Problems and Solutions Concerning Credit and
As part of series of articles (blogs)
regarding Credit and Credit Score, here we
In today’s tough economic times, where every
person is being judged by his/her number (credit
score), having good credit and credit score is
more important than ever before. You need to
have good credit just to rent an apartment, rent
a car, open a bank account, get auto and home
insurance, get a job, buy a car or obtain a home
Just a few points on your score can make the
difference in obtaining home loan, auto loan, or
even a credit card.
Depending on your credit score, you could be
denied a loan, offered a normal interest rate,
or offered a loan with higher than normal rate
and/or require to put more money down. Like most
cases in finance, those with the lowest risks
get to pay the lowest rates.
Recent Statistics and
According to “The
2013 Consumer Financial Literacy Survey”
and “4Ways American are Financially Illiterate”
by Wall Street Journal reported in June
2013, we have the following statistics:
26% of American adults (about 61 million) do
not pay all of their bills on time.
of American adults (about 16.5 million) have
debt in collection
37% of American adults (about 86 million
people), carry credit card debt from month to
40% now give themselves a grade of C, D, or F on
their knowledge of personal finance
14.2% of consumers fall into the 300 to 549 FICO
score range. This is the range that most lenders
do not lend for any purpose.
adults failed a basic finance test.
The Federal Trade Commission’s February 2013
report shows that as many as 26% of people have
an error on their credit report.
60% have not reviewed their credit score within
the past 12 months
65% have not reviewed their credit report within
the past 12 months
National independent studies show that the
average American lacks the knowledge, skills and
tools necessary to make the
decisions regarding financial matters
yourself to manage your finance and your credit
Know what is being reported in your credit file,
Know how to remove or correct obsolete and/or
inaccurate information from your credit files,
Learn tips and tricks to build and improve your
aware of traps not to fall into,
Know your rights under the
Fair Credit Reporting Act.
Follow the list of Do’s and Don’ts under
Option 1: For those who have time and
willing to do it themselves, Do It Yourself:
Obtain a copy of the “Credit Score; Tips and
Tricks on how to improve your credit score”
Book, become able to fix and repair problems in
your credit files without paying
fees to “repair” your credit history, and start improving your
credit score free.
Option 2: For those who don’t have
time or desire to do it themselves: research and
find a reputable and reasonable-priced credit
repair company, to improve your credit score.
Even if you select this option, it is always in
your best interest that you know what impacts
your credit score and be ware what is in your