Does applying for credit affect my FICO score?

Fair Isaac's research shows that opening several credit accounts in a short period of time represents greater credit risk. When the information on your credit report indicates that you have been applying for multiple new credit lines in a short period of time (as opposed to rate shopping for a single loan, which is handled differently as discussed below), your FICO score can be lower as a result.

What is an "inquiry"

When you apply for credit, you authorize those lenders to ask or "inquire" for a copy of your credit report from a credit bureau. When you later check your credit report, you may notice that their credit inquiries are listed. You may also see listed there inquiries by businesses that you don't know. But the only inquiries that count toward your FICO score are the ones that result from your applications for new credit.

 

What's in your credit report? Cont.

Public Record and Collection Items.Credit reporting agencies also collect public record information from state and county courts, and information on overdue debt from collection agencies. Public record information includes bankruptcies, foreclosures, suits, wage attachments, liens and judgments.

What's in your credit report? Cont.

Credit Inquiries.
When you apply for a loan, you authorize your lender to ask for a copy of your credit report. This is how inquiries appear on your credit report. The inquiries section contains a list of everyone who accessed your credit report within the last two years. The report you see lists both "voluntary" inquiries, spurred by your own requests for credit, and "involuntary" inquires, such as when lenders order your report so as to make you a pre-approved credit offer in the mail.

What's in your credit report? Cont.

Trade Lines.
These are your credit accounts. 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.

What's in your credit report?

Identifying Information.
Your name, address, Social Security number, date of birth and employment information are used to identify you. These factors are not used in credit scoring. Updates to this information come from information you supply to lenders.

Inquiries

If you apply for several credit cards within a short period of time, multiple requests for your credit report information (called “inquiries”) will appear on your report. Looking for new credit can equate with higher risk, but most credit scores are not affected by multiple inquiries from auto or mortgage lenders within a short period of time. Typically, these are treated as a single inquiry and will have little impact on the credit score.

CREDIT CARDS!!!!

Have credit cards – but manage them responsibly. In general, having credit cards and installment loans (and paying timely payments) will rebuild your credit score. Someone with no credit cards, for example, tends to be higher risk than someone who has managed credit cards responsibly. Call us for more information at 1-866-997-6591.

DID YOU KNOW?

Lenders use a number of facts to make credit decisions, including your FICO® score. Lenders look at information such as the amount of debt you can reasonably handle given your income, your employment history, and your credit history. Based on their perception of this information, as well as their specific underwriting policies, lenders may extend credit to you although your score is low, or decline your request for credit although your score is high. Contact for a free consultation at 1-866-997-6591.

 

Snapshot

A score is a “snapshot” of your risk at a particular point in time. It changes as new information is added to your bank and credit bureau files. Scores change gradually as you change the way you handle credit. For example, past credit problems impact your score less as time passes. Lenders request a current score when you submit a credit application, so they have the most recent information available. Therefore by taking the time to improve your score, you can qualify for more favorable interest rates. Don't waste time, look into credit repair today! Call us toll free 1/866-997-6591.

Holiday Spending Reminder!

Problem #1- charging more than you can pay off.
It's common to go a little overboard during the holidays – those iPhones that everybody wants this year aren't cheap! It's easy to rationalize that this is the "giving time" of year and it's okay to charge a little more than usual. This is only true if you're not "giving" so much that you're unable to pay off your credit cards. Receiving credit card bills that you can't pay off can leave you stuck with paying interest on the balances. This is not only money wasted on interest, it's also probably hurting your FICO score – particularly if you don't typically carry balances on your credit cards. This year, try to budget so that you only charge what you feel comfortable that you can pay off the following month.

 

Know AND understand what is on your credit report!

Credit Fact of the Day

Credit Fact of the Day: Be aware that paying off a collection account will not remove it from your credit report. It will stay on your report for seven years. On the other hand, contact us about having the account actually removed at 1-866-997-6591.

Check this out!

How to protect your credit during the holidays! Click on the link <---- for more information!

Check your credit report now!

Check Your Credit Report – Credit score repair begins with your credit report. Your credit report contains the data used to calculate your score and it may contain errors. In particular, check to make sure that there are no late payments incorrectly listed for any of your accounts and that the amounts owed for each of your open accounts is correct. We can fix those errors by disputing to both the bureau and creditor in your behalf. Call us for more information to 866-997-6591.

Find alternative ways to make money & save money!

The Holidays are almost here, and with the season comes the annual need to purchase food and presents for friends and family. For many, the holidays become a time to rely on credit cards to make purchases, but it’s not necessary to use plastic to fund winter activities. Other options exist, including layaway, yard sale and lowering consumption. Increasing the balance on your credit cards causes your score to decrease. Call us today for a free life-changing consultation at 1-866-997-6591.

 

Save TIME & MONEY during the HOLIDAYS!

f you really want to save money and time this holiday season, just say, “No.” Just walk away from the mall and use the time and money you gain to do all of the other important things you never get around to doing. If you feel like you’re getting bored and that hitting the sales will somehow cure that boredom, find another cure. (This also applies to time spent mindlessly surfing the Internet, checking for deals.) Sure, shopping is part of the holiday season, but the mindless trekking from store to store all day long “just to see what’s out there” is a waste of time. You could spend that time doing much more meaningful, fun, and important things.

Let us do the impossible! Call us today for your credit services today or refer us to your friends and family!

Charge it on the credit card!

Make a list and check it twice! it is that time of the year to do some holiday shopping! if you are paying with a credit card, remember that the more you owe on your credit card the higher your minimum payment will be, therefore, plan ahead! Have fun! Call us for a free consultation 1-866-997-6591.

Getting ready for the holidays?

IT'S THAT TIME AGAIN "HOLIDAY SHOPPING!!" This means every time you go to the register you will be asked if you would like to apply for a department store credit card! No matter how much it will save you 15, 20, 30% tell them "NO THANK YOU!!" Agreeing to allow them to see if you are approved will cause an inquiry on your credit which causes your scores to go down a few points. For additional information you may contact our office for a detailed credit analysis and consultation @ 1-866-997-6591.

Statute of Limitations

The "Statute of limitations", in regards to your credit profile, is the length of time a creditor or debt collector can take legal action against you. It is also the maximum length of time an adverse item can lawfully be reported on your credit report. This varies from state to state and averages 4-6 years. We highly recommend you familiarize yourself with the statute of limitations in your home state.

How to fix mistakes, inaccurancies in your credit report...

Hire a credit repair company. "You can do it yourself, yes, but you can also do your own plumbing, too."
                                                                                                                                            -Fisher

Reconsider Closing an Existing Credit Card Account!

Have you ever thought of ways to help improve your credit? The one solution you may of come up with was to close your credit card...DON'T!!!! Closing a credit card will not help increase your credit scores. Credit cards are a way of showing that you have a good credit mix (10%), positive payment history (35%), length of history (15%). Instead of closing your card, pay down the amounts owed (30%). Proportion of balances is very important. For additional information you may contact our office for a detailed credit analysis and consultation @ 1-866-997-6591.

Errors on Credit Reports

Did you know 25% of credit reports surveyed contained serious errors? The errors could result in the consumer being denied for credit . Errors consist of false delinquencies or accounts that do not belong to the consumer.

What does better credit get you?

Our clients do not enroll in a credit repair program just so they can say they have better credit; they want what better credit can get them.
Have you learned a friend or family member is paying less for their mortgage than you are paying in rent? Driving an unreliable car with a high car payment? Are you being denied a better job you are otherwise qualified for? For additional information you may contact our office for a free consultation @ 1-866-997-6591.

Inaccurate Personal Information

Did you know 54% of credit reports contained personal demographic identifying information that was misspelled, long-outdated, belonged to a stranger, or was otherwise incorrect. For additional information you may contact our office @ 1-866-997-6591.

 

Credit Scores

Your credit score is a number, calculated based on information in your credit report, that lenders use to assess the credit risk you pose and the interest rate they will offer you if they agree to lend you money.It may be a good idea to review your score if you anticipate applying for a major loan, in the next six months to a year. That allows time to bring your score up if you fear it's too low. For additional information you may contact our office at 1-866-997-6591.

Inquiries

"Inquiries" a HARD INQUIRY is when you initiate by filling out a credit application. SOFT INQUIRIES are from companies that want to send out promotional information to a prequalified group or current creditors monitoring your credit. Remember "Buffer Period" ignores inquiries within 45 days of getting a mortgage or car loan. It also counts two or more hard inquiries in the same 14 day period as one inquiry.

What does credit buy you?

Your credit score can impact many things in your life:

• Your ability to obtain the best interest rates for a home mortgage, or even to qualify for a mortgage at all
• Your ability to obtain a car loan, credit card or other type of revolving credit
• Your ability to obtain a small business loan
• Your ability to rent a place to live
• Your ability to obtain the best insurance rates

• Your ability to be hired for a job

What does your credit score say about you?

When we introduce ourselves to someone new, we typically ask or are asked "What's your name?" followed by 'What do you do for a living?" We rarely ask "So, who ARE you?" To most people that would be awkward, right? In a day and age where many of us do not even know our neighbors, how does a potential lender determine who we are? It is determined by your credit score. So, what does your credit score say about you? Does your credit score accurately reflect who you are? Bad things happen to good people, this results in good people having bad credit. Don't let your credit score mis-represent you. Contact SCS 1-866-997-6591.

Mark your calendar!

Making your credit payments on time is one of the biggest contributing factors to your credit score. Some banks offer payment reminders through their online banking portals that can send you an email or text message reminding you when a payment is due. You could also consider enrolling in automatic payments through your credit card and loan providers to have payments automatically debited from your bank account, but this only makes the minimum payment on your credit cards and does not help instill a sense of money management.

Fact

The credit score range doesn’t start at 0 or 1, and it doesn’t end at 100 or 1000. It starts at the odd figure of 300 and ends at 850. So no matter whether you have a good score or a bad one, the credit score range will always be within 300 and 850.

If you don't have it, you've got to borrow it!

Our society lives by the rules of the money game. No matter what people say about money not buying happiness, cash is still king. If you don't have it, you've got to borrow it, but with bad credit, you're going to have a tough time convincing your banker that you've got an ounce of credit worthiness left. So getting your act together today to do credit repair is to your best interest.

Credit History= Inquiries

A credit history paints a pretty vivid picture of what sort of person you are, don't let credit problems continue to hurt you. Everyone deserves a clean start and SCS is here to do just that. Do not get another declined letter again, save money by obtaining lower interest, and stop all of the collector's calls. This is just a few benefits you will obtain from Signature Credit Services.

In debt?

(CBS) Millions of young men and women are just starting a new year at college and, along with their schedules and dorm assignments, they're getting credit card applications. Plenty of them. That, says resident Early Show financial adviser Ray Martin, can be very dangerous to their financial health down the line. So, Martin has an important lesson about handling credit responsibly, for students and their parents, alike. To read more click the link below...
http://www.cbsnews.com/stories/2007/09/12/earlyshow/contributors/raymartin/main3253611.shtml

Credit Counts for Everything!

A good credit rating is more than just an obscure number that will guarantee you credit when you need it. These days, creditors aren't the only folks taking a look at credit scores. Insurers, apartment managers, and even employers are referring to a persons credit score to help them decide if they will offer premium insurance services, approve a new lease, and offer employment.

Your credit defines who you are.

The most important thing for a young man is to establish credit - a reputation and character.
--John D. Rockefeller

Mix of Credit

This is one of the most overlooked and easily manipulated areas of your credit profile. The "ideal" credit profile is a person who has one or two mortgages, one or two installment loans, and 3-5 credit cards. This is because it is better to have a potential borrower who has experience with all 3 types of credit: mortgages, installment loans (loans with regular repayment plans), and credit cards. By obtaining some secured credit cards, you can hit that ideal range of 3-5 credit cards and start maximizing your score. For more information contact us for a free consultation: 1-866-997-6591

Get Better Rates!

Our clients do not enroll in a credit repair program just so they can say they have better credit; they want what better credit can get them.
Have you learned a friend or family member is paying less for their mortgage than you are paying in rent? Driving an unreliable car with a high car payment? Are you being denied a better job you are otherwise qualified for? For additional information you may contact our office for a free consultation @ 1-866-927-6591.

Have you or anyone you know been a victim of identiy theft and its destroyed your credit? We can help! Contact us for more information!

Did you know?

The Hard Truth:
If you want a loan, whether it is for a new home, car, or education, you have to get your credit score above 700.

Enroll Today!

After you enroll in our program, we demand that the credit bureaus and creditors verify that all reporting items are accurate. You will receive updates every thirty to forty five days.
Just send us the updates, and we will do the rest.

Traffic Citations

Who would of ever thought of speeding/parking tickets to show up on your credit report? Unpaid tickets eventually get turned over to a collection agency. This will then be reported on your credit report causing credit scores to decrease. Remember this applies to any debts owed to the government not excluding LIBRARY FINES!!! For additional information you may contact our office for a free consultation @ 1-866-997-6591

Why fix your credit?

Bad credit is a slippery slope, and the climb back to financial health can prove difficult without the right tools. Although you can do it yourself, the process of credit repair can require time, knowledge of federal consumer laws, and meticulous communication skills and record-keeping. Many people struggle with credit repair simply because they do not understand all of the elements involved. Please let us help and do all the work for you!
For more information contact us at (866) 997-6591.

Did You Know?

Did you know that FICO scores are evaluated by 5 main categories of information? Category 1: Payment history = 35%. Late payments, collections, and bankruptcies all affect your payment history. It is important to make on time payments in order for the accounts to reflect "paid as agreed" status. Maintaining a positive payment history will help ensure competitive interest rates and optimal terms when applying for credit.

For additional information you may contact our office @ 1-866-997-6591

Why is credit important?

Why is good credit so important? Today’s economy runs on credit. Your credit worthiness is a three-digit score and the determining key to your financial future. Your credit profile is viewed when needing to obtain a mortgage loan, student loan, personal loan, credit cards, apartment/ rental property, utilities, insurance, cell phone service, and at times even to obtain a new employment opportunity. For additional information you may contact our office @ 1-866-217-9841

3 ways to improve credit