Do You Sincerely Want to Improve Your Credit?

Credit has become a noose to many first time home buyer.  There are ways to loosen that noose.

One way is to ga copy of your credit report from all three credit bureaus.  The credit bureaus are required to furnish a free copy of your credit report once a year and to provide a copy if you are denied credit.  To get your copy simply write, call, or apply on line:

• Equifax Post Office Box 740241 Atlanta, Georgia 30374 or call at  800 685 1111  www.equifax.com/fcra
• Transunion Post Office Box 1000 Chester, PA 19022 800 916 8800 www.transunion.com
• Experian Post Office Box 2104 Allen, TX 75013 800 493 1058 www.experian.com

You will need to provide proof of who you are.  You can accomplish that by providing a copy of your:

• driver’s license
• social security card
• addresses for the last five years

Still yet, another way that you can improve your credit is:

• pay your debt on time
• only use 30 percent of your debt
• do not cancel credit cards that you have had for years
• do not apply for new credit
• get and maintain different types of credit (ie home, car, credit cards, etc)

To learn more about improving your credit also read:

Credit How Important Is It

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A Bankruptcy Does Not Have to End Your Credit Life

A bankruptcy does not have to end your credit life.  Did you know that you can apply for a mortgage after only four years if you file a Chapter 7, 11, or 12 bankruptcy and two years after a Chapter 13 bankruptcy?  However, to be eligible you must do certain very simple but important things.

First, you must re-establish your credit right away.

Secondly, send a copy of the discharge letter and list of creditors included in the bankruptcy to all three credit bureaus, and request that the bureaus update your credit report to show all creditors involved in the bankruptcy balance as zero and request the bureau to list all creditors involved in the bankruptcy.  By completing the latter it will demonstrate that the creditor is no longer owed.  Once this update is complete you should receive an updated copy of your credit report.

Once again, the three credit bureaus are:

• Experian
• Equifax
• Transunion

Do not give up on every purchasing a home just because life happened and you had to file a bankruptcy.  Just remember, that paying your rent on time for at least 24 months gives you alternative credit that may help you to be able to qualify to buy a home.

Still yet, paying your utilities, car insurance, cell phone bill, etc. on time are also alternative credit or industry termed alternate trade-lines of credit.

If you are interested in more tips similar to the tips above, then purchase and read, Dale Robyn Siegel’s new book, The New Rules for Mortgages.

She has 28 pages dedicated to help you improve or maintain your credit so you can purchase or refinance a home.  Purchase it today at a bookstore near you.

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Credit How Important Is It?

Originally posted 2008-12-24 06:41:44. Republished by Blog Post Promoter

If you are considering buying a home, check your credit first.  Most credit reports have incorrect information.  According to the US Public Interest Research Group as many as 79 percent of consumers have mistake on their credit report.

First step, I would recommend is get a copy of your credit report.  The credit bureau can provide one free copy a year and you are entitled to a free copy if your credit is denied.  There are three major credit bureaus, and they are:

• Equifax Post Office Box 740241 Atlanta, Georgia 30374 or call at  800 685 1111  www.equifax.com/fcra
• Transunion Post Office Box 1000 Chester, PA 19022 800 916 8800 www.transunion.com
• Experian Post Office Box 2104 Allen, TX 75013 800 493 1058 www.experian.com

When contacting the credit bureau by mail, please provide the bureau with proof of identity.  Provide:

• Copy of driver license
• Copy of social security card
• Last five addresses

You will need to get all three credit report because to qualify for a mortgage all three credit bureau’s score are used.  This is called a tri-merge report.   The mortgage uses the middle credit score to qualify you for the loan, so you want to make sure all three is as high as you can get them.

Once you have your credit reports look to see if all the information is accurate.  Dispute incorrect information through the credit bureau that is reporting the information in writing.  Some bureaus provide a fill in the blank form for your convenience for this purpose.  If one is not provide, write a letter that gives the name of the creditor, the account number, and the reason the information is incorrect.  The creditor has 30 days to response to the credit bureau as to the accuracy of the information.  If the information can not be verify it must be removed.

Along those same lines, all outdated information on your credit report is supposed to be removed after seven years.

Even if there is bad credit that is true.  Time is the best cure for bad credit.  If a foreclosure is on your credit your score will get better after three years and it has to be removed after seven years.  A Chapter 7 bankruptcy has to be removed after ten years.

With the frequency of identity theft, I would also recommend checking your credit often because credit fraud is difficult and costly to correct.

Related articles on credit

• How to Remove Unauthorized Hard Inquiries (bargaineering.com)
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