Tag Archives: consumers
Fix Wrong Information In Your Credit Report — TODAY (Page 1 of 2)
Other than eating, sleeping, and breathing, one of the most important things you should be doing on a regular basis is ensuring that the data in your credit report is accurate. That is such a simple statement, yet it is ignored by the vast majority of consumers, probably due to several factors, such as:
* Consumers seem to accept the fact that errors will self correct in a reasonable period of time, where in reality nothing could be further from the truth.
* Consumers dont know how to find out if there is wrong information on their credit report, which impacts their total credit score negatively.
* Consumers dont realize that having a low credit score (lower than what they deserve, if the information maintained by the credit bureaus was accurate) can impact a huge number of factors in their everyday lives.
* Consumers dont realize that studies have shown that the MAJORITY of credit reports on consumers and businesses have errors and inaccuracies.
Your credit score is used by anyone loaning you money such as credit card companies, home loan lenders, auto loan lenders and finance companies. You need to find out what your credit score is before you talk to any lender in case there is something on your report that they may question. Your credit score is the actual number ranging from 300 to 850 that lenders use to judge your creditworthiness and the interest rate theyll charge you. Having a credit score lower than what you actually deserve could mean the difference between getting approved for a loan or credit card, or being denied. If you are approved, a lower credit score can mean the difference of the lender assessing a 14% interest rate or a 6% interest rate, which can cost you hundreds and even thousands of dollars more at the end of the loan period.
The big three credit bureaus are required to give you a free copy of your credit report annually, or any time that you have been denied credit based on information that they provided to a potential lender. It may take some time to get through to the credit bureaus to request a copy of your credit report, but this is well worth your time to do so. Be sure to get a copy of it from all three of them, since some lenders only report to one or two of them. This means that the information on your credit report from one credit bureau is almost certainly not going to be identical to the data from another credit bureau.
If you notice any errors on your report, you should complete a dispute form with the credit bureau. When they send you a copy of your credit report, they will usually include instructions on how to file a dispute for erroneous or inaccurate information. Some experts say that if you are disputing say 5 different items, you should file 5 separate dispute forms so each one can be addressed specifically. There is some merit to that discussion, since the credit bureaus may view a dispute consisting of many items as frivolous and not take appropriate action to correct the information.
Is a Payday Loan Right for Me?
With all of the negative information being circulated about payday loans, it may be difficult to distinguish between the facts and the rumors. In fact, all of the negative attention given to payday loans has prevented many consumers from obtaining quick cash, which can create a negative impact on their lives.
What to Consider in Your Circumstances
The first thing youll want to determine when seeking a short-term payday loan is whether you can realistically afford to pay back the loan out of your next paycheck. The second thing youll want to consider is your use for the money. Is it really something that needs to be tended to now, or could it wait until your paycheck arrives?
Once you have determined that you need the services of a payday lender, youll want to do your homework and educate yourself on the interest rates and the fees associated with the loan.
The bottom line is that a payday loan can be very useful, and if used responsibly, can prevent short-term cash flow problems for hardworking consumers.
Common Reasons for Payday Loans
1. When you lack the credit to receive a traditional loan through a bank – For many with poor or no credit, obtaining short-term cash through their bank is simply impossible. In addition, many consumers that do have the credit opt for payday loans because they can avoid the lengthy process of applying for a traditional loan through their local bank. Payday lenders, in fact, often do not run credit checks, and they certainly dont make you justify what you plan on doing with the money. The freedom of obtaining cash for your short-term cash flow problems can be easily accomplished with a payday loan.
2. When you need the money quickly Obtaining money through your bank is not a short process, by any means. The loan process can take anywhere from several days to several weeks, and the reality is that most consumers seeking payday loans are doing so because the money is needed immediately. Imagine waiting for a bank loan to get your car fixed, to repair your leaking roof, or to replace your broken computer. If waiting on money isnt an option, then a payday loan may be right for you.
3. When you dont have access to credit For many consumers, a credit card is often the tool used to get them out of short-term cash flow problems. Unfortunately, however, not all of us have credit cards due to poor or no credit. Payday loans are often used as a smart alternative to credit cards, and they are available for many individuals, regardless of their credit history.
4. When you dont want the hassle of long-term debt Many consumers seek payday loans, even if their credit is strong and even when they have access to credit cards and other types of loans. Why? For many, they simply dont want to incur any additional debt that must be repaid every month. A payday loan, unlike a traditional loan or credit card balance, is simply paid back when the consumer receives his or her next paycheck.
Depending upon your individual circumstances, a payday loan certainly be the right choice to tide your finances over until your paycheck arrives.