Regardless of the circumstances that led to it, losing your home to foreclosure can be very troubling. Along with how reliable you are at paying your bills on time, a credit report can include any accounts you have in collection, bankruptcies and even civil judgments against you or tax liens. It looks at how long your credit history is, how many lines of credit you have, how many lines of credit you have applied for and how much of your credit card limit you’re using. Credit profiles can be affected by so many different things: you might have had a small unpaid account from your college days gather interest and get sent to a debt collection agency because you didn’t have easy access to your credit information. Negative marks on a credit report are about so much more than simply being financially responsible.
On top of all that, the FTC estimates that as many as 1-in-4 consumers have errors on their credit reports that could affect their credit scores, so the information might not even be accurate to begin with. If you have medical debt, have a house go into foreclosure, or miss a credit card payment, it doesn’t make you any less competent at your job. Some proponents of using credit reports point to things like a 2011 PriceWaterhouseCoopers survey where 29 percent of US workers reported that personal finances had been a distraction at work, and almost half said that they had handled personal finance matters during work hours. Can’t get a job because of bad credit and bad credit due to lack of unemployment.
If you are out of work and your credit situation is suffering under the burden of negative marks on your credit profile, the thing that is going to be of most help is a stable income and steady employment (alongside access to the right tools and information to take control of your financial health). There are so many different scenarios to the fact of A Credit report, Devastation in a persons life is one very good example. Advertiser Disclosure: The offers that appear on this site are from third party advertisers from which Credit Karma receives compensation. It is this compensation that enables Credit Karma to provide you with services like free access to your credit scores and free monitoring of your credit and financial accounts at no charge.
Credit Karma strives to provide a wide array of offers for our members, but our offers do not represent all financial services companies or products. The opinions expressed on the blog are those of the authors themselves, and not necessarily Credit Karma or its affiliates. However, Credit Karma may be compensated by companies mentioned in the Credit Karma Blog through advertising, affiliate programs or otherwise. It is this compensation that enables Credit Karma to provide its members with services like free access to your credit scores and free monitoring of credit and financial accounts at no charge. First of all, federal law requires that each of the big credit firms — Experian, Equifax and TransUnion — provide one free credit report to consumers annually. Important Note: The following is a step-by-step process to help you clean up your credit history.
That said, it would be nice if the playing field wasn’t littered with sneaky companies trying to trick you into getting your credit report through them and then charging you for things you didn’t want, such as credit monitoring that comes with a monthly fee. Is in fact owned by one of the credit firms, Experian, and its purpose is to get you to sign up for Experian’s credit monitoring, which can run $19.95 a month. The site that Jack and all other consumers want to go to instead is This is the one the credit firms were required by law to establish so that consumers could access their files.
And here’s a tip: Since each of big three credit firms has to provide one free report a year, space them out every four months. You can certainly do this yourself if you have the time or you can outsource the work to a reputable firm like Lexington Law (you can also call them for a free credit repair consultation at 1-800-293-3672). They are highly proficient, completely focused on credit repair and the industry leader with a stellar track record and professional standing. You can get your credit report for free once a year from each of the three credit reporting agencies. TIP: The bureaus have to supply you with a free credit report annually as I noted.
You can’t solve a problem until you confront it. And when it comes to credit repair, the only way to fully comprehend your situation is to order your credit report, read through it and understand what you are looking at. That means one report could have errors, mistakes and problems that sink your credit score but those problems may not show up on the other two reports. And if you don’t check each of the reports, you may never be aware of issues that weigh your credit score down. TIP: Information about a past bankruptcy stays on your credit report for 10 years.
But if a someone denies you credit, insurance or a job based on a credit report, the bureau that supplied that information must also provide you with a free report on demand. Also, if you have a criminal conviction that stays in your credit file and it will never come off your report. The same holds true if you applied for life insurance or credit in excess of $150,000. Under the Fair Credit Reporting Act negatives must be accurate and verifiable of course. This is just a small smattering of the types of errors you might find on your credit report but you get the idea. Go through each of the three credit reports and highlight all the errors you find. If a blotch against your credit isn’t verified, you can assert your rights to have it taken off your credit history.
If they can’t do that, the negative items must be removed from your credit report. Many people contact the credit bureau that reported the negative item and think their work is done. All the credit bureau has to do is get the creditor to say that the debt is accurate. You have legal rights that protect you from credit bureaus, creditors and credit collectors. That includes your right to obtain all the proof the other party has about these negative items, your right to be treated fairly and your right to be left alone and not pestered by credit collectors.