financial decisions. Financial institutions are eager to work with you in opening a merchant account, and they sometimes offer attractive incentives to get entrepreneurs? If you like the idea of free credit card processing, start shopping at your community banks and credit unions to see what type of deals they can offer.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.





15 May

Credit Cards

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Credit card debt and personal bankruptcies are now at an all time high. With no legal limit on the amount of interest or fees that can be charged, credit cards have become the most profitable sector of the American banking industry: more than $30 billion in profits last year alone. Credit card debt settlement is also an option worth considering. Credit card fraud is also an adjunct to identity theft. According to the Federal Trade Commission, while identity theft had been holding steady for the last few years, it saw a 21 percent increase in 2008.

Credit card lending is enormously profitable. But the credit card industry is saturated. Credit card lending in the UK is said to have increased by $300 million over the course of the month, according to the central bank. The Bank of England also stated that there were similar increases for the month of April for unsecured lending as a whole, and this included personal loans and Credit cards charge interest and are primarily used for short-term financing. Interest usually begins one month after a purchase is made and borrowing limits are pre-set according to the individual’s credit rating.

Credit card applications are submitted directly to banks or financial institutes via Secure Sockets Layer (SSL) technology. Credit cards have come a long way since the term ‘credit card’ was originally used in an 1887 sci-fi novel. Today people of all credit levels around the world use plastic on a daily basis.

MasterCard’s Pay Pass technology also works on the same principle. MasterCard is owned by over 20,000 member organizations. They serve customers in over 210 countries, and process over 15 million transactions a day in over 180 currencies.

Comparing interest rates, annual fees, introductory offers and special benefits is easy. Compare credit card offers and submit credit card applications. Read professionally written credit card reviews that detail the benefits and terms of each card.

Banks don’t issue credit cards out of the goodness of their hearts. They do it to earn a profit, and fees help them do that.

Secured credit cards are cards with prepaid funds deposited by you. They are used mostly by those establishing and reestablishing credit. Secured debt is home mortgages, car loans, boat loans etc. In terms of eliminating debt you always want to eliminate credit card debt first.

Perhaps you’re a loyal credit cardholder: is there some room to negotiate with your credit card company? It doesn’t hurt to ask if they can work out a better rate for you. Perhaps you are one of the millions of people who see these words everyday. They come directly to you courtesy of the postal service via your mailbox.

Credit cards are double-edged swords, they cut both ways. If you find yourself being hurt by them, cut them up, repay your debts, and never use them again. Credit cards are fun; but a best practices list could be handy.

Credit cards charge interest on any balance remaining on the card after the payment date on the statement. The interest rate can vary from one credit card to another, but if you clear the balance in full each month before or on the payment due date you will not get charged any interest.

Interest rates on this type of mortgage fluctuate and have been on the rise, contributing to a variety of fiscal problems, as well as to a rising number of foreclosures. Refinancing and locking in a lower fixed rate of interest may be the right strategy for you if you’re starting to feel the pinch of higher interest rates. Interest charged could exceed the low payments your provider suggests, and you could see the debt snowball as your credit card provider profits. Interest rates and fees will be higher than those of regular credit cards.

Bank of America, for example, saw its default rate jump to 12.5% in May from 10.47% in April. That’s a staggeringly fast rate of deterioration, and hints at shoddy underwriting standards compared to other banks.

Compared to cash and checks, credit cards allow consumers to purchase goods and services from around the globe and on the Internet with enhanced buyer protection. With the advantages of their convenience, however, also come hidden risks that have trapped many Americans in a cycle of expensive debt.

Merchant gift card purchases help you earn substantial credit card rebates. You can use the gift card for future purchases or even give it away as a gift! Merchants hate it because they have to pay a fee to the bank for using the service. What would they do?

College student credit cards allow you to find the most benefit in funding your education, your expenses and even a little fun (just a little) while you are away at school. There are a variety of credit card companies that offering multiple college credit card products targeted for students.

Balance transfer credit cards are those that make an excellent choice for transferring balances from one card to the other. The main purpose behind transferring balances is to remove debt from a card with a higher interest rate to one with a lower interest rate.

Prepaid cards aren’t really “credit” cards, because they aren’t extending any credit to you at all. You give the card company your own money, and they usually deduct several types of fees from the funds that you give them. Prepaid tools let humans manage their personal finances so much better than post-paid because they hold you to a budget. You run out, you must get more.

Financial literacy is something that our public schools should teach starting as early as possible, because clearly this is not something being taught in the home. Financial planners all sing the same tune when it comes to paying off debt: tackle the debt with the highest interest rate first.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.




15 May

Credit Repair Part 1

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Credit repair companies often advertise on television, in newspapers and even on match-books. Sometimes they require consumers to dial a “900? telephone number to get more information.
Credit repair made simple. The dispute process is done online and very simple.
Credit repair is something you can do on your own, but it’s very time consuming and from what I’ve heard, very frustrating.

Credit repair information and free credit reports for debt consolidation and debt management counseling. Understand consumer credit counseling and debt consolidation
credit counseling.
Credit repair, fix bad debts and other terms used to designate the clean up of your reports only adds to the negative status you find yourself in with negative debts. Credit report repair work is not easy but it’s worth the effort.
Credit repair companies claim they can erase negative entries on your
credit report — even if those entries are accurate. Sorry, nobody can do that for you.

Credit repair organizations say they can fix your bad
credit report. But do those
credit repair outfits actually deliver?
Credit repair is not only legal, it is your right. The Fair Credit Reporting Act grants you the right to dispute questionable items on your
credit report and allows you to have assistance with the process.
Credit repair does take time; the average time is usually about 6 months.

Credit repair is a legal way to clean up and improve your
credit report. However, it is important to choose a firm that is both experienced and reliable.
Credit Repair can make things a lot easier on you. Repairing bad credit is not easy, but you should repair your credit if you want to get back on your feet again.
Credit repair agencies offer the assurance of a better life with an improved credit rating. The Federal Trade Commission recently issued a statement saying that
credit repair agencies that advertise these pledges in an effort to get money from consumers are committing fraud.

Credit repair and
credit counseling are completely different things. In fact,
credit counseling can actually hurt your credit scores.
Credit repair is used to make your
credit report as perfect and as up to date as it could possibly be. It is particularly useful for anyone who has filed for bankruptcy and wants to start the task of rebuilding their credit.

Legally, it can’t be done. Accurate negative information may stay on your
credit report seven to ten years. Legal challenges are implemented around each individual’s credit situation.

Companies typically sought out by the public for assistance are banks/ other lenders, the credit bureaus, credit counselling and debt consolidation clinics, and credit attorneys. Companies examine your
credit report before deciding whether to give you credit. When a company denies your request for credit because of your
credit report, it must tell you so and identify the credit bureau that supplied the report.

Consumers have reported that TransUnion treats their investigations with respect and thoroughly carry out their obligations to resolve any disputes. Consumers whose scores are above 700 receive relatively low rates. The best interest rates, though, are reserved for scores of 760 and above.

Disputes can be submitted online at the credit bureaus site or simply sent via postal mail, my recommendation is to do it online since it is normally much faster. Disputes sent in based on the free
credit report now provided under FACTA are given 45 days to resolve.

Bad
credit repair program is not a science, but it is a huge timesaver. You can certainly repair bad credit yourself without software applications to examine and check your online history, but really bad credit will take many letters and tedious days and weeks to optimize, whereas a software program can automate the process considerably. You can have bad credit erased legally and quickly. Bad credit becomes an issue, when you need to make a major purchase such as a home, car, appliances, etc. When you apply for a loan or a line of credit, the creditor with whom you are applying for a loan, immediately pulls your credit history file. Bad credit loans can help you solve this problem. Banks, credit unions and finance companies are lenders of bad credit loan.

Bad debts may be noted on your
credit report. You need to repay these debts and, once this has been done it will be noted on your
credit report.

Debt settlement is an alternative solution for people who legitimately cannot afford to repay their debts and are looking for an honest way out of a debt-burdened life. Debt is one of the biggest worries for most families and small businesses qualified professionals may have solutions to help set you free from debts forever through debt elimination. Not debt consolidation, not debt management–debt elimination!

Real
credit repair is very legal and can be very powerful, if done right. Fixing your credit the right way is a combination of credit laws, education and follows through.
Credit Repair is a real power to take back control of your life.

Bankruptcy is a serious mark on your
credit report and will devastate your credit score. That said, bankruptcy has built in protection from creditors. Bankruptcy information can be reported for 10 years.

Loans will be hard to come by and life will become a misery. Before you do anything you must first find a way to improve your credit score. Loan Modification Agreement is arguably the most effective tool you can use if you are behind on your mortgage. Don’t lose your home due to foreclosure when you can take out a Mortgage Loan Modification that will help you keep your home and reduce your monthly expenses.

Financial counsellors all agree about one thing: maintaining a good credit is important to conducting a healthy financial life. Financial burdens such as divorce and paying for a child’s secondary education may have lowered your once flawless credit score, and with today’s current economic state, it’s easy to fall behind and lose sight of your credit rating. But regardless of the reasons that you may have let things slide, just relax, and know that with a little time and effort on your part, free
credit repair is possible and doable.

Ask them how long before your credit will be repaired and back on the road to recovery. Ask yourself this: What’s more likely to be effective: A dispute letter from me or a letter from a law firm on my behalf?

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.




15 May

Credit Repair Part 2

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Secured personal loans are the best advisable products that can be made available to any person. With these loan products there are several facilities associated with it and with the present course of time, these secured loan products have become the best loan products that people can avail. Secured credit cards offer people with no credit and those repairing their credit this opportunity. Shop around for the best deal available, but limit your applications.

Send your dispute letter to the credit bureau via certified mail, return receipt requested. If you are using a credit monitoring system you can do this online. Send the letter by certified mail, return receipt requested, for proof that the CRC got the letter.

Keep copies of your dispute letter and enclosures. Send the highlighted copy with a letter stating that you want the inquiry and the account information merged. Again you should receive a response within 30 days. Send them a billing statement that has your address. Do not send them a copy of your driver’s license as they request.

Send copies of any documents you wish to provide to us and always retain your original documents. Be sure to include the following identification information: your full name including middle initial (and generation such as JR, SR, II, III), previous addresses for the past two years, Social Security number, and date of birth.

Debt consolidation put together several loans into a single loan that has lower and more affordable monthly payments.
Debt consolidation is one such option.

Information compromised included names, age, physical descriptions, mailing addresses, Social Security, and driver license numbers. This is virtually everything an impersonator needs to set up a clone of the identity theft victim, enabling him to make a number of financial and personal transactions in the victim’s name. Inform the credit reporting agency of any errors your find to have them sorted out. You will then be in a better position to qualify for the loan. Information about what’s on your credit report. Whether to go for that free credit report offer.

Interesting to see how things affect the score. Like letting one credit card balance get over 30% of the available credit line. Interest rates have risen, limits have been slashed, and terms are changing without notice. Using credit cards often, but sparingly at the same time may seem like an oxymoron, but here’s what we mean; use your card to put gas in your car only.

Actually you want to see lower interest rates and raise your credit score, then you need to get an on line credit statement to see where you stand. If your creditors will be looking at these numbers, then you really must know exactly what is on them so that way you will be able to fix any old details that are now in error. Across all types of credit card, more than one in ten consumers, totaling 3.32 million, has had an application declined in the past twelve months. This is a clear sign that providers are still acting on the air of caution and only lending to those with a squeaky clean credit record. Acceptable reasons might be your income was low? Unacceptable reasons include you didn’t meet our minimum standards?

According to word attention research, they have dynamic which people with bad credit contention 40% of all claims. For which proclivity if you have bad credit they might decider you to be tall risk and they might repudiate you coverage.

Call up the respective credit card customer service department if you have doubts or any queries with the terms and conditions. Take to time to get the card you want that will serve you the best.

Medical identity theft is easily carried out when thieves attain someone’s name and Social Security number, insurance group policy number and member ID, or by downloading personal health information from medical office or hospital computer systems. Many people are completely unaware that they are victims of medical identity theft and that their insurance providers are paying fraudulent claims.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.

 



15 May

Credit Repair Part 3

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Free credit reports requested by phone or mail will be processed within 15 days of receiving your request. Free credit reports are available on request. Free FICO score, free 3 bureau credit report, and 3 bureau credit monitoring. Free annual credit report is an efficient document that helps a borrower to avail a loan. This can also helps you to maintain proper financial credit records. Free credit reports requested online are viewable immediately upon authentic.

Contact (by mail) the credit agency involved and DISPUTE the inquiry’s. Be sure to state the reason. Contact the collection agency and make payment arrangements with them. Once the account is settled, you can request them to remove the negative item from your credit report.

Checking your credit reports will not hurt your credit score, so checking your report regularly is the best way to ensure you get the credit you deserve. Checking and keep track of your credit scores and history are the first step you can take to ensuring you have the highest credit scores possible.

Financial experts advise to check your credit report once a year for inaccuracies. Financial directors, credit managers and financial controllers can all benefit from quality data and accurate risk assessment. Each credit status report includes a sophisticated risk score which helps you identify risk and apply credit limits that manage that risk.

Lenders are free to use their own criteria for judging a credit score as either good or bad. Lenders like to see consumer debt obligations paid on a monthly basis. Lenders report on each account you have established with them. They report the type of account (bankcard, auto loan, mortgage, etc), the date you opened the account, your credit limit or loan amount, the account balance and your payment history.

Lenders, including banks, building societies and other financial service, lenders may also see the financial information relating to the associate. This allows lenders to view all the information that may be relevant to your credit application. Information about an association is held on record indefinitely.

Lenders are under a lot of pressure to lend responsibly so they look at how much credit you have access to, as well as how you have managed your accounts in the recent past. If they see you have several cards with money available they might say no when you next apply for your 0% card. Lenders want to share this ‘historic’ data now, but the DTI is in the process of deciding how this can be done legally.

Identity thieves may use your information to open a new credit card account in your name. Then, when they don’t pay the bills, the delinquent account is reported on
your credit report. Identity Theft: You can detect the first signs of identity theft if you regularly check
your credit report.

annual credit reportom, which was created by the three credit bureaus, is a centralized service for requesting your free annual credit reports. You can order all three credit reports at the same time, or order one now and others later. AnnualCreditReport.com is the ONLY authorized source to get your
free annual credit report under federal law.

TransUnion and other credit bureaus store and maintain information on consumer credit and payment habits, inquiries and public records. Businesses that are members of TransUnion are able to obtain a copy of this information, if they have a legal permissible purpose or your consent, as applicable. TransUnion, Equifax and Experian all allow you to review your report online.

Otherwise, your dispute should be resolved in 30 days. However, your dispute response may be available prior to 30 days depending on the nature of the dispute and the response time from any creditors that are contacted.

Inquiries for a mortgage or auto loans are bundled within designated timeframes and treated as only one inquiry to
your credit score calculation. Inquiries are classified as “hard” or “soft”. Hard inquiries are “generated when you authorized a company listed to request a copy of your credit report”.

Inquiries can add up, which is often interpreted as a negative by creditors. For this reason, too many inquiries can actually make getting credit more difficult. Inquiries for a mortgage or auto loans are bundled within designated timeframes and treated as only one inquiry to
your credit score calculation.

Since you do not know which bureau a lender will use to base their approval decision, you should inspect your report from all three bureaus.
Equifax offers a 3 in 1 report where you can view
your credit report from all three bureaus in a single transaction. Since
your credit score is important for obtaining credit you need to be aware of how good or bad
your credit score is. It can give you crucial information like, how many payments have you defaulted on, your chances of getting new credit and whether you’re a victim of identity theft. Since future creditors and lenders use
your credit report to make decisions about you, there are some things you’d never want to show up on your report.

Ordering
your credit report will help you catch new activity on accounts that you haven’t been using, or may have closed. Ordering extra copies is possible for a small fee. Or, if you’ve been turned down for credit by a lender in the last 60 days, you are entitled to a free copy of
your credit report.

Creditors determine whether to give you credit or a loan—and how much you will pay—based on information in your credit history. The national credit bureaus (now called consumer reporting companies) collect information from your creditors about how many credit cards and loans you have and how many accounts are late, overdue, or in collection. Creditors will view
your credit report when you apply for a loan, mortgage or credit card. Employers may request
your credit report prior to making decisions about your future.

Perhaps you paid a debt but the creditor failed to update their records. Perhaps they accidentally mistyped a piece of information somewhere in your past or perhaps they mistyped someone else’s information but accidentally put it on your file. It happens a lot.

Accurate information, both positive and negative, cannot be removed from
your credit report. In fact, most correct information stays on
your credit report for seven years, and bankruptcies can stay on
your credit report for up to 10 years. Most items will remain on file for 7 years although bankruptcies show for 10 years.

Request a copy of your file to ensure it is accurate. Requesting a credit report will NOT affect your credit. You have the right to look at
your credit report without it affecting your credit or score.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.




15 May

Credit Repair Part 4

General

Posted by: Gurmit Singh

Written by Gurmit Singh



Credit reports and credit scores influence our lives in many ways. Your history of credit management affects the cost of loans, your ability to rent or buy a home, the insurance rates you are offered, and even your future employment opportunities. Credit reports are also available on line.

Freezes allow you to lock up your records and select a secret code that only you know and can use to temporarily thaw your credit. So criminals won’t be able to get credit in your name because they don’t have your code. Free credit reports

requested by phone or mail will be processed within 15 days of receiving your request.

Consumers can order their free annual credit reports by mail, by telephone, or online. To maximize your protection against fraudulent activity, order one report from a different company every fourth month. Consumers can also play an active role by obtaining free copies of their credit reports annually and checking them for accuracy. The existing FCRA standards that apply to furnishers regarding the accuracy of credit report information and the investigation of disputes provide meaningful protections for consumers.

Information concerning lawsuits or judgments against you can be retained in your file for seven years or until the statute of limitations expires, whichever is longer. Under Washington’s law relating to judgments, a judgment can remain on your report for a ten-year period after it is entered. Information about your business accounts may appear on your personal credit report if you are a sole proprietor or if you use your Social Security number to apply for business credit cards, loans, and other trade lines. When your personal and business credit intermingles, you risk being denied for loans and other services because you can appear to be overextended.

Inquiries made in connection with pre-approved credit offers or those you make yourself do not result in a reduced score. Inquiries that do have an effect on the creditworthiness of a consumer (also known as “hard inquiries”) are made by lenders when consumers are seeking credit or a loan, in connection with permissible purpose. Lenders, when granted a permissible purpose, as defined by the Fair Credit Reporting Act, can “pull” a consumer file for the purposes of extending credit to a consumer.

Since you have three different credit reports, you also have three different FICO scores. In fact, your bank might order all three scores. Since credit bureaus don’t automatically check to make sure the information is right, checking for accuracy is up to you. Since there are more than 10,000 courthouses in America, a nationwide courthouse check of the applicant’s criminal background record is not practical.

Monitoring your credit also helps you detect any identify theft attempts. Monitoring your credit is one of the easiest and most effective ways of protecting your credit against errors and fraud.

Creditors may also simply delete disputed information to avoid the cost and trouble of verifying its accuracy. Creditors determine whether to give you credit or a loan—and how much you will pay—based on information in your credit history. The national credit bureaus (now called consumer reporting companies) collect information from your creditors about how many credit cards and loans you have and how many accounts are late, overdue, or in collection.

Companies called consumer reporting agencies (CRAs) or credit bureaus compile and sell your credit report to businesses. Because businesses use this information to evaluate your applications for credit, insurance, employment, and other purposes allowed by the
Fair Credit Reporting Act (FCRA), it’s important that the information in your report is complete and accurate. Companies report every time you apply or are approved for credit.

Experian also runs a family of free credit report sites, starting with FreeCreditReport.com and FreeCreditReports.com. Those sites include a prominent mention of AnnualCreditReport.com. Experian, for example, offers to sell consumers a peek at their credit score, and a service to prevent identity theft.

Thank you for taking your time to read this article. Your comments on this article will be highly appreciated.