Major credit bureaus Experian and Equifax on Thursday joined TransUnion and said they will, this year, let people in all 50 states freeze their credit histories. Experian’s service, which goes into effect Nov. 1, is the latest big victory for anyone who wants to be proactive about preventing identity theft, consumer advocates say.

The decision by all three bureaus to offer national freezes will let consumers lock down their credit histories — especially if they are victims of identity theft. Until now, a patchwork of laws in 39 states allowed consumers, to varying degrees, to protect themselves.

Last month, TransUnion was the first of the so-called Big Three to announce such a service. Equifax (EFX) is scheduled to start its service by early November, company spokesman David Rubinger says. He declined to give any details.

“This is very significant for consumers who live in the 11 states without freeze laws and the four states with limited laws,” says Jeannine Kenney, a senior policy analyst at Consumers Union. (more…)

Bad credit is like a bad habit. The habit doesn’t even exist at first and then it slowly snowballs. Credit scores start off high and gradually lower as consumers lose hope that credit repair is even possible. A small blemish often leads to bigger problems. Sometimes small credit issues can feel overwhelming and avoidance often occurs. If taken control of and stopped in its tracks, credit ruin can be avoided.

Here are some of the most helpful tips I can give on maintaining good credit, as well as repairing your credit yourself.

1. A great way to improve your credit score easily is to pay your bills on time consistently. Payment history is one of the key factors used to establish the credit score. One late payment can greatly affect it. Many people do not know however, that a late payment will most usually only show up on your credit report if it is more than 30 days late. Not just late in general. Additionally, payments that are more than 30 days late, 60 days late, 90 days late, etc. are huge hits on the score too. Payments must be made on time for good credit history to be established.

2. If you cannot pay some of your bills, or your interest rates on your credit cards are too high and you cannot afford the monthly payments, ask for a lower interest rate. Yes, the creditor may say no, but you are no worse off than you started. A lower rate can save you money every month and allow you to get out of debt sooner. Often times creditors will lower your interest rate if you are in good standing with them, or they may put you on a performance plan that if adhered to you are rewarded with the decrease in rate.

3. This step is not as easy to implement because it requires having the ability to pay down some debts. It is recommended to keep balances on any credit line from 10-30% of the limit. For example if you have a credit card with a $5,000 limit you should never owe more than about $1,500 on it. (more…)

1. Deleting Errors in 48 Hours This is the absolute fastest way to correct errors on your credit report and raise your credit score. However, it can only be done through a mortgage company or a bank. If you apply for a home loan and find errors on your credit report, request the loan officer to conduct a Rapid Rescore. But don’t mistake it for the credit clinic tactic of multiple dispute letters.

The Rapid Rescore strategy requires proper paperwork. You need proof that the item is incorrect. It must come from the creditor directly. For example, a letter stating the account is not your account, a letter stating the account was paid satisfactorily, a release of lien, a satisfaction of judgment, a bankruptcy discharge, a letter for deletion of collection account or any relevant evidence.

This is the same documentation a bank or mortgage company would require for the credit accounts anyways. The difference is, now you can improve your credit score and receive a lower interest rate. The results are not guaranteed and will run you about $50 per account. (more…)

Credit repair is best managed by you. Raise your credit score by following the D.I.Y Credit Repair Hints. You need to commit to a long term plan and follow it through. Many credit problems are caused by mismanaging your money, lost employment, and health care costs. You can not do much about health care costs when you are seriously ill, but you can manage your money properly afterwards.

Let’s assume you have found yourself with a poor credit rating and are willing to take the steps to repair your credit. What can you do?

1. You can do nothing except not make any more credit problems. Time to solution about two to seven years.

2. Take the steps outlined here and improve your credit. Time to solution about six months to two years.

The first thing you need to do is obtain your credit report by writing the three main bureaus for your credit report. (more…)

Mortgages would have never happened, had mortgages been a no profit venture for the mortgagees or the mortgage providers. The lender receives much more than he had actually lent. And you feared that you would not qualify for the mortgages having a bad credit history. Mortgagees somehow find ways to match borrowers with the offers available with them in order to have your business.

Bad credit mortgages are mortgages offered to people whose credit history has been adversely tainted. Sub-prime lenders make a special provision for people with an adverse credit history. But, it is crucial to escape lenders who pose as sub-prime lenders, but are actually overcharging them. There is a misconception in the minds of people that having a bad credit lessens their chances of getting a mortgage. In fact they take the offer as if it is the best that they can get.

We cannot expect the mortgage providers to not differentiate between those with a good credit history and those who have not. This however does not mean that the borrower must accept all terms on the mortgage without questioning their validity. There are many mortgage providers in the UK and the case will match some or other lender if a proper and exhaustive search is made. There are a few tips which could be used to reduce the intensity of the differentiation. (more…)

Your credit rating is extremely important to your financial future, and those with a low credit rating will often find it difficult to get any sort of finance until their credit improves. This could affect your abilities to get anything from a credit card or loan to a mortgage or car finance, and as a nation that relies heavily on credit this could spell disaster for many.

Your credit rating can be adversely affected in a number of ways. Most commonly is failure to make bill and finance repayments on time or defaulting on payments altogether. However, other factors such as association with those with bad credit or being the victim of identity theft can also affect your credit rating – as can a simple human or computer error by credit reporting agencies or agencies that register details with these companies. (more…)

Most people with bad credit are under the notion that having a bad credit rating would restrict them from applying for a home loan. But this is not true. Bad credit mortgage lenders understand the problems of a consumer and they are really ready to help. They do understand that it is quite possible for a person to get into bad credit due to unexpected events such as admission to a college, medical bills, accident, etc. In case, you are suffering from bad credit, there is hope because you would find many bad credit home mortgage lenders who would help you out.

But do keep in mind that people with bad credit are considered to be higher risk. Therefore, the bad credit home mortgage lender will charge you a higher interest rate. In order to qualify for a bad credit home loan, your mortgage lender will look at several factors before offering you a loan i.e. credit history, FICO credit score, you job status, monthly income, personal assets, etc. After looking at all these things the bad credit home mortgage lender will be able to make a decision if they will loan you or not. (more…)

Most people do not give much thought to how much the use of credit cards really costs. While you may think you are aware of the costs of credit, there are many hidden fees and charges that often go unnoticed by consumers until it is too late. If you do not keep a very close watch on your credit card fees, you could end up paying hundreds of dollars per years without evern realizing it. If you are trying to stay within a budget, hidden credit card fees can be a real drain on your finances.

Here are some of the most common types of credit card fees and what you can do to avoid them:

Your grace period may seem to be a period of time in which you can pay your bill past the due date without accruing additional interest of fees. While this may have been true in the past, credit card companies are making it more difficult to pay your bill late without any extra charges. (more…)