Credit scores are influenced and change up and down to a number of attributes found in an individual’s credit report. The FICO credit score is the most common credit score used by lenders. In calculating credit scores, the FICO score is derived by analyzing the data in an individual’s credit report and will change as the credit report data changes. A number of factors are weighed in a credit report to come up with the credit score. Factors include length of credit, payment … [Read more...]
Changes to Credit Score Calculations
February 27, 2010 By 1 Comment
In 2007 Fair Isaac Corporation, creators of the FICO credit scoring system announced that they would change how their credit score models evaluate credit report data. The new credit score, referred to as FICO 08, was delayed in its implementation until the second half of 2009. The FICO score model is kept under wraps by the company that created it, but it is always a good idea to obtain a general understanding as to what makes a good or bad credit score. With the knowledge of what drives … [Read more...]
Fed Announces Rule Changes for Marketing Free Credit Reports
February 25, 2010 By Leave a Comment
The confusion over the marketing of free credit reports by companies that require a subscription to a credit monitoring service or other related products and services to receive the free credit report has resulted in intervention by the Federal Trade Commission. Numerous consumers have seen advertisements touting free credit reports. Most of these advertisements have small disclaimer that explain that there is a requirement that the consumer sign up for a credit monitoring service or … [Read more...]
Using Secured Bank Loans to Improve a Credit Score
February 23, 2010 By Leave a Comment
There are numerous tools that can be used to improve a damaged credit history and low credit score. Along with removing any derogatory items that may be inaccurate in a credit report, the next best tactic is to add new credit and build a quick credit history. There are several ways to add credit to a credit report. Adding credit that helps improve a credit score can be a slow process, but a process that is generally necessary to rebuild credit profile that is the foundation of a good … [Read more...]
Fair Credit Reporting Act
February 10, 2010 By Leave a Comment
The Fair Credit Reporting Act (FCRA) is a United States federal law that provides consumer protections and regulates the collection, distribution, accuracy and privacy regarding the use of consumer credit reports. The law was originally passed in 1970 and has been amended since. Companies that gather and sell information about consumers regarding where they work and reside, how they pay their bills, and whether they have public records filed make up the credit reporting industry. The FCRA … [Read more...]
Credit Repair Scams Halted by FTC
February 9, 2010 By Leave a Comment
In October, 2008 the Federal Trade Commission sent out a press release regarding charges brought against another credit repair scam operation. Credit report repair services that offer to repair credit for consumers have popped up across the nation. Unfortunately, many of these organizations fail to help consumers and in some egregious cases, violate the law by taking money in advance and deceiving consumers regarding the services they perform to improve credit histories and credit … [Read more...]
More News on Spreading Credit Repair and Assistance Scams
February 8, 2010 By Leave a Comment
Credit repair scams and mortgage assistance scams is growing problem for individual and the federal regulatory authorities. The best way for individuals to tackle credit repair scams is to report misconduct including any promises or demands that are not legal credit repair practices to the appropriate authorities. The FTC enforces credit report and credit repair regulations but it does not investigate individual claims against a company, however they will investigate a company for legal … [Read more...]
Another Debt Collection Scam Comes to an End
February 7, 2010 By Leave a Comment
This is yet another news item on a settlement with the Federal Trade Commission ( FTC ) regarding deceptive and or fraudulent collection practices by a debt collector. This settlement from a debt collection agency was sizeable. In this case, the settlement outcome included leaving the FTC with $1.6 million in recovered funds to distribute to thousands of consumers who were scammed into paying money they did not owe by con artists who threatened, harassed and lied to them. Collection … [Read more...]
No Credit or Credit Score Same as Bad Credit
February 6, 2010 By Leave a Comment
Good credit and a good credit score is an important facet of our lives whether it is used to buy a house, for employment screening, purchasing insurance or a whole host of other activities that often require a good credit history. For some consumers though, credit is a burden and they prefer to exercise their use of cash and avoid credit. Since there are so many actions that require a credit score such as renting a car, purchasing things over the phone or the Internet, and even writing a … [Read more...]
Debt Collection News – Debt Collection Supervisors Settle FTC Charges
February 4, 2010 By Leave a Comment
The Federal Trade Commission administer a wide variety of consumer protection laws, engages in law enforcement, and develops policy and research tools to prohibit unfair and deceptive acts or practices against consumers including actions that involve credit reporting agencies, credit repair services and debt collection activities. The FTC produces press releases on action taken against businesses and individuals that fall under the jurisdiction of the FTC. This is a recent press release on … [Read more...]