Credit Report MythsMonday Jul 13, 2009
I would like to apologize to all of my faithful readers out there for my absence last week. Luckily for you, I was not sick nor on vacation....I was in the library and all over the Internet researching my blog topics for this week. With that being said, stay tuned for an exceptional week of flawless blogs that will get you excited and educated about business products that are essential to your life.
Today, I would like to discuss a few credit report myths that are out there. Very similar to popular myths of "Bigfoot", the "Abominable Snowman", and the "Loch Ness Monster", credit report myths are equally as bone chilling. However, I would bet (even though I do not endorse betting because it can destroy an individuals credit) that credit report myths are a little bit more prevalent to your everyday life. It is very easy to be fooled by a credit report myth, and the result can end up seriously hurting your credit.
The first and possibly most important credit report myth is as follows: 1. "Paying your debts will automatically make your credit report crystal clear." Unfortunately, this could not be any farther from the truth. Since all of you read and re-read my blogs to ensure you soak up every last piece of useful information, this credit report myth should not come as a surprise. Repeat after me, "Credit reports are a HISTORY of my payments." This means that although you paid back what you owed, you cannot change the fact that you missed your payments in the past. Make sure you remember that you cannot change the past. I know that for some it is too late, and I am sorry. You are probably trying to kick yourself right now with a "big foot."
2. "If you pay all your bills on time, there is no need to check your credit report." False. First thing's first, you deserve a pat on the back for paying all of your bills on time. That is a very very important step and accomplishing it is not an easy task. However, don't think that it ends there. It is essential to check your credit report because there can be activity that you are unaware of. This myth teaches us that we all need to be aware and invested in our credit report. If this is not done, and a fraudulent account has been on your report for some time, your credit score will be hurt and you will be regretting not taking my advice. I imagine this would produce a fiery anger that would instantly melt the "Abominable Snowman."
Finally, the third myth that I will address is: "You can always pay someone to repair your bad credit." There are companies out there who are paid to dispute credit report entries. However, companies offering to fix your credit will only bombard credit reporting agencies with dispute letters that rarely ever pan out. This tactic asks the credit agency to document the "suspect" entry, which in most cases they can. If they cannot, the "suspect" entry comes off your credit report. The only truth to this myth is that suspect entries on your credit report, that can easily be proven to be false, can be removed your credit report by an agency.Like I said this seems to be a long shot and only works out in your favor on obvious cases. As we all know, what happened in the past cannot be changed.....even if you try and pay someone to change it for you. You would have better odds in spotting the "Loch Ness Monster" than in paying someone to repair your bad credit report.
Thursday Aug 13, 2009 07:01
I read your blog it’s informative for me thanks
But I consider that The Fair and Accurate Credit Transaction Act allows anyone to receive a copy of their credit report once a year. Accurate credit reports are vital before seeking a loan for a major purchase.
--- Credit Report
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