Credit Advice

Credit bureaus and trigger leads

Thu, 16 Jul 2009 20:43:31 GMT

Borrowers who inquire about a loan may be inundated with unsolicited loan offers due to bureaus selling trigger leads. Did you know that whenever a lender obtains a copy of your credit report, that your name, telephone number and other information might be sold to other lenders by the credit bureau as part of a "...

Credit bureaus and trigger leads

Thu, 16 Jul 2009 20:43:31 GMT

Tips for online safety and privacy

Wed, 01 Jul 2009 21:29:59 GMT

Increased e-commerce security and web-savvy consumers are helping to reduce online identity fraud. Tighter security procedures and increased consumer awareness have made the Internet a safer place to transact business than ever before. In fact, the common misconception that most identity fraud occ...

Reporting identity theft

Wed, 01 Jul 2009 21:29:59 GMT

These four steps to report identity theft can start you on the path to recovery. Identity theft is a scary thought. If stolen, your personal information can be used to make charges on your accounts or open fraudulent accounts in your name. Fortunately, there are a number of thing...

Prevent identity theft

Wed, 01 Jul 2009 21:29:59 GMT

A little vigilance can help you prevent identity theft before it occurs. Identity theft has affected tens of millions of Americans in recent years, according to the Federal Trade Commission, and more than half of victims say they don’t know how thieves got the information...

Protect yourself from mortgage scams

Wed, 01 Jul 2009 21:29:59 GMT

Four ways to protect yourself from foreclosure rescue schemes. Mortgage scams are on the rise, and many of the newest schemes target homeowners who are already in financial distress. The federal government has launched a new effort to stop these schemes, but bor...

Beware upfront fee scams

Wed, 01 Jul 2009 21:29:58 GMT

Don't be fooled by scams asking you to pay an upfront fee prior to your loan application. LendingTree cares about your privacy and would like to alert you to possible fraudulent activity known as an “upfront fee scam.” In an upfront fee scam, a “lender” requires some sort of payment, ofte...

Improving your credit score

Wed, 01 Jul 2009 21:29:44 GMT

Understanding the factors that go into your credit report can help you improve a less-than-perfect score. Credit scoring models are complex and often vary among creditors and for different types of credit. If one factor changes, your score may change, but improvement generally depends on how that factor ...

How to fatten up 'thin' credit

Wed, 01 Jul 2009 21:29:44 GMT

Installment loans, charge cards and other monthly payments can help borrowers with a thin credit file build a credit history. "Thin credit" doesn't mean your finances have been on a diet or you need to slim down your spending. Rather, the term refers to a thin file of credit information, whether that file is a pap...

How to build your credit

Wed, 01 Jul 2009 21:29:44 GMT

Q: Recently, a mortgage broker told me I do not have any credit scores. How do I build credit? A: Your credit score is based on your credit payment history. The best way to build good credit is to consistently pay any loan or credit card bills you may have on time. Of course, without a credit ...

Ask an expert: Dealing with debt collectors

Wed, 01 Jul 2009 21:29:44 GMT

Q: How should I deal with debt collectors? A: Carefully. Debt collectors are tough-as-nails negotiators with lots of experience and boatloads of determination. They make their living from commissions they earn on your debt payments, so it pay...

A blueprint for rebuilding your credit

Wed, 01 Jul 2009 21:29:44 GMT

When you're trying to recover from a bad credit history, the key is to start small and rebuild your credit score slowly. So your credit isn’t great. It may even be suffering after a bankruptcy. Don’t give up – it’s possible to bounce back and rebuild your credit history. The most important thing to remember is that fro...

8 steps to great credit

Wed, 01 Jul 2009 21:29:44 GMT

Having a good credit score is more valuable than you might think. Here are eight simple ways to make sure you're getting the highest score you can. Lenders view your credit score as a measure of your financial trustworthiness. They’re more likely to lend you money and charge you a lower rate of interest if your score is good. So, it’s in your be...

VantageScore FAQs

Wed, 01 Jul 2009 21:29:20 GMT

The credit agencies introduce a new scoring system. Find out how VantageScore is different and what you need to know about it. In mid-March, the three major credit-reporting agencies jointly introduced a new credit scoring system called VantageScore. This raised a number of questions for consumers. Here are answers to some o...

Tips to raise your credit score

Wed, 01 Jul 2009 21:29:20 GMT

Raising your credit score can help you get a better loan rate. Your credit rating can help determine whether you get a loan and what interest rate you pay, so getting your score as high as possible can save you big bucks. The difference in interest rates for mo...

Student loans and your credit score

Wed, 01 Jul 2009 21:29:20 GMT

How you handle your student loans will affect your credit score for years to come. With college tuitions rising by up to ten percent in 2004 alone, you may be thinking of taking on a student loan to help with the finances. Your student loan will likely be the largest debt you’ve ev...

New credit scores

Wed, 01 Jul 2009 21:29:20 GMT

New measures of financial reliability used by the FICO Expansion credit scoring system can help you if you lack a traditional credit rating. Lenders use credit scores to make decisions about loan applicants. Utilities, telecom providers and other businesses whose services require regular, ongoing payments may also check credit scores befo...

Myths and facts about credit scores

Wed, 01 Jul 2009 21:29:20 GMT

Confused about credit scores? Here are some myths and facts you need to know. Credit scores may be one of the most mysterious and misunderstood aspects of the home loan process. They’re also among the most important factors that determine whether you’ll be able to qualify for ...

Improving your credit score

Wed, 01 Jul 2009 21:29:20 GMT

Q: How long does it take for your credit score to improve? And is there a limit to how many points it can go up in a set period of time? A: There are no specific rules governing either how long it takes for your credit score to increase or how many points it can go up during any set period. Depending on how you handle debt -- from you...

How to build a good credit score

Wed, 01 Jul 2009 21:29:20 GMT

You can build a good credit score by paying bills on time, managing your budget well and monitoring the types of credit you use. Your credit score is one of the key elements to your financial future. Credit scores range from 300 and 850, with 850 being the most desirable and 300 being the worst. This number indicates your cred...

Don't let holiday credit card debt hurt your credit score

Wed, 01 Jul 2009 21:29:20 GMT

Seasonal credit card debt can cause lenders to view you as a bad credit risk if you don't manage it well. If you’re struggling to pay off holiday debt, you’re not alone. According to CardWeb.com, a firm that provides information on the credit-card industry, holiday shoppers charge an average of more than...

Credit scores: What the numbers mean

Wed, 01 Jul 2009 21:29:19 GMT

How high or low is your credit score? You could be paying a price for not knowing. Your credit score is a measure of your past ability to make payments on time and manage your credit. It’s designed to help lenders determine how likely you are to pay back your loan. The number is ca...

Credit score myths

Wed, 01 Jul 2009 21:29:19 GMT

Don't be misled by credit myths. Understand what truly affects your credit score so you can work to improve it. When you apply for a mortgage, line of credit or even a department-store credit card, the lender will check your credit score. This figure, a measure of your past ability to make payments on time and...

Ask an expert: Why does my credit score differ?

Wed, 01 Jul 2009 21:29:19 GMT

Q: Why does my credit score differ from one lender to another? A: Your credit score will change depending on variations in your credit report, which credit bureau issued it and who is evaluating it. The three credit bureaus in the U.S. are Experian, Equifax and ...

Ask an expert: How does my credit rating affect me?

Wed, 01 Jul 2009 21:29:19 GMT

Q. My credit rating has taken a beating lately. How can this affect me? A. A bad credit rating can cost you. It can result in denied loans or an increase in the interest rates and insurance premiums that you pay. It may even affect job applications. Credit ratings are us...

Ask an expert: Carrying a credit card balance

Wed, 01 Jul 2009 21:29:19 GMT

Q: Will carrying a credit-card balance hurt my credit score? A: If you play your cards right, a credit-card balance can actually help improve your credit rating. The most important thing is never to be late with your payments. A lot of factors go into determin...

3 myths about FICO® scores

Wed, 01 Jul 2009 21:29:19 GMT

Managing your FICO® credit rating can help you become a smarter borrower. Failing to understand how your FICO® scores are calculated can be costly. Although it’s not the only thing lenders look at, the scores calculated by the nation’s three major credit-rating bureau...

Your credit and the Fair Credit Reporting Act

Wed, 01 Jul 2009 21:28:54 GMT

Your credit record contains information about your income, debts, and credit payment history. Your credit payment history is recorded in a file or report. These files or reports are maintained and sold by consumer reporting agencies (CRAs). One type of CRA is commonly known as a credit burea...

Why check your credit report regularly?

Wed, 01 Jul 2009 21:28:54 GMT

Checking your credit report often allows you to keep track of your financial progress, as well as catch any mistakes or fraudulent accounts. 1. To detect identity fraud early We all know we should check our credit card statements every month for charges that we haven’t made. But that only catches the thief who uses an account you know you...

What to look for on a credit report

Wed, 01 Jul 2009 21:28:54 GMT

There is a wealth of information listed on your credit report. Here's how to look at key sections and make sense of it all. You’ve pulled a copy of your credit report and are now looking at a tangle of information. You see your last three addresses, a long list of businesses that have checked your report and dozens of cre...

How to read a credit report

Wed, 01 Jul 2009 21:28:54 GMT

Reading a credit report is easy, once you know how. If you thought grades ended when you graduated from school, think again. As an adult, you still get graded on your use of credit, but instead of receiving an actual grade, you receive a credit score....

Credit Inquiry: Soft pull vs. hard pull

Wed, 01 Jul 2009 21:28:54 GMT

A soft credit inquiry or pull does not hurt your credit score, but a hard credit pull does. On a credit report, when a third party looks at your credit score, this is called an inquiry. All inquiries, however, are not created equal. Some hurt your credit score, and some do not. An inquiry k...

Credit inquiries can affect your credit score

Wed, 01 Jul 2009 21:28:54 GMT

Certain credit report inquiries or credit pulls do adversely affect your credit score On a credit report, one of the five categories that affect your score is “Inquiries.” These are requests made by third parties to examine your credit history. A variety of parties have the legal abil...

Correcting your credit report

Wed, 01 Jul 2009 21:28:54 GMT

If there are inaccuracies in your credit report, you have the right to correct them. Here's how to dispute an item. Under the federal Fair Credit Reporting Act, both the consumer reporting agency (CRA) and the organization, such as a bank or credit card company, that provided the information to the CRA have respon...

What is your credit IQ?

Wed, 01 Jul 2009 21:28:53 GMT

Credit can be tricky to understand. Test your knowledge of credit reports and scores to see how much you know. How well do you understand what goes into your credit report and credit score? Take our quiz and find out. Check which of the following are true or false: 1. As soon as you pay off an overdue account...

What is an insurance score?

Wed, 01 Jul 2009 21:28:53 GMT

Your insurance score is based on your credit score and can be used to calculate your insurance premiums. Think your credit score affects only your ability to borrow money? Think again. Your credit score also can affect your access to homeowner and car insurance and the size of your monthly premiums. In ...

What are the three major credit bureaus?

Wed, 01 Jul 2009 21:28:53 GMT

Q: What are the three major credit bureaus and what do they do? A: There are three national credit bureaus: Equifax, Experian, and TransUnion. Lenders rely on credit reports developed by one or more of these companies to decide whether you are creditworthy. Each...

Understanding credit and debt

Wed, 01 Jul 2009 21:28:53 GMT

Learning the necessary skills to manage your debt and credit is a first step on the path to financial freedom. With historically low interest rates and a large number of lenders competing in the marketplace, now it’s easier than ever to borrow money. The process of applying and qualifying for credit is also f...

Should you co-sign a loan?

Wed, 01 Jul 2009 21:28:53 GMT

Before co-signing a loan, make sure you understand the risks involved and how to protect yourself. Emily and Jack have been seeing each other for two years, and things are getting serious. One night, over a candlelit dinner at their favorite restaurant, Jack pops the question: “Can you co-sign a l...

New bankruptcy laws

Wed, 01 Jul 2009 21:28:53 GMT

The new bankruptcy law makes it more important than ever to manage your debt wisely. The new bankruptcy laws taking effect in October make it more difficult to wipe out certain types of debt through the bankruptcy process, especially for middle- and upper-income households. But in so...

How to avoid credit disasters

Wed, 01 Jul 2009 21:28:53 GMT

We've all heard horror stories of credit card fraud and runaway debt. Here are some tips on how to avoid disasters. Borrowing money wisely can help you accomplish goals you’d otherwise be unable to attain, such as owning a home or getting an education. But credit can also get you into trouble if you’re not aware o...

How interest rates affect credit

Wed, 01 Jul 2009 21:28:53 GMT

Consider interest rate trends in your credit decisions when financing or refinancing a home, car, or credit card balance. Most credit products have an interest rate that is linked to the prime rate -- the benchmark banks use to determine what they will charge on loans to their customers. The rate may be fixed for a part...

How bad credit affects you

Wed, 01 Jul 2009 21:28:53 GMT

A bad credit score can have a negative effect on many aspects of your financial life. Your credit score may look like a harmless three-digit number, but don’t be fooled. A good credit score can be your ticket to the best interest rates whenever you borrow money. A bad credit score, on...

Good debt: What do lenders look for?

Wed, 01 Jul 2009 21:28:53 GMT

Taking out loans and repaying your debts can appeal to potential creditors. It can be smart to take out a bank loan or charge credit card debt. Here’s why: U.S. lenders rely on a credit report to decide whether to loan you money, to determine the interest rate they will char...

Credit inquiry FAQ

Wed, 01 Jul 2009 21:28:52 GMT

Multiple credit inquiries or "pulls" can affect your credit score. Read on for answers to frequently asked questions about credit inquiries and working with LendingTree. How will using LendingTree affect my credit score? LendingTree pulls your credit score when you complete a loan request. This is known in the credit industry as a “soft pull” because we do not pull y...

Credit bureau information

Wed, 01 Jul 2009 21:28:52 GMT

Q: What gives credit-reporting agencies the right to private information? A: Under the Fair Credit Reporting Act (FCRA), enforced by the Federal Trade Commission, credit-reporting agencies (credit bureaus) are permitted to collect information from lenders on your credit hi...

Credit and divorce

Wed, 01 Jul 2009 21:28:52 GMT

If you are getting a divorce, consider how your former spouse's behavior could affect your credit history. If you've recently been through a divorce, or are contemplating one, you may want to look closely at issues involving credit. Understanding the types of credit accounts opened during a marriage may h...

Credit and borrowing

Wed, 01 Jul 2009 21:28:52 GMT

Credit cards and loans can affect your buying power, so shop around for the best rates and educate yourself on credit and borrowing terminology. It can be easy to get caught up in the world of credit, which is why many people often find themselves drowning in debt. To better prepare yourself for the responsibility of borrowing money, it’s imp...

Co-signing a loan

Wed, 01 Jul 2009 21:28:52 GMT

Be sure you know what's involved in co-signing a loan before signing on the dotted line. Perhaps your best friend asks you to co-sign a loan for the new car he’s desperate to own. Or maybe your sister won’t qualify for a mortgage on her first home unless you co-sign the loan. There’s onl...

Checklist: Steps to take before filing bankruptcy

Wed, 01 Jul 2009 21:28:52 GMT

The steps on this checklist will help you avoid filing bankruptcy. With now tougher bankruptcy laws, there’s no better time to start managing your debt more wisely. For most households with above average income, completely wiping out unsecured debt through the court...

Are you credit-challenged?

Wed, 01 Jul 2009 21:28:52 GMT

Our self-identification test can help you determine whether you have credit problems, and how severe they are. You’ve just applied for a loan or a mortgage. To your amazement, you’ve been turned down. See which of the following statements describe you best and find out whether you are credit-challenged. 1. I...