Five Credit Myths You Should Know About

1.  It is possible to increase credit score through the cancellation of your credit card accounts.If you close your credit card accounts, then your credit score will increase.

FALLACY! Canceling your credit card contributes to the shortening of the age of your credit account, which is also one of the largest influences of your credit score. The scores on your credit report, for that reason, will not improve once you decide to close your credit accounts.

2. You can increase your credit score by paying down your installment debts.

FALLACY! Paying back installment liabilities will not increase your credit score. The factor that has implications on your credit rating is not the amount you repaid, but the particular day or time you settled the loan. Actually, consumer credit report officers are only concerned with identifying even if you paid for your financial obligation on time or not.

3. Having only one credit score is natural.

FALLACY! Actually, you can receive up to three credit scores. Each of the three major consumer credit reporting agencies in the US has its own way of computing your credit rating. The computations prepared by the three agencies translate to three credit scores with very little dissimilarities. The three credit scores are acknowledged by the Fair Isaac Corporation, which is the company accountable for the calculation of your FICO scores.

4. You can never remove a negative entry in your credit report until the seven-year requirement is up.

FALLACY! A bad mark, whether it is a late payment item or an existing loan entry, can be eliminated from your credit report. You can do this by requesting a goodwill adjustment from your loaners or by disputing the inaccuracy of your credit report.

5. Holding your credit balance helps increase your credit score.

FALLACY! It is actually the opposite. It is totally fine to maintain credit card activity; however, it has no effect on your account balance. Maintaining a particularly low balance or no balance at all is really one of the best ways to keep a considerable credit rating and improve it.


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Three Easy Methods to Get a Late Payment Removed From Your Credit Report

Removing a late payment entry from your credit report, especially if you do not have several late payment markings on the same credit account, is not so hard. You can always negotiate your way into the removal of the late payment record on your credit report. Here are three different methods which you can probably do to eliminate those late payment marks from your credit report:

1. Request a goodwill adjustment from the first creditor.

One of the simplest means to erase a late payment from your credit account is to request a goodwill adjustment from your original lender. Goodwill adjustment is a practice of altering your credit marking from "late" to "current." Asking for goodwill adjustments from the creditors is comparatively easier if your payment records before the late payment are all in all satisfactory.

2. Bargain a negative marking wipe off by rendering of the automatic payment service.

Another technique you can use to wipe off that late payment entry from that credit account is to register for automatic payments. Some creditors will help you erase the poor entries on your credit report only if you support their automatic payment service. The deal is advantageous to both: the creditor will obtain your credit payments on time and you will finish your fiscal obligations on schedule.

3. Pass a document declaring that the late payment record is imprecise.

Refuting the inaccuracy of the details of your credit record is another helpful way to erase the late payment entry on credit account record. Lenders, due mainly to the huge amount of credit reports they handle every day, have the tendency to have a difficult time confirming the entries on your credit account. If ever the creditors fail to verify the preciseness of the late payment record, then that poor marking in your credit report will be deleted.


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Clear your credit card balance and avoid bankruptcy

Fighting to get out of a mountain of credit card bills?  Getting endless waves of phone calls from debt collection companies?  Blocked from buying a new car or a new wardrobe because your credit is maxed?  You can try some common and effective steps of climbing out from under that mountain of credit card debt:


Shift your credit balance from the credit card with high rates to your cards with a lower rate.  Doing this allows you to enjoy lower interest as you work on clearing your credit balance.

Switch the credit card account which has the heaviest interest rate to a lower monthly rate card, phone the credit card company, show them your current credit iessues and request their help with reductions your monthly rate.  Do this method for all your cards today.

Pay off the existing balance of your higher rate plastic, and quit using them.  If balance clearing is impossible, take off what you can.

Talk to expert credit consolidation specialist and look into credit card debt consolidation avenues you can take.  This is an effective option to personal credit problems.  Employ their knowledge to drastically upgrade your finances.





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