How Do I Improve My Credit Age?

* Add a Seasoned Tradeline. Call 18004421591 for information pertaining to the oldest one we have. * Having a 10 or 20 year-old account will help your credit score. The more newer accounts you have, the lower your average credit age will be. If you're focusing on improving your credit age, try to minimize the number of new accounts you open, as they bring down your average. Opening new accounts also results in a hard inquiry on your credit report, which will slightly hurt your credit score in the short term. As it is with all aspects of your credit score, you need to exercise patience as you work to develop a long credit history — after all, you can't do anything but wait for an account to get older. You could benefit from being an authorized user on an older account, because account history is reported based on the age of the account, not when you're added to it. * For example, if as a teenager your parents added you as an authorized user on one of their oldest credit cards, you could have a credit history that goes back before you were born. You can add your kids at 13 years old.* While you're waiting for the average age of your credit accounts to rise, focus on making loan payments on time and keeping your debt levels low, because those behaviors have the greatest impact on your credit score. Knowledge is Power and Credit is King! Gaining Financial Stability with Intelligence and Integrity!

What Makes Up Your Credit Score?

Your FICO© Score is calculated from several types of data in your credit report. This data is grouped into five categories, weighted in terms of importance. There are numerous actions you can take to positively influence your credit score in each of these areas. 1.Payment History (35%) Thirty-five percent of your credit score is made up by your payment history, which includes late payments, collections and even bankruptcies and tax liens. Each type of account stays on your credit report a specific amount of time, and each negative item can hurt your score differently. Credit Management Specialists works to remove accounts that are not 100% accurate or 100% verifiable. Our removal rate of inaccurate items is 70%. 2.Debt Ratio (30%) Your debt ratio is the amount of revolving credit (e.g., credit cards) that you owe in relation to the amount of credit you have available (your credit limit). For instance, if your current balance is $2,000 and your credit limit is $10,000, your debt ratio would be 20%. A history that includes several cards showing small monthly balances is generally more favorable than a single card that’s maxed out every month. 3.Length of Credit History (15%) The length of time you’ve had credit (longer is better) is important. At face value, this factor seems like something you can’t do anything to fix. However, there are several ways you might hurt yourself. If you close out your older cards—even if they have higher interest rates—you’ll hurt your score. The credit scoring model has no memory of credit cards you close: If you close out that 15-year-old card, you’ve shortened your credit history. 4.Types of Credit Used (10%) Types of credit include revolving credit (credit cards, retail accounts), installment loans and mortgages. By keeping different kinds of credit open, you show creditors that you are responsible and able to handle different types of financial obligations. 5.Inquiries (10%) Inquiries are recorded on your credit report whenever you ask for new credit (e.g., when you apply for a home loan or a new credit card). In general, a lower number of inquiries is better—especially if you’re opening an account only to get a free gift or a good deal on a purchase and you don’t intend to use the account. Inquiries you make and unsolicited offers do not count against your score, but they do show up on your report. When searching for a home, you are allowed unlimited inquiries over a one-month period because it’s assumed you are rate shopping.

Ways to Improve Your Credit Score

Most consumers understand that missed payments will appear on their credit reports and cause their credit scores to go down as a result. Generally, you should be in good shape if you: •Pay your debts on time •Don’t carry too much debt on any one credit card •Don't close older unused accounts unless absolutely necessary •Apply for new credit only when you need it But to improve your credit score, you need to take additional steps long term. These suggestions serve as a starting point: 1. Monitor your credit reports on a regular basis. 2. Dispute inaccuracies and outdated items on your reports. 3. Maintain low balances (compared to credit limits) on your credit card accounts. 4.Sustain the length of your credit history. 5.Keep different types of credit open if it makes financial sense for your situation. 6.Apply for new credit only when you need it. BANCO Capital Corporation Specialists can help you complete these tasks. We assist you with credit repair solutions to clean up your credit report today and provide financial education and guidance to help you build a stronger credit history for your future. Call 1-800-442-1591; http://www.bancoservices.org

Lowering Your Risk

Once you start thinking about house hunting, you’ll want to check your credit reports and credit scores, since negative entries on your credit reports may hurt your chances of getting approved for a mortgage. Inaccuracies on credit reports are more common than you may think, which is why it’s a good idea to review your reports as often as you can. (Everyone is entitled to free annual copies of their credit reports from each of the three major credit reporting agencies.) Checking your credit scores is easy and helpful, too. There are plenty of free tools available to assess your credit risk, like Credit.com’s Credit Report Card. If you see a score lower than you’d like, it’s an indication you need to change some of your credit behaviors. That could mean reducing your debt load, making your bill payments on time or restricting how often you apply for new credit. The Credit Report Card breaks down the five factors that determine your credit score and allows you to see which areas require your attention. Whenever you’re checking credit scores, make sure you’re comparing the same model from month to month (or however often you can check them), because there are scores of different models, and you can only accurately gauge changes by periodically looking at the same score. Call 1-800-442-1591; http://www.bancoservices.org

What Happens If I Swipe My Debit Card as 'Credit'?

Issuers used to charge merchants different fees for accepting credit cards than for accepting debit card transactions with a PIN. Before the Dodd-Frank Wall Street Reform and Consumer Protection Act was passed, Sen. Dick Durbin added a provision, now called the Durbin Amendment, that restricted interchange fees to 12 cents per transaction. By the time the bill was signed into law, the cap was set at 21 cents, much lower than the previous average of 45 cents per transaction. (On Jan. 20, the Supreme Court declined to hear retailers' challenge to that 21-cent cap.) With the cap on interchange fees, banks saw their revenue source for things like debit card rewards and free banking dry up, which is why you're unlikely to find those things these days. "There's several thousand community banks and credit unions, what the act refers to as unregulated, who can actually charge greater interchange on transactions," said Nick Barnes senior vice president of retail banking at ACI Worldwide, a payments system company. The Durbin Amendment only impacted financial service providers with $10 billion or more in assets. "That's why you go to these tiny banks you'll still see free banking and debit rewards."

A few years ago, mentioning the words "credit repair" conjured up images of shady characters in dark alleyways, demanding huge amounts of cash to create "new" credit profiles and the like. But nowadays it is almost a necessity to partner with a reputable credit restoration firm that is experienced in improving your clients' credit scores so that they can be approved for a loan at a decent interest rate. As a seasoned credit repair marketing expert I've seen my fair share from the credit repair giants to basement operations. Banco Capital Corporation has based their business around partnering with finance professionals like loan officers and mortgage brokers, creating a team that helps clients go from "unloanable" to "approved" in a matter of months.This not only helps the client, it helps the financial professional to close more loans by allowing them to continue to take the borrower's credit scores and see when their score has improved to the point that they qualify for their loan. We also pay a referral fee for every sign up . Many of the professionals that refer clients to B.C.C. use the extra money for holiday spending, vacations and paying off bills. How do you get started? simply call toll-free at 1-800.442.1591 - I'll be happy to help and get you started with an amazing company.

What's the Differences? Experian vs Everybody Else...

There are a few differences in the way Experian reports data versus the way the other two agencies report data. For example, people who pay their rent on time will have the payments reflected on their Experian credit report. But with the other two credit bureaus, these payments won’t be on their reports. The only data regarding rent payments that will show up is negative rent data, which is data that reflects missed rent payments. Of course, the property management company has to report the rent data for it to show up on any of them. If you signed a lease with an obligation to make monthly payments for a specified period of time, then it will most likely show up on Experian. Experian credit reports also contain details about each transferred or closed account that you’ve had. These details include the month and year that these accounts will be taken off the credit report. In other credit reports, the only date listed for closed accounts is the last reported status date on the account. To figure out when the closed account gets taken off the credit report, you need to add 10 years to its last reported status date. Experian saves you the trouble of having to add 10 years to figure this out.

Whats's the Differences? TransUnion vs Everybody Else...

Trans Union provides credit reports that offer more details about employment than any other credit bureau’s credit report. The other two credit reports will just list the name of the applicant’s employer and nothing else. The TransUnion credit report will contain their employer’s name, position currently held and date they were hired. This information is important because it shows lenders how long the applicant has been with their current employer. If you were to try and obtain a mortgage to purchase a house, the mortgage company is going to check the TransUnion credit report to see if you’ve worked at the same company for at least two years. They won’t get this information from Equifax or Experian credit reports because the date you were hired is not on those.

What's the Differences? Equifax vs Everybody Else...

An Equifax credit report lists closed and open accounts separately from each other. As for the other two credit reporting agencies, they put all of the accounts together in alphabetical order. People who are unsure of their financial situation will want to have an Equifax credit report, so they can clearly see which accounts are open and which accounts are closed. This will help them determine their total debt by examining all of the open accounts together. The details of closed accounts can also be seen, such as why the account was closed in the first place. This helps lenders understand the outcome of the applicant’s past loans and debt obligations.

A genuine leader is not a searcher for consensus but a molder of a consensus. ~Martin Luther King, Jr.

11 Useless Things To Stop Wasting Your Money on in 2019

ATM Fees It'll cost you a record high of $6.57 to withdraw money from an out-of-network ATM. There's no reason to continue paying these fees, which can add up significantly over time. A simple 2019 resolution: If your bank's logo isn't on the ATM, don't use it. If you use one of the traditional, bigger banks, there should be ATM options in your area. Simply look up the locations online and put in the extra effort to get to one of your bank's ATMs. If there aren't any convenient ATM options in your city or town, you may want to consider opening a checking account with a more accessible bank. Knowledge is Power and Credit is King! Call 1.800.442.1591 - Gaining Financial Stability with Intelligence and Integrity!

Let's Start to Repair Those Holiday Spending Mistakes by Saving in Other Places...

Be a little extra frugal, so you can afford those payments. Winter is a great time to buckle down with a little extra frugality. It's such an easy season to cook a delicious meal at home. Make a soup in your slow cooker before you go to work, so that you come home to a great aroma and a warm meal that's ready to eat. It's a very cheap treat in the winter months. Instead of going out on the town, spend an evening watching a movie (maybe one you received as a holiday gift) underneath a warm blanket. Instead of shopping, spend a day curled up with a good book or Netflix series. Little steps like those can make a surprising difference. Knowledge is Power and Credit is King! Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity!

Why Not Know Your Credit Report Year - Round?

Less than 10% of people look at their credit score annually, or they'll wait until they get ready to buy a car, real estate, or refinance. * 45% of credit reports contain errors serious enough to result in denial of credit. * 79% of credit reports contain errors of some kind. * 54% contain incorrect addresses, misspellings and long-outdated information. * 30% contain closed accounts or incorrect reporting of accounts. All of these things affect your Credit Report and your ability to be approved. Sometimes you can get approved, and its through a subprime lender with an extremely high interest rate. Call our office to get started with your Credit Restoration Services; 18004421591 - Gaining Financial Stability with Intelligence and Integrity! Credit is King and Knowledge is Power!

Five things you should know about bankruptcy:

1. “What types of bankruptcy are available to individuals?” Chapter 7 liquidation is designed for debtors suffering financial difficulty that do not have the ability to pay their existing debts. The purpose is to obtain a discharge (i.e. elimination) of their existing debts. Chapter 13 repayment is designed for consumers with regular income who are temporarily unable to pay their debts but would like to pay them in installments over a period of time. The bankruptcy courts will approve a repayment plan that will repay their debts in no more than five years.

Considering Bankruptcy?

What Types of Bankruptcy are Available to You If You "think" this is Your Only Option Chapter 7 liquidation is designed for debtors suffering financial difficulty that do not have the ability to pay their existing debts. The purpose is to obtain a discharge (i.e. elimination) of their existing debts. Chapter 13 repayment is designed for consumers with regular income who are temporarily unable to pay their debts but would like to pay them in installments over a period of time - The Bankruptcy Courts will approve a repayment plan that will repay their debts in no more than five years. Knowledge is Power and Credit is King! Let's have a conversation, if you "think" that Bankruptcy is the only way to go. Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity!

Failing to Report Gambling Winnings or Claiming Big Losses

Whether you’re playing the slots or betting on the horses, one sure thing you can count on is that Uncle Sam wants his cut. Recreational gamblers must report winnings as other income on the front page of the 1040 form. Professional gamblers show their winnings on Schedule C. Failure to report gambling winnings can draw IRS attention, especially because the casino or other venue likely reported the amounts on Form W-2G. Claiming large gambling losses can also be risky. You can deduct these only to the extent that you report gambling winnings. And the costs of lodging, meals and other gambling-related expenses can only be written off by professional gamblers. Writing off gambling losses but not reporting gambling income is sure to invite scrutiny. Also, taxpayers who report large losses from their gambling-related activity on Schedule C get an extra look from IRS examiners, who want to make sure that these folks really are gaming for a living.

9 RED FLAGS FOR RETIREES

Just because you may be travelling more in retirement, be careful about sending your money abroad. The IRS is intensely interested in people with money stashed outside the U.S., and U.S. authorities have had lots of success getting foreign banks to disclose account information. The IRS also uses voluntary compliance programs to encourage folks with undisclosed foreign accounts to come clean—in exchange for reduced penalties. The IRS has learned a lot from these amnesty programs and has been collecting a boatload of money (we’re talking billions of dollars). It’s scrutinizing information from amnesty seekers and is targeting the banks that they used to get names of even more U.S. owners of foreign accounts. Failure to report a foreign bank account can lead to severe penalties. Make sure that if you have any such accounts, you properly report them.

Claiming Large Charitable Deductions

We all know that charitable contributions are a great write-off and help you feel all warm and fuzzy inside. However, if your charitable deductions are disproportionately large compared with your income, it raises a red flag. That's because the IRS knows what the average charitable donation is for folks at your income level. Also, if you don't get an appraisal for donations of valuable property, or if you fail to file Form 8283 for noncash donations over $500, you become an even bigger audit target. And if you've donated a conservation or façade easement to a charity, chances are good that you'll hear from the IRS. Be sure to keep all your supporting documents, including receipts for cash and property contributions made during the year.

Minimum monthly repayments tend to be set at very low levels, sometimes as low as 2% (although for cards taken out after 1 April 2011, the minimum payment must always cover fees, interest and charges plus 1% of the amount you owe). If you only make the minimum repayment your debt could take decades to pay off and in that time you could pay thousands of pounds in interest. Aim to pay off the entire bill each month so that you will not pay any interest at all. With a standard credit card, if you always pay off your monthly bill in full, you can enjoy between 45 and 59 days of interest-free credit. If that’s not possible, pay off as much as you can and work out a repayment plan. Don’t use the cards for cash withdrawals.

Failing to Report All Taxable Income

The IRS gets copies of all 1099s and W-2s you receive. This includes the 1099-R (reporting payouts from retirement plans, such as pensions, 401(k)s and IRAs) and 1099-SSA (reporting Social Security benefits). Make sure you report all required income on your return. IRS computers are pretty good at matching the numbers on the forms with the income shown on your return. A mismatch sends up a red flag and causes the IRS computers to spit out a bill. If you receive a tax form showing income that isn't yours or listing incorrect income, get the issuer to file a correct form with the IRS.

Paying Your Credit Cards -

Minimum monthly repayments tend to be set at very low levels, sometimes as low as 2% (although for cards taken out after 1 April 2018, the minimum payment must always cover fees, interest and charges plus 1% of the amount you owe). If you only make the minimum repayment your debt could take decades to pay off and in that time you could pay thousands of pounds in interest. Aim to pay off the entire bill each month so that you will not pay any interest at all. With a standard credit card, if you always pay off your monthly bill in full, you can enjoy between 45 and 59 days of interest-free credit. If that’s not possible, pay off as much as you can and work out a repayment plan. Don’t use the cards for cash withdrawals. Credit is King and Knowledge is Power! Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity!

It's Tax Time - Writing Off a Loss for a Hobby

Your chances of "winning" the audit lottery increase if you file a Schedule C with large losses from an activity that might be a hobby—dog breeding, jewelry making, coin and stamp collecting, and the like. Agents are specially trained to sniff out those who improperly deduct hobby losses. So be careful if your retirement pursuits include trying to convert a hobby into a moneymaking venture. You must report any income from a hobby, and you can deduct expenses up to the level of that income. But the law bans writing off losses from a hobby. To be eligible to deduct a loss, you must be running the activity in a business-like manner and have a reasonable expectation of making a profit. If your activity generates profit three out of every five years (or two out of seven years for horse breeding), the law presumes that you're in business to make a profit, unless the IRS establishes otherwise. If you're audited, the IRS is going to make you prove you have a legitimate business and not a hobby. Be sure to keep supporting documents for all expenses. Knowledge is Power and Credit is King! Gaining Financial Stability with Intelligence and Integrity!

Why are there 3 credit bureaus and how do they differ, if at all?

Not all lenders pull a credit report from all three credit bureaus when they are processing your credit applications - When you applied for that credit card or auto loan your lender most likely chose to pull only one of your three credit reports. This means that the "inquiry" is only going to show up on one of your three credit reports. The exception to this rule is a mortgage application. Most mortgage lenders will pull all three of your credit reports during their loan processing practices. Call 1-800-442-1591; http://www.bancoservices.org

AFFILIATES of BANCO CAPITAL CORPORATION

AFFILIATES of BANCO CAPITAL CORPORATION Many top real estate agents, mortgage lenders and car sales reps have an advantage they don’t share with their co-workers; the BANCO Capital Corporation advantage. We're their advantage and their secret to having a continuous flow of qualified clients just waiting on them to close the deal. The advantage is Customized Prospect Retention or Loan CPR. We're literally their peanut butter to their jelly in this relationship. We're exactly what you need to get your clients that get denied for low credit scores. We get those No's resolved into Yes'. How it works - You refer your client who has been denied, we improve their credit scores and send them back creditworthy. Let’s be honest, you don’t get paid to monitor credit files throughout the credit score improvement process. The best thing is this process is free for you and affordable for your clients. Clients choose their payment and program. The process is so simple and absolutely necessary. It is a perfect win, win, win relationship for you, us, and the clients. Want to be an Affiliate? Call 18004421591

Medical Debts

FICO introduced FICO 9, which will be released to lenders early this year. One notable tweak to FICO 9 is the way it views medical debt that has gone into collections. It will not penalize that as severely as it did prior when reporting to the FICO 8. A lot of people find themselves with medical debt that's gone into collections without even knowing they owe the debt due to miscommunication between a provider and insurance companies. Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity! Our clients brag different and live/love their RESULTS from the knowledge we offer. Credit is King and Knowledge is Power!

Collections Can Be Confusing on Your Credit Report

Collection accounts are another source of confusion. When consumers default on a loan or credit card and the account is subsequently turned over to collections, they are surprised to see that the original account is listed on their reports (usually as a charge-off) and the collection account is reported as well. You need to remember that it’s a credit history so it shows the charge-off of the original account and the collection account. These BOTH can't be open accounts on your Credit Report. Call 1-800-442-1591 - Credit is King and Knowledge is Power! Today is the day that you should start Gaining Financial Stability with Intelligence and Integrity!

A Guide to Credit Scoring Models

Your credit score can impact the interest rate you’re offered on a mortgage or car loan, among other areas of your life. Making matters more complicated, though, is the fact that lenders use different scoring models to evaluate your creditworthiness. Here’s a look at how these scoring models vary. Year Versions Scoring models have evolved over time based on consumer behavior. “Going through the mortgage crisis and the economic downturn … Americans’ saving habits changed, and the way they use credit cards changed,” says Rod Griffin, director of public education at the credit bureau Experian. “As people change, scoring models change in order to continue to accurately reflect risk.” Different scoring models weigh certain factors more heavily than others. FICO scores are used in 90 percent of lending decisions in the U.S., according to its website. The majority of those lenders use FICO 8, says Anthony Sprauve, senior consumer credit specialist at Fair Isaac Corporation, but some use previous versions. “Just as there are people who are on Windows XP or previous versions of Windows, there are people who for any number of reasons have chosen not to update,” he explains. FICO recently introduced FICO 9, which will be released to lenders early this year. One notable tweak to FICO 9 is the way it views medical debt that has gone into collections. “It will not penalize that as severely as it did prior,” Sprauve says. “A lot of people find themselves with medical debt that's gone into collections without even knowing they owe the debt due to miscommunication between a provider and insurance companies.”

A Guide to Credit Scoring Models\Credit Bureau Data

The three credit bureaus – Experian, Equifax and TransUnion – collect data on consumers’ payment histories, collections activities, outstanding balances and other factors that feed into their credit score. “There are three versions of the base FICO score based on the data at the three different credit bureaus,” Sprauve says. “Each bureau has different data, and most of the data is common, but there is some unique data. The base score is optimized to take advantage of the unique data at each bureau.” In addition to FICO, VantageScore is another credit rating product that factors in unique information from all three bureaus. VantageScore, which was created by the bureaus, has several iterations, such as VantageScoare 2.0 or 3.0. FICO scores range from 300 to 850, while VantageScores range from 501 to 990. Letter grades also accompany VantageScores to help consumers contextualize how they’ll be viewed by lenders, explains Ken Chaplin, senior vice president at credit bureau TransUnion. “It helps guide [consumers] to the sorts of things that they can improve their scores,” he adds.

A Guide to Credit Scoring Models\Types of Lenders

Credit unions may look at different credit factors than a large financial institution, which means they’ll also calculate scores differently. “Credit unions have a different kind of customer than a large national bank,” Griffin says. “The things that would indicate lending risk for a group of credit union customers may be different from the things that indicate risk for a large bank, so the credit scores used by a credit union are designed to help them predict risk of lending to the customers they serve.”

A Guide to Credit Scoring Models/Industry-Specific Scores

Lenders can also use an industry-specific score that’s built on a base score and optimized to look at certain areas more closely than others (for instance, past car loans if you’re financing a new vehicle or credit card payments if you’re applying for more plastic). “Lender oftentimes will have a very specific algorithm that they're going to use,” Chaplin says. “Oftentimes they're developed by the bank or card issuer, and those are specific to home, car or credit cards. There literally could be thousands of iterations to determine creditworthiness.” Insurers may also look at your credit history, but typically not your numeric score, since they’re assessing risk, not creditworthiness. “[insurance underwriters] use the data that's found in a credit history with one of the three bureaus to determine a consumer's likelihood to file a claim,” Sprauve says

A Guide to Credit Scoring Models

What does this mean for you? While there are many different scoring models, the same principles for improving your credit score apply across the board. “What is far more important than the number itself is understanding what you need to do to make that number better,” Griffin says. “The scores may be different, but risk factors tend to be very consistent from one credit score to the next.” Sprauve boils down credit improvement to three key steps. Pay all your bills on time, because payment history makes up 35 percent of your FICO score. Keep revolving balances low, ideally to 30 percent or less of your available credit, and only open new credit when you need it. “You don't need a lot of different accounts, so don’t be tempted by those credit offers that you get in the mail or when you go to a store,” he says.

Credit Scoring Shouldn't Be Unfair to Minorities.

Scoring considers only credit-related information. Factors like gender, race, nationality and marital status are not included. In fact, the Equal Credit Opportunity Act (ECOA) prohibits lenders from considering this type of information when issuing credit. Independent research has been done to make sure that credit scoring is not unfair to minorities or people with little credit history. Scoring has proven to be an accurate and consistent measure of repayment for all people who have some credit history. In other words, at a given score, non-minority and minority applicants are equally likely to pay as agreed. Knowledge is Power and Credit is King! Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity!

7 Steps to Take Now If You Plan to Buy a House in 2019

Is 2019 the year for a new house? If so, it’s time to prepare before the spring real estate season gets underway. There are a number of steps you can take during these dreary winter months to make your house hunt more successful once the weather — and the housing market — warms up. 1. Check your credit report. The credit scores that mortgage lenders use to set terms and interest rates are calculated using information on your credit report. You can see what information banks will get by pulling your credit report from the three major bureaus: Equifax, Experian and TransUnion. If you haven’t asked for your reports in the last 12 months. Comb through each report to make sure each account is yours and the details are correct. Follow each bureau’s instructions on how to fix any errors. 2. Determine your budget. Make sure you know how much you want to spend on your home. The rule of thumb is to not spend more than 30 percent of your gross income on housing expenses, including taxes and insurance. Use an online calculator like this one from Zillow to help figure out how much house you can afford. 3. Get your down payment sorted. Figure out how much you’ll be putting toward the purchase of your house and where that money is coming from. If the money for your down payment is in different accounts, consolidate the cash into one savings account at least three months before you buy a home. That way, you can avoid having to show extra documentation to your mortgage lender to track where the down payment originated from. 4. Prioritize your wants and needs. Once you know how much you can spend, figure out what home features are the most important to you and which ones you can compromise on to stay within budget. Consider location, neighborhood schools, commuting time and nearby amenities like restaurants, grocery stores and nightlife. Also, think about house features. How many bedrooms and bathrooms do you need? What about a garage? Can you deal with a cheaper fixer upper or would you rather not have to do renovations? Once you have a priority list, it’s easier to strike off a potential house that doesn’t meet your top needs or wants. 5. Pay your bills on time. Be extra vigilant about paying your bills on time in the months leading up to your home purchase. Pay down any big balances on credit cards, too, if you can sacrifice the extra cash. Avoid ballooning those balances even more. You don’t want your credit score to slip before you close on a mortgage. If your score does fall meaningfully, your mortgage lender may adjust the terms or rate of your home loan to reflect that. 6. Don’t make any other financial moves. If you’re in the market for a car, wait until after you close on your house. Similarly, avoid opening new credit cards or applying for any other credit. If a mortgage lender sees that you’re seeking other kinds of debt, the lender may consider you a riskier borrower and offer less attractive terms or rates. 7. Get a pre-approval or conditional mortgage commitment. Make yourself the most attractive buyer by having a pre-approval or conditional mortgage commitment in hand. This tells a seller that not only are you serious about buying, but that a mortgage lender is ready to provide a home loan to close on a purchase. That may be enough to help you win a bidding war. Credit is King and Knowledge is Power! Gaining Financial Stability with Intelligence and Integrity!

Credit score facts & fallacies

Fallacy: A score determines whether or not I get credit. Fact: Lenders use a number of facts to make credit decisions, including your FICO® Scores. 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.

How your credit report is maintained

TransUnion, Equifax and Experian are the three bureaus that maintain credit reports. They issue credit reports to creditors, insurers and others businesses as permitted under law. When you apply for any new line of credit – for example, a new credit card - the creditor requests a copy of credit report from one or more of the credit bureaus. The creditor will evaluate your credit report, a credit score, or other information you provide (such as income or debt information) to determine your credit worthiness, as well as your interest rate. If you’re approved, that new card – called a tradeline, will be included in your credit report and updated about every 30 days. Tens of thousands of credit grantors – retailers, credit card issuers, banks, finance companies, credit unions, etc. – send updates to each of the credit reporting bureaus, usually once a month. These updates include information about how their customers use and pay their accounts.

How to repair my credit and improve my FICO Scores

It's important to note that repairing bad credit is a bit like losing weight: It takes time and there is no quick way to fix a credit score. In fact, out of all of the ways to improve a credit score, quick-fix efforts are the most likely to backfire, so beware of any advice that claims to improve your credit score fast. The best advice for rebuilding credit is to manage it responsibly over time. If you haven't done that, then you need to repair your credit history before you see credit score improvement. The tips below will help you do that. They are divided up into categories based on the data used to calculate your credit score. Knowledge is Power and Credit is King! Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity!

90% of top U.S. lenders use FICO® Scores when making lending decisions When you apply for credit—whether it's for a credit card, car loan, mortgage or other type of credit—lenders will want to know your credit risk. That is, they'll want to know how likely you are to pay back your credit obligations as agreed. To help them understand your credit risk, lenders use FICO Scores. FICO Scores help lenders quickly, consistently and objectively evaluate potential borrowers' credit risk. So when you apply for credit or a loan, there’s a very good chance your lender will use your FICO Scores to help them decide whether to approve you, and what terms and rates you qualify for. Different lenders use different versions of FICO® Scores You have more than one FICO Score—depending on what type of credit you're seeking, your lenders may evaluate your credit risk using different FICO Score versions. Auto lenders, for instance, often use FICO® Auto Scores, an industry-specific FICO Score version that's been tailored to their needs. Most credit card issuers, on the other hand, use FICO® Bankcard Scores or FICO® Score 8. It's also important to note that for most credit evaluations—such as a credit card application—lenders will use a FICO Score from just one of the three credit bureaus. For a mortgage or home equity loan application, however, lenders usually take into account a FICO Score from each of the three credit bureaus. Knowledge is Power and Credit is King! Call 18004421591 - Gaining Financial Stability with Intelligence and Integrity!

Pay Attention to Your Credit Card Statements

Speak with the credit card company right after you see a charge on your statement that you did not make. This will help your creditor catch the person who is using your card fraudulently. It will also serve to make sure you are not going to be held accountable for any false charges. A quick call or simple email may be all that is required for you to report a fraudulent charge. WERE YOU A VICTIM OF IDENTITY THEFT? We can assist you with the process of getting your Credit World back... Credit is King and Knowledge is Power. Gaining Financial Stability with Intelligence and Integrity! Call 18004421591

What is gardening?

Gardening your credit simply means that you are refraining from applying for new credit or taking any actions that might result in a hard inquiry. You’ve planted the seeds of new trade lines, now it’s time to water them and let them grow. It’s important to approach this tactic with a goal in mind. Are you hoping to establish a history of on-time payments? Are you waiting for negative information to “fall off” your credit reports? Are you simply waiting for your accounts to age? No matter which goal you choose, try to give yourself a concrete timeline. For example your goal might be “I’m going to garden my credit until July 16th so that my new accounts can age 6 months before I take on any new accounts.” Once you’ve chosen a goal and timeline, all you have to do is stick with it! Don’t apply for new credit and keep an eye on your reports and scores.

Gardening your credit

Face it. We live in a world where credit is everywhere. We’re offered a credit card or new mortgage rate every time we turn on the TV, check email or even buy a new shirt. It’s so frequent and accessible, it’s easy to forget the potential impacts on your credit rating. Yes, getting approved can feel like an accomplishment worth celebrating. But immediately after you’ve been approved for new credit, it’s possible for FICO Scores to temporarily drop. This could be for a number of reasons, such as the fact that you have a new hard inquiry on your reports or because you now have a new loan or credit card with no history of payments yet. Applying for multiple new lines of credit at once can have an even more substantial impact. If this sounds like you, it might be a good time to focus on gardening your credit. What is gardening? Gardening your credit simply means that you are refraining from applying for new credit or taking any actions that might result in a hard inquiry. You’ve planted the seeds of new trade lines, now it’s time to water them and let them grow. It’s important to approach this tactic with a goal in mind. Are you hoping to establish a history of on-time payments? Are you waiting for negative information to “fall off” your credit reports? Are you simply waiting for your accounts to age? No matter which goal you choose, try to give yourself a concrete timeline. For example your goal might be “I’m going to garden my credit until July 16th so that my new accounts can age 6 months before I take on any new accounts.” Once you’ve chosen a goal and timeline, all you have to do is stick with it! Don’t apply for new credit and keep an eye on your reports and scores. Why garden? The purpose of gardening is to nurture your new trade lines and, ultimately improve your FICO® Scores. Credit data is complex, so there is no guarantee that gardening will raise your scores the way you envision. Each credit profile is different, and FICO Scores consider many different behaviors. Learn more about what’s in my FICO Scores. However refraining from new credit applications and waiting for new accounts to age can be a healthy choice for people who have a habit of applying for new credit often.

Credit card companies know what they’re doing when they offer enticing sign-up bonus offers and cash-back rewards. Although it might be a good idea to take advantage of these special offers, you should think long and hard about putting yourself in debt in order to fulfill the promotions. Just because you’re getting 5% cash back on electronics this month doesn’t mean you should buy a computer you don’t need to get the rewards. Not only are there usually caps on how much cash you can earn, but if you charge too much and can’t pay off the balance in full, you’ll be paying interest on those charges. That interest may wipe out all of the rewards you may have earned. This doesn’t mean you shouldn’t try to earn rewards, just make sure you’re doing the math and making the rewards worth your while. Call 1-800-442-1591

Maintain the length of your credit history

Length of credit history accounts for 15 percent of a credit score. And when you close a credit card account, the account and its history will eventually disappear from your credit report. (This usually happens within 10 years of closing an account.) And once it's gone, it can no longer bolster your credit score. So resist the urge to clean up your credit file by closing credit card accounts. Keep them open and enjoy the benefits of all your years of being a credit customer.

Start small

Credit cards are great for building credit if you use them responsibly. Start with a card that's catered to your needs. --Student credit card: If you're still in school, try a credit card geared toward students. Student credit cards are meant for younger consumers who generally don't qualify for high-end rewards credit cards. But there are some that offer cash back or other rewards. Check out the Discover it for Students or the Journey Student Rewards credit card from Capital One. --Secured credit card: If you have a low credit score or a thin file, consider a secured credit card, which generally guarantees approval. Secured credit cards require a cash deposit that serves as your credit limit. The deposit usually ranges from $300 to $500. These cards are good if you're just starting out because they're low risk. Consider the Capital One Secured MasterCard or the First Progress Platinum Elite MasterCard Call 1-800-442-1591

Test Your Knowledge of Everyday Actions That Affect Your Credit Score

Your credit score is a key indicator of your financial well-being and of the risk you pose to lenders. The most common credit score, known as a FICO score, ranges from 300 to 850. Generally, a score of about 700 or higher means you're managing your credit well. A score of 760 or higher is often what you need to get the lowest interest rates on loans. Along with making moves to keep your credit score high, you'll want to avoid actions that could set it back. You're probably aware that paying bills late can wreak havoc on your score. But do you know what else can drag down your score -- and what has no effect? Test your knowledge of how to protect your credit score from taking a hit.