Medical Bills Could Lower Your Credit Score
Among the most common credit score killers is medical bills. There are a lot of instances where your score can suffer because of a misunderstanding with your insurance or your doctor. This could actually dock you big points for something that isn’t actually your fault. And then there are time where your score suffer because you simply just can’t afford the bill.
As a matter of fact, medical bills that go to collections are treated the same way as any other type of bill that goes into collections in the FICO score formula. Experts claim that even just one medical bill that has gone to collections can mess up your credit score by 100 points, thereby compelling you to enact a lengthy credit repair technique to bring the score back up as time passes by.
That being said, understand your insurance: A lot of medical bills go to collections due to people not being able to afford them. One way to better plan and get ready for prospective medical costs is to know and understand your insurance plan. For instance, is it going to cover wellness visits? What about the deductible? Will you need to shell out money out-of-pocket after you meet the deductible? If you are aware of these things, it can better help you prepare should there be a surgical procedure or emergency instead of take a “wait and see” approach for when the comes.
Get a payment plan. Surgeries, procedures as well as hospital stays can build up. A lot of people could not afford to pay the sum of the bill in full right away. Ask the hospital to see if you can have any particular payment plan to make regular installments toward the bill. A lot of hospitals will not charge any interest as long as the balance will be paid within one year or two.
Always have the records and keep them. See to it that you keep all your medical bills and always look into your credit report and be watchful of inaccuracies. If your report doesn’t go hand in hand with your personal records, take immediate action to have any get rid of any discrepancies from your report. Or else, you may need to repair credit for nothing.
Categories: Credit Score Articles Tags: bill, collections, need, payment
How Credit Card Use Affects Your Credit Score
Secured credit cards are ideal tools in managing your finances and if you want to boost your credit score. Additionally, they are practically an essential these days if you ever want to travel, as most airlines, car rental companies and hotels need a credit card to use their services.
Categories: Credit Score Videos Tags: companies, credit card, Credit Score, need
Good Credit Card Habits With Jainie Fitness
Credit cards are ideal tools in managing your finances and if you want to boost your credit score. Additionally, they are practically an essential these days if you ever want to travel, as most airlines, car rental companies and hotels need a credit card to use their services.
However, if you aren’t careful with how you use yours, it’s not going to do you credit score any good. Watch this video to learn good credit card habits.
Investing For Beginners: Do I Need a Good Credit Rating to Start Investing in Real Estate?
Dodging bad credit is a struggle people go through on a daily basis. They pay their bills on time by working their tails off. They hold out on their wants so as to pay interest on debt just to get good credit. This is a struggle to dodge bankruptcy or home foreclosure. However, is good credit really worth all the effort?
Video Rating: 5 / 5
Improving Your Credit Score The Right Way
When you have taken some steps to clean up your finances, your credit score is bound to improve.
What you should do next is check your credit score. Don’t go overboard; don’t check it frequently. This can be a red flag to lenders. You only need to get a baseline, and then check again in about 6 to 9 months to see the progress. You can get free credit reports from different places. Always see to it though that you read the fine print, so you don’t sign up for something you have no idea about.
When you check your score, don’t just look at the number. See to it that you really go through the report. In many cases, you will find that there are many errors on the report. Such errors could cost you so much.
Look at the reports from all three credit bureaus (Experian, Equifax, and Transunion), and check every entry for accuracy. If you see a negative item on the report that is in any way inaccurate, you can file a dispute by writing a letter (not an email) to the credit bureau that logged the negative item with any documentation you have. The bureau will then investigate. Even a single negative item removed could make a remarkable difference in your score.
If you have a credit problem in the past that was supposed to be eliminated from your credit report but is still there without any reason why, you’ll need to notify the reporting bureau. These problems could be:
- Bankruptcy (should disappear after 10 years)
- Lawsuits (should disappear after seven years)
- Tax liens (should disappear after fifteen years)
If you think it’s enough, think again. Whatever cause you to have a poor credit score to begin with can easily do it to you again. Start over and get it right!
Categories: Credit Score Articles Tags: again, cleaning up finances, Credit Score, improving credit score, item, need, think
Credit Score Tips
Truth be told, when your credit score is not very pretty, you’re actually on a downward spiral. You can fix this by raising your credit. However, you need not get help from any credit repair agency. You can do it all by yourself. I’ll give you some tips in boosting your own credit score without having to shell out extra cash for the credit repair companies.
Post-Bankruptcy Credit Score Boost
After bankruptcy, it’s no surprise if you want to target repairing your credit. With no proper credit record, you may be consider to be among the untouchable by many creditors and banks. If ever you get credit after bankruptcy, you should be extra astute and don’t default in terms of payments or you’ll never be able to boost your credit back to being good.
A credit card is pretty much the fastest way to improve your credit. Monitor at all times your schedule for repayment. Whenever you are out applying for loans, make sure you don’t commit the same mistakes that caused this dreaded bankruptcy.
You can even go to special classes held by non-profit organizations or maybe debt management programs. The no nonsense programs can be very helpful if you don’t have money, filed a bankruptcy, or when you are in need of managing your finances. Financial management is a handy skill and it’s not only for money alone. You can make use of it in disciplining yourself.
In case you file for bankruptcy and it is discharged, it would only signify that your current debts were paid in accordance with the bankruptcy rules. It would take about two years to gain back your normal financial status.
You can apply for a loan even before the end of your lock-in period. Nonetheless, it can get quite tricky to attain. Your post-bankruptcy credit report could be helpful here. If it’s outstanding, you’re likely to be approved for a loan. Besides, you need to make a large deposit of 3 to 5% of the total amount.
You can ask for help from your friends or family members for the deposit, but you should always have proof of all the money collected, considering the creditor would want to know all the sources. You are able to borrow money to use for the deposit but the creditor will never approve you if this is how you usually get money. You should be employed and have steady income to sustain yourself and so you can repay the loan, too.
These are only among the many ways you can redeem yourself post-bankruptcy. Always remember to redeem your good credit as much as you can.
Find More Good Credit Articles
Categories: Credit Score Articles Tags: back, Bankruptcy, Credit Score, credit score boost, deposit, need, post bankruptcy
Catechizing the Interest of Credit Score if You Don’t Borrow
Almost every other person is now aware that they need to have a good credit score. However, do you actually need a credit score? If you don’t even need to borrow, what would you do with a credit score? You must be shocked to hear this, right? Especially, with all the financial advisors asking you to maintain your credit score, asking you to pay down the debts, believing in what I have said must sound bogus.
Considering the truth
Credit score – why do we need it? We need it so that we can borrow. In order to obtain a mortgage, or a credit score, or even any other type of loan, we require a good credit score. None of the lenders or the creditors would approve your credit application, if you do not have a good credit score.
Nevertheless, what if you do not need to borrow anything in any form? What would you do with a credit score, when you have never thought of borrowing any money? In order to build the credit score, you will have to borrow first. Yes, without actually borrowing any money, it never would be possible to have a credit score under your name. That would mean, you are incurring debts because you need a credit score. Even if you need to borrow, you may not require a credit score as always.
Still, you must be wondering how would it be possible to buy a home without credit score? Is it possible to buy a car without financing it, which again would require you to have a good credit score? Is it possible to rent an apartment without a credit score? What about the insurance policies – can you get any of the insurance policies without a credit score?
It is possible to do all of the above without a credit score. However, the main problem is our society. We have now become totally and completely dependent on a loan and credit cards, and all of the other options through which we borrow. It is mainly with the credit cards that we shop and even make payments on other debts. In fact, businesses too use credit cards for completing their transactions. We can’t even think of the resources which could otherwise be used for buying a car, or renting an apartment and so on. BTW, if necessary you can gather information on credit card consolidation from DebtConsolidationCare.
One of the easiest, but lesser known ways to buy a home without a credit score is the manual underwriting. This is the process in which, the people involved with the process require you to provide your real life information. These can be the details of your utility bill payments, rent receipts, income and so on. Furthermore, try to save up quite a lot, so that you can obtain a mortgage through this, as it may not always be possible to buy a home without a mortgage.
As for the rent. you can start using eCredable.com which has the provision for you to build a payment history, based on your previous rental history, utilities and so on. If you actually have no debt, lenders would be ready to offer you the rent. You would not even be required to obtain a loan. If you can’t believe in this, you can at least try it for once.
Categories: Credit Score Articles Tags: Credit Score, interest, need, possible, without
I don’t want a credit card, and do I really even need one?
Question by BeachBoarder: I don’t want a credit card, and do I really even need one?
I’m 19 and most of my friends have credit cards. I told them I had no interest in getting one and they were like “but you need to start gaining good credit”.
I don’t really even get the whole concept of the credit card. When I buy something, I make sure I have enough cash for it and pay with that. It just seems much easier and I know that I definitely have the money and don’t have to worry about a bill later. If I want to buy something big, I save up for it.
So what’s the big deal?
Best answer:
Answer by teresathegreat
You need a credit card for certain things, like reserving a rental car or plan tickets. But you can use a debit card for most of these things as well.
Your friends do have a point – establishing a good credit history is important, and will be essential to you later on in life when you are ready to apply for loans or buy a house. Your credit history looks at how much money you are trusted with, and how responsibly you handle it.
So if you handle your credit card responsibly, it can benefit you in the long run. It’s best to think of a credit card as a debit card – you simply pay for the items at the end of the month instead of at the moment of purchase. If you pay the amount in full every month, you won’t have to worry about finance charges or interest, and you will build an excellent credit history.
So your friends have a good point – but I’d be interested to know how many of them really handle their credit responsibily, and how many foolishly carry a balance from month to month.
Give your answer to this question below!
Good Credit, Bad Credit? Credit Help for Those Who Need it
Good Credit, Bad Credit? Credit Help for Those Who Need it
Clean Credit will help you if you have bad credit and if you have good credit, will help you keep it that way.Clean Credit will help you if you have bad credit and if you have good credit, will help you keep it that way.
List Price: $ 7.95
Price: