Credit card Internet fraud is one of the most common crimes in cyber space today. It can be as simple as being charged for a dollar online purchase and then the merchant using the card to charge other purchases. This is much easier for a thief than the old fashioned way of actually stealing the credit card and account details. It affects not only the card holders, but the merchants as well. Each year, hundreds of millions of dollars are lost to fraud. As well as business, for example: some people may shy away to charging online and as a consequence business is lost to honest merchants.
While most countries have done their part in preventing card fraud, there are still isolated incidents of this cyber crime. There are several ways to avoid this depletion of your financial resources. Perhaps the most important way is by keeping informed.
Accurate Financial Records
Personal vigilance is one of the keys to prevent this fraud. Maintaining up-to-date personal financial records keeps a credit card user aware of purchases made under his or her name. Card issuers often send out the billing statement a month before the payment due date. This allows the card holder ample time to verify and dispute questionable purchases. Billing statements should be kept and filed for at least a year for reference. They should be shredded before discarding. In making online purchases, the card holder should be on the lookout for the secure sign (https:) in the front of the domain name listing of the merchant's website. When a site looks suspicious, the purchase should not be made.
Online Credit Card Security for Merchants
Online merchants should also be aware of ways to avoid credit card fraud. Extra steps in the online purchasing process can be added to provide more security. Follow-up email is one simple add-on. Before pushing through the purchase, a verification email should be first sent to the card holder and will only proceed once the purchase is verified. A telephone call may also be made as part of the verification process as email accounts can be hacked easily by cyber thieves. There should also be efforts to invest in software or Internet tools to protect online transactions. The website should be using the Secure Socket Layer (SSL) Web protocol. This can be requested from the hosting company of the third-party website administrator.
Online merchants should also be aware of the "carding" technique where credit card thieves try to make small donations to non-profit sites using a stolen card to test their validity. Seeing small purchases made successively by just one credit card account will show online merchants that cyber thieves are using the credit card possibly in a suspicious manner.
Suspicious Small Charges
You should always examine your credit card billing statements every month to look for very small charges as little as 25 or 30 cents. This is a scam in which a thief will charge several hundred or more cards a very small amount, in this way the crook can accumulate a good bit of money without attracting the attention of the card holders. Report any small charges you can not account for to your card services and don't pay them.
FTC can Help
In instances of credit card fraud, the public may seek assistance from the Federal Trade Commission at ftc.gov. The Federal Trade Commission helps by sending these instances, whether online or offline, to Consumer Sentinel. Consumer Sentinel, on the other hand, makes its online database available to law enforcement agencies in the United States and overseas.
Avoiding credit card fraud does not only allow card holders to dodge financial hassles, but also to maintain an excellent credit rating. Security from this fraud starts with being informed. That is why it is important that you understand your credit card bill. Armed with the proper information, card holders and online merchants can effectively make preventive and reactive measures to stop online fraud. For more information visit our friends here!
Friday, August 28, 2009
An Insight to Chase Credit Cards
With the headquarters located at the New York City, Chase Manhattan Bank offers Chase credit cards playing a major role in the arena of credit cards. Credit cards are offered in a wide range by Chase, based on the consumers needs. It was thought that a single unit in this galloping world could suffice. There is no exaggeration to say that Chase's offer of 250 credit cards is nothing less than phenomenal. In the existing economy, there is lot of diversification in the market. Availability of many categories of cards is enough to vouch for this. Huge availability of cards, tailor-made, with lot of potential to meet the fiscal needs is an indication of demand for Chase cards.
Balance Transfer Cards offered by Chase are renowned which allows consolidation of the current debt held on other cards. They allow you to consolidate existing debt held on other cards onto a single card. Rather than managing multiple cards, it is facile to handle a single card and can reap the benefit of 0% APR and minimal rate of transfers.
Consumer Cards attracts lower credit limits compared to Chase business credit cards, with flexible options for adjustable ceiling in spending limits. The built-in accounting benefits the card holder by alerting and monitoring the spending activity or erroneous judgement or any fault on the part of the card holder.
Card holders of Chase are recognized widely and they are offered incentives like travel points and cash discounts. With steep rise in gasoline prices of late, the importance of gasoline cards gained significance and the businessmen as well as individuals could be benefited from them. Last but surely not the least, be sure to read the terms and conditions carefully before applying for any of the above-mentioned cards.
Balance Transfer Cards offered by Chase are renowned which allows consolidation of the current debt held on other cards. They allow you to consolidate existing debt held on other cards onto a single card. Rather than managing multiple cards, it is facile to handle a single card and can reap the benefit of 0% APR and minimal rate of transfers.
Consumer Cards attracts lower credit limits compared to Chase business credit cards, with flexible options for adjustable ceiling in spending limits. The built-in accounting benefits the card holder by alerting and monitoring the spending activity or erroneous judgement or any fault on the part of the card holder.
Card holders of Chase are recognized widely and they are offered incentives like travel points and cash discounts. With steep rise in gasoline prices of late, the importance of gasoline cards gained significance and the businessmen as well as individuals could be benefited from them. Last but surely not the least, be sure to read the terms and conditions carefully before applying for any of the above-mentioned cards.
Free Do it Yourself Credit Repair
This is a subject that is on a lot of people's minds right now. It is actually much easier than most people would think. I'm going to try to give you a quick overview of how it's done. Be ready to be patient, write lots of letters, and stand your ground.
The first thing you will need to do is pull your free annual credit report. (If you have already used your report for this year, you can either purchase one, or wait till next year.) There are some benefits to purchasing your credit report . Some sites will allow you free access to your reports for an extended period of time, plus send you email updates whenever there are changes made on your reports. This is nice if you are getting ready to make a purchase, and are waiting for your optimum credit scores, in order to get lower interest loans.
Repairing your credit definitely takes a lot of research time, and can be a little stress full at times. Remember that the end results are worth the work.
You will need to be ready to contest everything on your reports. You can do this by contacting the three main credit bureaus. You can contact them via the internet, or by mail. You will find out that there are lots of different techniques that have been tested and proven to work. My advice would be to do as much research as you can before starting on your adventure. I can't stress this enough!
The first thing you will need to do is pull your free annual credit report. (If you have already used your report for this year, you can either purchase one, or wait till next year.) There are some benefits to purchasing your credit report . Some sites will allow you free access to your reports for an extended period of time, plus send you email updates whenever there are changes made on your reports. This is nice if you are getting ready to make a purchase, and are waiting for your optimum credit scores, in order to get lower interest loans.
Repairing your credit definitely takes a lot of research time, and can be a little stress full at times. Remember that the end results are worth the work.
You will need to be ready to contest everything on your reports. You can do this by contacting the three main credit bureaus. You can contact them via the internet, or by mail. You will find out that there are lots of different techniques that have been tested and proven to work. My advice would be to do as much research as you can before starting on your adventure. I can't stress this enough!
Free Personal Credit Report - Smoothly Find Out Your Financial Position
Wondering what is a need to have free personal credit report? Want to know about the use of such report? Getting a personal credit report is must in today's time. Earlier you have to pay some amount to get it. But now you can easily avail this service at free of cost. It is really vital to have the overview of your credit status as it tells you the full picture about your financial transactions in detail throughout the year. It gives you a great chance to avail your credit report in a hassle free way.
Banks, lenders and other financial institutions are always interest in seeing your credit status before making their mind to give you any financial assistance. As this report shows your purchasing nature and spending tendencies, which will make an effect on the loan amount set by the lender. In addition the record of your finances will prove whether you have the ability to pay back the required amount or not.
It basically contains the information concerning your credit history, payment, along with the creditworthiness and the personal information of a particular person for the full year. Moreover, this service will also protect you from theft, as it may be possible that your personal and confidential financial information can be misused by other. So, it is essential to keep your financial records up to the mark.
Free Annual Credit Report allows you to avail whole details of the financial transactions in a proper manner through most suitable free personal credit report. This will further help you to improve your credit score by implementing measures and correcting your mistakes.
Banks, lenders and other financial institutions are always interest in seeing your credit status before making their mind to give you any financial assistance. As this report shows your purchasing nature and spending tendencies, which will make an effect on the loan amount set by the lender. In addition the record of your finances will prove whether you have the ability to pay back the required amount or not.
It basically contains the information concerning your credit history, payment, along with the creditworthiness and the personal information of a particular person for the full year. Moreover, this service will also protect you from theft, as it may be possible that your personal and confidential financial information can be misused by other. So, it is essential to keep your financial records up to the mark.
Free Annual Credit Report allows you to avail whole details of the financial transactions in a proper manner through most suitable free personal credit report. This will further help you to improve your credit score by implementing measures and correcting your mistakes.
Instant Fixing Credit Strategies That Anyone Can Use
Many people have been searching for various ways in fixing credit. This just means that most of us are determined to fix the problem of indebtedness instead of running away from it. Since almost everything that we do right now involves credit that much, we should learn how to value the trust that lending firms have given us. There definitely is a solution for this financial problem, one just have to be more open minded in accepting the fact that it is necessary for you to do something about it fast.
Now, the first thing that you should look into is the controllable things. Meaning that these are the things that you can control from your end, like for instance your spending habits. You have to take care of spending this time around. Take note of moat of your expenditures, some of them are recurring and more of them are for other fancy things that you have seen from various stores. If you really are that serious in fixing credit, then you should start fixing your daily budget buy considering the necessary expenses and the disregard the less important ones.
So, if you are to fix your financial problem, you have to have an understanding of what budgeting is. You need to budget your remaining money according to your daily expenses and you must allot a portion of it to those bills and monthly credit that you need to pay for. It is necessary that you pay your bills promptly and make it to the point that you are not late as you make a payment. Late bills would entail penalties, and this would be an additional expense on your part.
In fixing credit, you need to regain your lenders trust through your sincerity in winning back their business again. You can show them this by not being late when you are to pay your dues. This would then bring the possibility of increasing your credit score that would bring a positive feedback to your financial records.
Lastly, if its is then possible for you to keep your credit card balanced at times, then that would be advantageous as well. You may also look into the possibility of paying your debts in full to lessen the increase of interest and other surcharges. If your current income is not enough for you, then you might need to search for a 2nd job to assist you with your expenses. In doing this you would be able to practice fixing credit appropriately, and get yourself back on track with your finances.
Now, the first thing that you should look into is the controllable things. Meaning that these are the things that you can control from your end, like for instance your spending habits. You have to take care of spending this time around. Take note of moat of your expenditures, some of them are recurring and more of them are for other fancy things that you have seen from various stores. If you really are that serious in fixing credit, then you should start fixing your daily budget buy considering the necessary expenses and the disregard the less important ones.
So, if you are to fix your financial problem, you have to have an understanding of what budgeting is. You need to budget your remaining money according to your daily expenses and you must allot a portion of it to those bills and monthly credit that you need to pay for. It is necessary that you pay your bills promptly and make it to the point that you are not late as you make a payment. Late bills would entail penalties, and this would be an additional expense on your part.
In fixing credit, you need to regain your lenders trust through your sincerity in winning back their business again. You can show them this by not being late when you are to pay your dues. This would then bring the possibility of increasing your credit score that would bring a positive feedback to your financial records.
Lastly, if its is then possible for you to keep your credit card balanced at times, then that would be advantageous as well. You may also look into the possibility of paying your debts in full to lessen the increase of interest and other surcharges. If your current income is not enough for you, then you might need to search for a 2nd job to assist you with your expenses. In doing this you would be able to practice fixing credit appropriately, and get yourself back on track with your finances.
Why Do I Need a Low Interest Credit Card?
Utilizing your low interest credit card is a handy way to shop and pay out money. You do not need to be troubled about traveling to the bank to acquire money to pay for your products before you set out shopping, and the additional benefit of making use of a low interest credit card is that you don't need to be troubled about holding too much money inside your pocket or handbag.
Low rate credit cards are perfect if you are planning to acquire products and simply meet the smallest settlement on the card. If you don't pay an outstanding balance that will accumulate interest every month, you need ensure you engage in the lowest rate achievable. Think about the difference amid a card with 11% and 20% interest charge, with a £3000 outstanding balance, you will be billed in excess of £20 extra interest for every month on the high rate card. This is a standard option designed for folks who will produce continuous repayments on a transaction, but can stay away from making an application for a individual credit usually with a less attractive interest rate.
Rewards are a grand way to accumulate bonuses and make some money back from the banks. Ordinarily rewards cards give rise to elevated interest charge, elevated once a year fees, or else reward program fees. You ought to just opt for a rewards card if you intend to pay out a bundle of money on the card, but pay the balance to nil every month (before incurring interest). If you know you can disburse off your balance every month, it follows that a rewards card may possibly be best for you.
Make certain that the credit card you make use of is the most appropriate for your expenditure patterns. If you are utilizing a card in place of extended credit and don't pay off the balance in full every month, subsequently vote for a card with a lesser rate. It may possibly not offer any interest free of charge phase, but the lesser interest rate ought to save you more in the long run. If you make use of your card in support of the convenience of paying for everyday purchases such as petrol or cuisine, try a credit or charge card with greatest interest-free days, then be certain you clear it off in full every month. This way you acquire the benefit of up to 62 interest-free days on transactions, as well as rewards, discounts and frequent flier points. But pay attention to the once a year charges on rewards cards.
Low interest credit cards usually come with above what is usual balance transfer charges and fees or interest charges higher than the main charge following the honeymoon time. Hard cash withdrawals could as well produce higher charges. In short, you need to check the terms and conditions relatively carefully. Look for all the charges and impending interest rates prior to signing up. To build the most excellent use of a low interest credit card, you ought to generate big transactions using it and pay off the balance during the honeymoon period. Yes, you may end up paying a small interest rate but it would be better than taking a store credit for a high interest rate. If you have a 0% interest deal, then you will be paying nothing for the full introductory phase. Making use of your low interest credit card intelligently for the duration of the honeymoon time will absolutely assist you to salvage some cash on your bigger purchases.
Low rate credit cards are perfect if you are planning to acquire products and simply meet the smallest settlement on the card. If you don't pay an outstanding balance that will accumulate interest every month, you need ensure you engage in the lowest rate achievable. Think about the difference amid a card with 11% and 20% interest charge, with a £3000 outstanding balance, you will be billed in excess of £20 extra interest for every month on the high rate card. This is a standard option designed for folks who will produce continuous repayments on a transaction, but can stay away from making an application for a individual credit usually with a less attractive interest rate.
Rewards are a grand way to accumulate bonuses and make some money back from the banks. Ordinarily rewards cards give rise to elevated interest charge, elevated once a year fees, or else reward program fees. You ought to just opt for a rewards card if you intend to pay out a bundle of money on the card, but pay the balance to nil every month (before incurring interest). If you know you can disburse off your balance every month, it follows that a rewards card may possibly be best for you.
Make certain that the credit card you make use of is the most appropriate for your expenditure patterns. If you are utilizing a card in place of extended credit and don't pay off the balance in full every month, subsequently vote for a card with a lesser rate. It may possibly not offer any interest free of charge phase, but the lesser interest rate ought to save you more in the long run. If you make use of your card in support of the convenience of paying for everyday purchases such as petrol or cuisine, try a credit or charge card with greatest interest-free days, then be certain you clear it off in full every month. This way you acquire the benefit of up to 62 interest-free days on transactions, as well as rewards, discounts and frequent flier points. But pay attention to the once a year charges on rewards cards.
Low interest credit cards usually come with above what is usual balance transfer charges and fees or interest charges higher than the main charge following the honeymoon time. Hard cash withdrawals could as well produce higher charges. In short, you need to check the terms and conditions relatively carefully. Look for all the charges and impending interest rates prior to signing up. To build the most excellent use of a low interest credit card, you ought to generate big transactions using it and pay off the balance during the honeymoon period. Yes, you may end up paying a small interest rate but it would be better than taking a store credit for a high interest rate. If you have a 0% interest deal, then you will be paying nothing for the full introductory phase. Making use of your low interest credit card intelligently for the duration of the honeymoon time will absolutely assist you to salvage some cash on your bigger purchases.
Tips on How to Improve Credit Score
Wanting to know how to improve credit score issues? Then do not feel left out, not everyone knows how to do it the right way. There are several complexities involved in maintaining and improving a credit score. For those wanting to know how to improve credit score problems, the first step is obvious.
Taking a look at your free annual credit report is required in order to know how to improve credit score imperfections. Knowing this piece of information can save you a lot of time and hassle. Paying to view your credit report can be costly. By law, people have the right to know what is present on their yearly credit report.
Since you are focusing on how to improve credit score problems, you will need to start by paying off some of the old accumulated debts you find on your free annual credit report. Depending on how much you owe, the amount may not be much or it could be outrageous. This whole process can be very frustrating, so just try to take it one outstanding debt at a time.
You should begin with the oldest debts and work from there towards the newest. Draw up a budget for repayment. Weekly payments are a good way to go, since this makes it easier to budget. Keep your payments realistic so you can continue to make payments as you go.
Your payments should also be sizeable enough that you'll be able to repay your outstanding debts relatively quickly to improve your credit report. You can pay off your debts more quickly by freeing up money in your budget. This can be done by simply eliminating some of the non-essentials. Knowing how to improve credit issues combined with the patience and commitment to see it through will make these small sacrifices along the way more than worth the effort.
Being able to exercise self control is the key here. A lot of us do find it difficult to stay with a payment plan or have a hard time controlling their spending. However, stick with your payments, no matter how hard it is. The reward is an improved credit score and is well worth holding yourself back from pulling out your wallet for.
Once you know how to improve credit score problems, you'll no longer have to avoid your phone for fear of debt collectors constantly calling. Once you tell them that you're already making payments on your debt, they'll probably stop calling, at least incessantly.
If you're able to check your credit report carefully on a regular basis and pay off any outstanding debts, you can get back in control of your finances and restore your credit rating. It'll be easier to obtain financing and even employment. When you know how to improve credit score issues and can follow through on the necessary steps, you'll feel empowered and enjoy the benefits of good financial health.
Taking a look at your free annual credit report is required in order to know how to improve credit score imperfections. Knowing this piece of information can save you a lot of time and hassle. Paying to view your credit report can be costly. By law, people have the right to know what is present on their yearly credit report.
Since you are focusing on how to improve credit score problems, you will need to start by paying off some of the old accumulated debts you find on your free annual credit report. Depending on how much you owe, the amount may not be much or it could be outrageous. This whole process can be very frustrating, so just try to take it one outstanding debt at a time.
You should begin with the oldest debts and work from there towards the newest. Draw up a budget for repayment. Weekly payments are a good way to go, since this makes it easier to budget. Keep your payments realistic so you can continue to make payments as you go.
Your payments should also be sizeable enough that you'll be able to repay your outstanding debts relatively quickly to improve your credit report. You can pay off your debts more quickly by freeing up money in your budget. This can be done by simply eliminating some of the non-essentials. Knowing how to improve credit issues combined with the patience and commitment to see it through will make these small sacrifices along the way more than worth the effort.
Being able to exercise self control is the key here. A lot of us do find it difficult to stay with a payment plan or have a hard time controlling their spending. However, stick with your payments, no matter how hard it is. The reward is an improved credit score and is well worth holding yourself back from pulling out your wallet for.
Once you know how to improve credit score problems, you'll no longer have to avoid your phone for fear of debt collectors constantly calling. Once you tell them that you're already making payments on your debt, they'll probably stop calling, at least incessantly.
If you're able to check your credit report carefully on a regular basis and pay off any outstanding debts, you can get back in control of your finances and restore your credit rating. It'll be easier to obtain financing and even employment. When you know how to improve credit score issues and can follow through on the necessary steps, you'll feel empowered and enjoy the benefits of good financial health.
How Do I Know If My Credit Agreements Are Unenforceable?
This is a commonly asked question by millions of consumers since the recent changes to the Consumer Credit Act ( 6th April 2007). Due to the almost schoolboy errors that many banks and lending institutions have made with our loan and credit card agreements many consumers are getting interested in finding out whether they too can claim and have their loans and credit card balances legally wiped off without affecting their credit file. In fact in certain circumstances the opposite is actually true, because when a loan is found to be unlawful and illegal it is actually legally removed as if it never existed in the first place, so any missed or late payments on that persons credit report are also removed thus affecting their previous negative file in a positive way, so the loan's removal is doubly rewarding!!
There are several factors affecting whether or not the credit agreement is legal and enforceable by the banks, the main ones being:
*The lender failed to provide all of the relevant information in the credit agreement, therefore breaching the Consumer Credit Act.
*The lender did not provide an agreement in the format allowing correct execution of the loan.
*The lender failed to use the correct method of calculating the APR or total amount repayable.
*The lender is either unwilling or unable to provide copies of the original loan agreement or any supporting documentation.
*The lender or their representatives failed to sign the original documentation.
*The lender failed to disclose any commissions or payments that they either received or paid in the original document.
*The lender inadvertently included an ancillary product in the credit agreement.
These are the main reasons for the loan becoming unenforceable, but the law surrounding this area is fairly complex and some other more obscure issues can lead to the agreement being illegal or unlawful, so it is worth having your documents scrutinised by a specialist lawyer in this area.
Be under no illusion as long as your credit agreement, loan, credit card, store card, or even secured loans under £25,000, was created before April 6th 2007 and still has an outstanding balance then there is a good chance that there may be flaws in the agreement and you may get it removed...just take a moment and think how much better off each month without all of your credit agreement monthly instalments, it's making you feel better just thinking about it isn't it?
At Renaissance we offer a no win no fee service that is both swift and efficient...our legal team are first class and well versed in this specialist area and will fight any corner for you with tenacity and skill, so if you think you may have a loan or card that may qualify please get in touch today..
There are several factors affecting whether or not the credit agreement is legal and enforceable by the banks, the main ones being:
*The lender failed to provide all of the relevant information in the credit agreement, therefore breaching the Consumer Credit Act.
*The lender did not provide an agreement in the format allowing correct execution of the loan.
*The lender failed to use the correct method of calculating the APR or total amount repayable.
*The lender is either unwilling or unable to provide copies of the original loan agreement or any supporting documentation.
*The lender or their representatives failed to sign the original documentation.
*The lender failed to disclose any commissions or payments that they either received or paid in the original document.
*The lender inadvertently included an ancillary product in the credit agreement.
These are the main reasons for the loan becoming unenforceable, but the law surrounding this area is fairly complex and some other more obscure issues can lead to the agreement being illegal or unlawful, so it is worth having your documents scrutinised by a specialist lawyer in this area.
Be under no illusion as long as your credit agreement, loan, credit card, store card, or even secured loans under £25,000, was created before April 6th 2007 and still has an outstanding balance then there is a good chance that there may be flaws in the agreement and you may get it removed...just take a moment and think how much better off each month without all of your credit agreement monthly instalments, it's making you feel better just thinking about it isn't it?
At Renaissance we offer a no win no fee service that is both swift and efficient...our legal team are first class and well versed in this specialist area and will fight any corner for you with tenacity and skill, so if you think you may have a loan or card that may qualify please get in touch today..
Credit Report Check - The Importance of Credit Monitoring and Why You Should Always Be Aware
Credit scores will range from 350-850 at the bureaus of Trans Union, Equifax, and Experian. The scores will lenders determine how responsible or how risky you will be for handling credit and using a loan. If you have been building credit for many years you will know how things can change in the credit and lending environment that may effect your score.
There are many credit card companies that take advantage of their customers by raising rates unexpectedly. I've heard numerous examples where one has a been using their credit cards responsible, and then all of a sudden their credit lines reduce and FICO scores drop. An example of how this happens is when one has a credit limit of ten thousand dollars on one card and a balance of five thousand dollars. If the credit card company decides to reduce their limit to seven thousand dollars then in stead of being at 50% of their limit, they are now at 71% of their limit.
The problem with that is that now the credit bureaus see this and it creates a negative mark in their eyes and so the same persons credit score will reduce significant. The frustrating thing about this is that the credit card companies can do this whenever they want for no reason at all. In fact, it doesn't matter how well you handle your credit, they can still have the power to do this to you. Once your credit score drops, then your interest rates could increase, and the chances of getting a reasonable loan are more difficult. It is for this reason and many more that it is important to see the latest scoring of your personal credit report.
There are many credit card companies that take advantage of their customers by raising rates unexpectedly. I've heard numerous examples where one has a been using their credit cards responsible, and then all of a sudden their credit lines reduce and FICO scores drop. An example of how this happens is when one has a credit limit of ten thousand dollars on one card and a balance of five thousand dollars. If the credit card company decides to reduce their limit to seven thousand dollars then in stead of being at 50% of their limit, they are now at 71% of their limit.
The problem with that is that now the credit bureaus see this and it creates a negative mark in their eyes and so the same persons credit score will reduce significant. The frustrating thing about this is that the credit card companies can do this whenever they want for no reason at all. In fact, it doesn't matter how well you handle your credit, they can still have the power to do this to you. Once your credit score drops, then your interest rates could increase, and the chances of getting a reasonable loan are more difficult. It is for this reason and many more that it is important to see the latest scoring of your personal credit report.
6 Credit Score Basics
In a previous article, we talked about you and your credit score. Today I have compiled a list of six credit score basics that you should remember.
There are six credit score basics that you should keep in mind:
1. Pull your credit report every single year and review it carefully for mistakes. Be aware that there are three credit reporting agencies: Equifax, Experian and TransUnion. All three collect your credit information on a monthly basis and they use the information they have to give you a credit score. They collect their data from public records, your credit card information and lender inquires.
2. Put together a household budget that is realistic and stick to it. The key here is a "realistic budget". You need a budget that you can actually stick to. If you are constantly making "unauthorized" purchases, your budget is useless.
3. Resist the urge to charge unnecessary items on a charge card. If you have trouble resisting the urge to buy, try not to carry your credit card with you. If you have to make a trip home to get it, it is easier to resist the urge to make a purchase.
4. Keep your information private as much as possible. In this day and age, everyone wants to collect your information and put it in a data base. That has made it fairly easy to have your identity stolen. Determine what information you want out there and try to limit where it goes.
5. Keep your debt to income ratio low. You ideally want to have a lot more income than you do debt. Most banks and financial institutions looks for a debt to income ratio that is less than 36% of what your gross income is. For example, if you make $10,000, your debt payments should not be more than $3,600.
6. Make all payments on time and when possible, pay more than the minimum on credit cards. Late payments will hurt your credit score. However, if you can pay more than the minimum payment due each month, that will help your credit score.
The bottom line is that you can't take credit for granted. If you have good credit, you must protect it. If you have bad credit, you should improve it or you will miss out on many things that life has to offer.
There are six credit score basics that you should keep in mind:
1. Pull your credit report every single year and review it carefully for mistakes. Be aware that there are three credit reporting agencies: Equifax, Experian and TransUnion. All three collect your credit information on a monthly basis and they use the information they have to give you a credit score. They collect their data from public records, your credit card information and lender inquires.
2. Put together a household budget that is realistic and stick to it. The key here is a "realistic budget". You need a budget that you can actually stick to. If you are constantly making "unauthorized" purchases, your budget is useless.
3. Resist the urge to charge unnecessary items on a charge card. If you have trouble resisting the urge to buy, try not to carry your credit card with you. If you have to make a trip home to get it, it is easier to resist the urge to make a purchase.
4. Keep your information private as much as possible. In this day and age, everyone wants to collect your information and put it in a data base. That has made it fairly easy to have your identity stolen. Determine what information you want out there and try to limit where it goes.
5. Keep your debt to income ratio low. You ideally want to have a lot more income than you do debt. Most banks and financial institutions looks for a debt to income ratio that is less than 36% of what your gross income is. For example, if you make $10,000, your debt payments should not be more than $3,600.
6. Make all payments on time and when possible, pay more than the minimum on credit cards. Late payments will hurt your credit score. However, if you can pay more than the minimum payment due each month, that will help your credit score.
The bottom line is that you can't take credit for granted. If you have good credit, you must protect it. If you have bad credit, you should improve it or you will miss out on many things that life has to offer.
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