Archive for the 'Credit and Debt' Category

Bad Credit? Want To Repair It?

Then you will need to spend time working to pay off debts and make payments on new items or bills on time. Across the internet, Credit Repair sites abound. According to the United States Federal Trade Commission (FTC), these schemes are just that, schemes.

There is no legal way to remove items from your credit record if they are accurate and timely. You can and should check your credit report each year to make sure there are no mistakes. If there are mistakes, you do not need a credit repair scam, ahem, company, to remove them for you. Keep good records of your payments and send them as proof to the company collecting the reports with a request to have the item removed or contact the reporting entity and send proof of payments with a request to change their report to the credit report companies.

Do not fall for schemes that sell information on how to substitute a fake Social Security number for your own, making a new credit identity. This is a felony!

How can you identify a credit repair scam? Any company that claims it can repair all of your credit, give you a perfect score, or give you information on how to create a new credit identity is bogus. All the information you need to learn how to repair your credit can be found in the following tips.

Begin to pay off your debts, even a tiny amount at a time. Request that payments be reported to the credit reporting agencies.

Some pre-paid credit cards will issue you a ‘real’ line of credit after you have used their service for a year. Accept the offer and keep current with the bill.

Do not spend more than you earn.

If a debt collection company offers you a ‘deal’, which is becoming popular, take it. Some offer a much lower payment than you actually owe. You can wipe out a debt in small payments as well.

Buy used items and work on paying off your previous debt. Do not buy anything brand new until an item is paid off, then treat yourself. Only one treat per debt closed. The treat should not be more valuable than the bill paid and should be PAID IN FULL.

More tips will be posted soon, as one of my ‘secret’ New Year’s Resolutions was to repair my own credit!

Posted in Credit and Debt | 4 Comments »

Bad Credit Help.

I’ll be honest with you. I don’t have the best credit in the world. I made a lot of mistakes when I was younger, so now in my more mature days, I’m paying for the excesses of youth. Not to mention the irresponsibility. It’s 15 years later and I get turned down for credit cards and loans left and right. There are many, many people who suffer the same fate, wondering what they can do to try to repair their credit.

Because credit is coming to be more of an issue these days, not only when you try to get a loan or credit card, buy a home, or car…but now in some places you need to have good credit to rent an apartment. Heck, sometimes you will have to allow a prospective employer to review your credit! Some employers believe that someone with good credit is more likely to stay in their employment or not steal.

I’ve done a lot of research on how to get credit help. Credit repair companies abound on the internet and you see advertisements on the television almost everyday for them. I’ve checked them out and many times, it’s a total scam. You have to pay a fee to even get counseling, which most times tells you things you can find out just by doing a simple internet search.

I did find something recently in my searches that really impressed me. RMCN Credit Services has probably one of the most honest websites dealing with bad credit and credit repair that I have ever seen. The general manager, Doug Parker, wrote an interesting letter in the About Us section of the site detailing how he had fought his own bad credit which led him to decide to help others in their battle for better credit.

The website has a clean look, plus you can find good common sense advice for credit help. You will find free information that some other companies charge for. Instead of trying to charge you for this information, they’ve posted it right on their site. But, if you need credit help beyond the information they offer, you can employ their services. Since you will have someone in your corner who has dealt with heir own bad credit, you won’t hear some of the questions other companies ask, like.. ?Well, why didn’t you pay this, it was really low? and so on.

So if you are having some issues or even just would like good information on how to stay out of the bad credit slump, go take a peek at RMCN Credit Services and their site.

Posted in Finance, Credit and Debt | 12 Comments »

Consumer Alert: Citibank Charging 29% APR For Late Payments

Apparently, Citibank has turned into a no mercy credit card company. Even if you’ve been with Citibank for over a decade, watch out. If you have just one late payment, they may raise your APR to 29% or higher! I’m not talking about a missed payment, I’m talking about a late payment!

Not only is this discouraging to all Citibank cardholders, it’s also discouraging for financially disadvantaged cardholders. Charging almost 1/3 of a balance per year would make it almost impossible for low-income individuals to ever pay off high credit card debt.

I plan on paying off my balance as quickly as possible with my Citibank card, and canceling my card immediately thereafter. Treating long-time customers like short-time customers, and trapping low-income individuals into an endless cycle of debt is despicable, and quite possibly evil.

If you’ve had your APR jump up to astronomical numbers, because of just one late payment, I encourage you to call the customer service number on the back of your card. In most cases, they will lower your percentage rate by 1/3 to 1/2 if you just ask them.

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Credit counselor: ‘Stop using credit cards’

Suan Erler in Northwest Indiana News reports:

Those carrying credit card debt at variable interest rates, like those with adjustable rate mortgages and other loans, are likely to see corresponding hikes in their monthly bills.

“When a homeowner is already experiencing difficulty, they could end up out of their house by trying to pay a credit card and not paying their mortgage,” said Stalling, whose agency counsels those in budget crisis.

Credit card debt carried by the average American was $8,562, according to American Consumer Credit Counseling, amounting to a total U.S. credit card debt of $60 billion.

Full Story

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