Most consumers are responsible – the kind who pay their bills every month and never borrow more than they can reasonably pay back. However, even the most responsible person who feels that he or she is excellent with personal finance can find him- or herself with bad credit. The reasons may be surprising, and not all of us are aware of just how much can have long-term effects on our credit reports. Here are just a few little known causes for bad credit.
Persistent Late Payments
While most consumers know how missed bill payments can negatively impact their credit reports, many don’t know that persistently paying their bills late can also have a detrimental affect. Paying a day or two late once in a while won’t be fatal, but even if you miss your payment by just one day each month, it can play a huge role in watching your credit rating plummet.
Too Many Credit Applications
Having too many credit cards or too many lines of credit can ruin your credit. Even if you pay each off each month, on time, it still makes you look like a risk to other lenders. With the higher debt you could potentially have, the worse your credit can be. You may feel responsible enough not to max out each card or each line of credit, but lenders don’t always think that way. Limiting the total credit balance available to you will go a long way in making you look more attractive to other financial institutions.
Maxing Out Your Credit Limit
Be sure not to limit yourself too much when it comes to credit cards, however. If you find that you are constantly maxing out your credit card, you will look like a credit risk, causing your credit rating to fall. Even if this limit is paid in full each month, it still indicates to other banks that you could potentially miss a payment, making you a lending risk.
“Home of the Free Credit Report & Consultation”
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
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Bad credit can affect every area of your life, from home ownership to being able to obtain a good job to replacing your car. Many people in need of credit repair simply avoid the situation, usually out of an abundance of anxiety or simply being uncertain how to proceed. This is where hiring a credit repair company can come in handy – they can help you handle the need for credit repair without putting yourself in an unfamiliar and scary situation.
Expertise and Experience
Credit repair companies have expertise in nearly every situation requiring credit repair. Some people find themselves in need because of a divorce, identity theft, or a sudden loss of employment. Whatever the reason, credit repair companies have experience in handling the situation with tact, sensitivity, and in a way that will work out best for the consumer. Think of how often you do the same task at your job, and how skilled you have become because of it. This same principle applies to credit repair companies. They have dealt with these situations on a daily basis since beginning to operate, making them experts at negotiation and at handling the unreasonable demands of creditors.
Detachment
For a person in need of credit repair, the situation is fraught with high emotions. This leaves the debtor in a bad position when trying to negotiate terms with creditors who know how to take advantage of the situation. A credit repair company is removed from the situation, putting them in a much better position to negotiate without feeling re-victimized by the process. A creditor is going to take demands made by someone who isn’t overly emotional much more serious than one who is, making a credit repair company a huge asset in this situation.
Speed
Credit repair companies help those who are in need of credit repair for a living, meaning they are significantly faster at identifying errors on a credit report and working with creditors than a debtor can. They have the time to answer calls as they come in, rather than going through the voicemail, call back, voicemail game of phone tag many debtors experience. Debtors are often busy working or dealing with other aspects of their life, and cannot handle their credit repair with the timeliness or accuracy of a credit repair company.
If you are someone who has tried to take these steps numerous times, yet can’t seem to keep up with all the chaos, then credit repair is right for you!
Why wait! Better Credit can be yours! Contact our experts at Nationwide Credit Clearing. “Home of the Free Credit Report and Consultation”
“Home of the Free Credit Report & Consultation”
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
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Credit card fraud takes place in a variety of ways. It can occur from someone dumpster diving to high-tech hacking. Perhaps a dishonest clerk or waiter takes a photo of your credit card and uses your account to buy items. The fact is fraud can happen to even the most tech-savvy consumers. Check out these 5 common ways consumers fall victim to credit card fraud.
Not Shredding Your Bank Statements: Do you still receive paper bank statements? With online banking many consumers don’t even bother to look at the statements that come in the mail. However, if you are still receiving statements in the mail there is action that needs to be taken. If you are disposing the statements, make sure the are shredded and illegible. If you are keeping the bank statements store them at home in safe place.
Not Checking For Skimmers: Thieves may attach skimming devices to the exterior of an ATM or POS system that requires a PIN. Before using a POS system check to make sure there is no unusual device added to the machine. Glue, scuff marks, or loose materials around the machine, are signs the machine has been tampered with.
Online Banking Using Public Wi-Fi: Free Wi-Fi is becoming readily available at restaurants, coffee shops, airports, etc. across the country. How safe are these public networks? When using public Wi-Fi, it is best to not check the balance of your credit card. It is easier for hackers to intercept online transactions and passwords when you are using an open wireless network.
Responding To Phishing Messages: Have you ever received a text message from your “bank”, asking you to log into your online banking account? Be skeptical of these messages, especially if they request personal information such as your login or account number. Your financial institution has this information and won’t ask you for it. When you receive a message you are unsure of, contact your bank immediately before you respond.
Not Checking Your Account: How will you know if there are questionable charges on your credit card if you never check your account? Open your bills and statements promptly. If you see a questionable charge, report it!
If you or a loved one has been a victim of credit card fraud, contact Nationwide Credit Clearing to learn how we can help you. Call today (773) 862-7700.
“Home of the Free Credit Report & Consultation”
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
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An extremely detailed report of a person’s credit history, that is prepared by a credit bureau, is what makes up a Credit Report. The report is typically used by a lender in determining a loan applicant’s creditworthiness, including the following:
The information includes how often you make your payments are made on time, how much credit you have, how much credit you are using, and whether a debt or bill collector is collecting on money you owe. It can contain public records such as judgements, liens, collections & bankruptcies that provide insight into your financial status.
How Does A Lender Use A Credit Report?
Lenders will obtain your credit card when you are deciding if they want to loan you money. They will also use it to determine what interest rates they will give you and to determine whether you will be able to meet the terms of the account they are providing. Other kinds of companies such cable, insurance, utilities etc. will always run a check to make sure you will be able to meet the financial terms of the program/service you are requesting. Additionally, an individual or company that is renting you a residential property can check your credit report before renting to you.
Who Makes A Credit Report?
Credit reporting companies, known as credit bureaus or consumer reporting agencies, create credit reports. The major bureaus in the U.S are Experian, Equifax and Transunion. There are also specialty consumer reporting agencies that can report your history of paying bills for a product or service.
How Nationwide Credit Clearing Can Help You
At Nationwide Credit Clearing we professionally assess your individual credit situation by procuring information that allows us to obtain a copy of your credit report. Our staff of professionals will review the information and determine the best method of credit repair to use based on your specific situation. Our long standing reputation working with credit bureaus goes back as far as 1985. NCC works with all three major Credit Bureaus:
If you or someone you know has something on their credit report that continues to hold them back from living a financially full-filling life, it’s time to call the Credit repair experts at Nationwide Credit Clearing
“Home of the Free Credit Report & Consultation”
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
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Whether you are opening your first credit card or need a refresher, these credit card best practices are essential to maintaining a healthy credit score. While you may think you have your credit cards under control, there may be a few items on this list that can help you to improve.
Here’s the Rundown..
Look For A Low Interest Rate: When you are on the market for a new credit card, be sure to check the interest rate and annual fee. Read the cardholder agreement! It will give you insight into all the fees you can be charged. Don’t be afraid to ask questions before opening a new card.
Don’t Spend More Than You Can Afford: Don’t buy a TV that costs as much as your credit limit, just because you can. Purchase what you can afford to pay off at the end of that month. This will enable you to avoid interest fees.
Pay On Time: Show lenders you’re reliable, pay your credit card on time! You don’t want to pay that late fee. Also, be sure to check when your payment is due each month, it can change from time to time
Pay Off As Much As You Can: At the very least pay the minimum balance. Pay off the entire balance whenever you can, to reduce the finance charges you pay. As a rule of thumb, pay off as much as you can to avoid high interest payments. When you do have to keep a balance on your credit card try to keep it below 30% or less.
Avoid Cash Advances: When you choose to do a cash advance, a fee and interest rate is typically part of the deal. Interest rates for cash advances tend to be much higher. Only do a cash advance if it is an emergency.
Stay Within Your Limit: Keep track of what you are purchasing each month. If you stay within your limit, you’ll avoid over limit fees. Keep your credit card balance below 70% of your limit at all times. This shows lenders that you have control over how much credit you use.
Use Your Credit Card Regularly: Use your credit card regularly with the mindset that you will pay it off at the end of the month. This will show lenders that you have a proven history with being able to handle your money responsibly.
If you have tried time and time again to put these steps into play in your daily life but can’t seem to get anywhere, there is help.
Don’t wait! Better Credit is just a click away! Call the experts at Nationwide Credit Clearing. “Home of the Free Credit Report and Consultation”
Nationwide Credit Clearing
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
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For many of us, opening a credit card is our first chance to start building a credit history. We believe that obtaining a credit card and using it responsibly will give us a head start on a long life of positive financial habits. Millions of credit card users are fulfilling their goal of swiping their card and paying it off each month. However, there are others who are struggling to get the money together to pay of the minimum balance. We all have a tight month every once in awhile, and paying the total balance seem so optional, compared to other bills. But what really happens when you pay the minimum balance?
How The Minimum Balance Works: Interest
As you are probably aware, you can swipe your credit card as you please, as long as you do not exceed the credit card limit. As with all debt instruments, the credit issuer gives you the option to pay the bill in its entirety or to pay a small amount to deal with at a later time. Interest will be added to the remainder, which in return will increase the price of your purchases. What is interest exactly? It is what the credit card issuer chargers their cardholders to extend the loan past the finance-free grace period. The lower your interest rate or annual percentage rate (APR), the less debt you will roll over month to month.
How Does The Minimum Balance Affect Me
Aside from the obvious, of having to pay more for your purchases due to the interest rate, there are other negative consequences to paying only the minimum balance.
What Should You Do?
Keep track of what you are spending. Make sure that you do not swipe for more than you can comfortably pay off at the end of each month. Credit cards are a great tool for building good credit. However, don’t give in to the temptation to rely on them to cover the balance of a purchase you can not afford. Just because you can spend the amount of your credit limit, does not mean that you should. Remember that your credit card activity is being watched. The credit card company will send the date of your opening to consumer credit bureaus, and every month report your activity. If you charge regularly, keep the balance at $0 and make all payments by the due date.
If you have high credit card balances, deragatory remarks, or even late payments and you just can’t seem to get yourself together enough to increase your overall credit score, there is help.
Nationwide Credit Clearing
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
http://mynationwidecredit.com
In addition to our programs at Nationwide Credit Clearing, there are several free ways to get help with your credit. If you are committed to repairing your credit score in 2016, you won’t want to miss these five free credit repair tools.
Don’t wait! Better Credit is just a click away! Call the experts at Nationwide Credit Clearing. “Home of the Free Credit Report and Consultation”
Nationwide Credit Clearing
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
http://mynationwidecredit.com
Your credit score is made up of a calculation of different factors obtained from your credit report.
Below are the most important points to know when considering what makes up a credit score.
1. Credit Card Utilization
This percentage is calculated by taking your total credit card balances divided by your total credit card limits. It essentially shows creditors how much of your available credit you use on average. A good rule of thumb is that lower credit card utilization rates are better.
2. Percentage of On Time Payments
This is the % of payments you’ve made on time during your credit history. It’s a factor that often weighs heavily into your creditworthiness, so just one or two late payments could negatively impact your credit score. If you have missed payments, it’s best to set up automatic bill pay or create calendar reminders for bill due dates to ensure you pay on time.
3. Total Accounts
As a general rule, the more accounts you have open, the higher the likelihood that your credit score will be good. This factor indicates that more credit cards means more lenders that have been willing to take a chance on loaning to you. Having a good mix of different types of credit is important for your overall credit health. A General rule of thumb: only open accounts that you need, not ones you want!
4. Age of Credit History
The longer your credit history and the older your accounts the better. That is why it can be a good idea to keep older credit cards open and active.
5, # of Hard Inquiries
Whenever you submit an application for credit such as a credit card, mortgage or auto loan a hard credit inquiry is started on your credit report. One hard inquiry will usually have little effect, but multiple inquiries can have a larger impact. A soft inquiry happens when you check your rate to find out what you are eligible for. When you check your rates through Nationwide Credit Clearing, this is considered a soft inquiry and won’t impact your credit score in any way shape or form.
6. Derogatory Remarks
Derogatory marks are negative and represent things such as collections, tax liens or bankruptcy. These records usually stay on your credit report for Seven to Ten years. This basically tells a lender that you may have been irresponsible in the past. Unfortunately, you have to wait out the length of time in order for it to go away.
Nationwide Credit Clearing
2336 N Damen
First Floor
Chicago, IL 60647
773-862-7700
877-334-3296
FAX: 773-862-7703
The general population doesn’t know enough about Credit in general to be able to determine what exactly is and is not factored into your overall credit score. Nationwide Credit Clearing has compiled a list of these factors for you to review on your own. This is good information for everyone to understand.
Federal laws including The Consumer Credit Protection Act and the Equal Credit Opportunity Act prohibit some things from being factored into overall credit scores.
These things include:
If you or someone you know is having trouble with their credit, and needs some guidance on how to increase a credit score, Nationwide Credit Clearing can assist you.
Stop letting bad credit affect your finances! At Nationwide Credit Clearing, We help you work on your credit report and dispute unfavorable or inaccurate/outdated information. In Turn, this it will help to improve your credit score and ultimately allow you reach your future financial goals.
Don’t wait! Better Credit is just a click away! Call the experts at Nationwide Credit Clearing. “Home of the Free Credit Report and Consultation”
Nationwide Credit Clearing
2336 N. Damen
First Floor
Chicago, IL 60647
Phone: 773-862-7700
Toll Free: 877-334-3296
Fax: 773-862-7703
E-Mail: support@mynationwidecredit.com
http://mynationwidecredit.com
