Jul
5
What is a charge-off and how does it affect your credit?
The rules of business and accounting specifically require that non preforming debt be charged off. This is directed at people who do not pay their bills and if the lender sees that there is little hope of collecting, well, these accounts are sold or forgiven or sent away to collection.
A charge off does not mean you do not owe the money any longer, rather it just goes into another form of collection . The term charge off is an internal indicator of what happens to the account . On the outside looking in , this is devastating for your credit report and you should promise the lender everything you can to prevent this. Do not to let this happen. Why? Because it will take you 7 years to remove it from your credit file.
Once an account is in this category you lose your power to negotiate with the lender. Sure, you can try to cut a deal with the collection agency or the outside lawyers, but the credit report remark and status will not be changed. If you want to know how to repair bad credit, this is where you start because every question I get like, “tell me how to increase my credit score” starts here.
Do not let the lender charge off your account.
When the lender decides they are finished trying to collect from you, you are sunk . Now, you are going to be dealing with people who buy bad debt . Outside collectors work on commission and these people are aggressive .
They are also very restricted as to what they are able to accomplish as far as your work in credit report repair because the account is already affected by the banks decision to charge it off.
How do you prevent this?
If you instruct your bank or lender not to contact you except through mail , then you are cutting off communication with your credit card company. This is good and it is also bad. Good because you don’t have to field their nightly calls , but bad because you have no idea when they are considering your account for charge off.
You have to call them starting at 90 days.
At this point they have no idea you will be a charge off, but when the account is delinquent 120 days, they start to get itchy. This is when you make them an offer for creditcard forgiveness. You do this right before they charge off the account as not able to collect.
Jul
3
Credit Repair Letters
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Composing letters to credit bureaus is the first thing to be done to repair credit. Credit repair letters can be found on numerous online sources. There are no tricks or secrets. You simply have to generate them and get them in the mail. Sending out your credit repair letters can be the tough part. There is good way to do it and a bad way to do it.
To start with, you have to send an Identification Page with the letters. Your ID page must have a copy of your driver’s license (which must have your correct address on it), a copy of a utility bill in your name, and a copy of your social security card. If you fail to provide correct and accurate ID, it will stall your letters. The credit bureaus will ask you to send them adaquate ID before they will even consider your letters.
The next point you have to condider is be careful the number of items you dispute on one letter. If you have twelve items to dispute with Experian, you wouldn’t be smart dispute them all on the same letter. You really ought only dispute three items at the most on each letter. Additionally, if you have any documentation that substantiates the inaccuracy of the items you are disputing, you should include a copy of those with your letter.
The simplest way to write your letters is to useCreditBlossom.com’s Credit Repair Letter Wiz™. This site helps you do all that a CreditRepair service does. It will allow you to create all your letters in minutes instead of hours. If you have several letters to prepare, this time saving tool will will seem like a godsend. Self credit repair repair is what CreditBlossom.com provides. We don’t just provide you great information; we offer you a way to put the information to work quickly and easily.
May
30
Taking Advantage of Credit Card Offers
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In spite of all the charge cards that currently exist, there are usually fresh and enticing credit card deals to be found. Some credit cards give cash back or airline miles; others entice consumers with gas rebates and even discounts on automobiles purchases. Almost anything you can think of, credit card companies have a connection to it. While all of those enticing credit card deals sound too good to be true, don’t simply open a credit card or transfer balances because the rewards sound wonderful. Make sure it is exactly what you think it is. Examine the small print before you decide to agree to anything.
When the credit card is featuring a low interest balance transfer rate, verify the length of time it is in force for. Make sure that the interest rates after that time expires do not suddenly increase by a large amount. Also confirm what the default charge will be and what the effects are. There are always severe consequences to paying your payments late. It has been known, for a one day late payment for interest rates to reach 30% as a result.. This is only mentioned in the small print – it is not advertised on the offer!. The card company knows that people don’t usually bother reading charges, terms and conditions very closely and a lot of it is written in a form of jargon to make it difficult to read, but make certain that you do.
Use the cards to your advantage and you could save quite a bit of interest each month. By transferring those high interest rate balances to interest free credit cards for a year, you can save quite a bit of money and reduce your debt load significantly. Most people get lots of credit card deals being offered to them via the mail. If you do not, it is possible to easily discover which credit card deals are available through doing a bit of research on the web. Some websites will actually examine credit card deals for you. They will explain to you what all the hidden charges and small print say and show you what the interest rates will jump to once your preferential rate period comes to an end.
Many individuals who are deeply in debt could quickly improve their finances by using one of these offers. Used wisely, this will not increase debt level; it means transferring high balances to zero interest credit cards in order to improve their debt situation.
Many people have been successful at taking advantage of a variety of credit card deals and improving their situation together with taking advantage of those incentives. They will pay for almost everything for an entire month on their credit cards and repay in full once the statement arrives. As a result, they obviously get the advantages of the rebates or airline miles, or what ever they are to receive. If you possess the dedication and capability to pay off your bill each month, this is a great way to take advantage of charge card deals and receiving the bonuses the credit card companies promise.
Just remember, whenever for benefiting from deals of this type – examine the fine print. Understand what you’re contracting to.
Jan
19
I had to vent! Sorry but today I arrived home to find that the postie had attempted to deliver a recorded delivery signed for envelope to me but because a. nobody was at home to sign for it and b. the council had conveniently forgotten to frank the mail (sheesh!!) and it cost me £2.05 plus my valuable time to go and collect my parking permit!
Watch the video… it’s funny 
Will I attempt to collect the money? Yes, I will because it’s the principle of the thing that gets me in this case.