BOOST your Credit Score

Theoretically, You have More control over the amount and terms of debt than you do over how the markets impact the value of your investments. Do you have as much control as you would like? Are the low interest rates you’ve been reading about out of reach because your credit score isn’t high enough? It’s NEVER too late to get your debt under control and take steps to increase your credit score.

WHY CREDIT SCORES MATTER

The so called FICO score is the most widely accepted measure of credit worthiness; it is a quick gauge of your ability to repay debt. A high credit score can not only help you secure a lower interest rate when you need to borrow; it can even reduce your insurance premiums and some employers consider it when deciding whether or not to hire you for a job.

In general companies using the FICO score believe people with higher scores tend to act more responsibly in other ares of their lives as well. Conversely, a lower score makes it harder to get a loan, land a job or qulify for the best terms on a wide variety of consumer contracts.

FICO scores range from 300 to 850. Only a small percentage of consumers have scores over 800. The median score is roughly 725 and a score of 760 or higher usually gets you the best deals in interest rates etc. Income and assets (which are NOT included in the credit score formula) can also affect the amount and terms of a loan. However depending on the lender’s standards a good job, high net worth may NOT be Enough to OVERCOME a POOR credit score.

A higher credit score will give you leverage in negotiating the best terms. MyFICO.com estimates that someone with a FICO score of at least 720 who takes out a 36 month $20,000 car loan will pay a 6.47% annual percentage rate (APR). In contrast with someone with a score between 500 and 589 will pay 18.403%.

(Source: MYFICO data as of July 14,2009. Interest rates are natioanl averages).

IMPROVING YOUR CREDIT SCORE

Five factors have an impact on your FICO score: payment history,leght of credit history, credit use, frequency of new credit requests and typres of credit. see previous article explaining what you can do to increase your credit score.

CHECK YOUR CREDIT HISTORY

The three main credit reporting agencies – Experian, Equifax and Transunion – are each required to provide consumers with a FREE copy of their credit report every 12 months.

It’s a good idea to request a copy from one of the three agencies every four months on a rotating basis.

To do so go to http://www.annualcreditreport.com/

READ THE SCREEN CAREFULLY.
They will try to make you think you have to pay for the credit report.
Scroll the screen and you will find where to click for your FREE CREDIT REPORT!
Remember either every 4 months with a different agency or 1 time a year on ALL 3 agencies.
P.S. I just did it myself I got my credit report but NOT my credit FICO score you have to pay for that. OR get pre-qualified by a mortgage company and they will have to give you a copy of your report and the FICO score.

As you check out your credit reports, look for errors (such as accounts you never heard of or closed long ago, or late payments that were actually paid on time) and follow instructions for correcting mistakes.

THE BOTTOM LINE – BORROW SMART

For most people, some level of debt is a necessity. When you need to borrow, take appropriate steps so YOU are the one who is In Charge of the terms and conditions – not the lender.

The material here is provided for general inforamtion purposes only.

Identity theft a growing problem

Identity theft a growing problem here are some contact numbers:Stolen Checks:National Check Fraud Service 843-571-2143Scan: 800-262-7771Tele Check 800-710-9898CheckRite: 800-766-2748CrossCheck:707-586-0551Equifax Cehxk Systems: 800-437-5120International Check Services:800-526-5380Stolen ATM card, get a new card, new account number and password.Fraudulent Change of Address: Notify Us Postal Inspector go to website for all numbershttp://www.usps.gov/postalinspectors Social Securty Number Comprimised: 800-269-0271 or website: http://www.ssa.gov/oig CREDIT BUREAUS:Equifax PO Box 105873 Atlanta Ga. 30348-5873Credit Report: 800-997-2493 Fraud Alert: 800-525-6285http://www.equifax.com Experian PO Box 949 Allen tx 75013-0949Credit Report: 888-397-3741Fraud Alert: 888-397-3742http://www.experian.com Trans Union PO Box 390 Springfield, Pa 19064-0390Credit Report: 800-916-8800Fraud Alert: 800-680-7289http://www.tuc.com

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