Collection companies have done a great job over the years of convincing consumers that paying off collections will raise their credit scores. Many are actually surprised to learn that paying off collections will actually lower their credit scores.
Payment History Tips
Pay your bills on time. Delinquent payments and collections can have a major negative impact on your FICO® score.
If you have missed payments, get current and stay current. The longer you pay your bills on time, the better your credit score.
The federal Fair Credit Reporting Act (FCRA) promotes the accuracy, fairness, and privacy of information in the files of consumer reporting agencies. There are many types of consumer reporting agencies, including credit bureaus and specialty agencies (such as agencies that sell information about check writing histories, medical records, and rental history records). Here is a summary of your major rights under the FCRA. For more information, including information about additional rights, go to www.ftc.gov/credit or write to: Consumer Response Center, Room 130-A, Federal Trade Commission, 600 Pennsylvania Ave. N.W., Washington, D.C. 20580.
Additionally, FedLoan Servicing publishes reports identifying the borrowers that we service. When we first add loans for your school to our system, we will contact you to alert you of your loan volume and to discuss reports available to track your student population with us.
The nation’s giant credit reporting agencies — which keep records on more than 200 million individuals and influence their ability to obtain credit — have agreed to overhaul their approach to fixing errors and their treatment of medical debts on consumers’ reports.
A strong federal law, the Fair Debt Collection Practices Act, protects consumers against certain unfair collection practices. It applies only to outside or third-party debt collectors (not creditors collecting their own debts) and only for personal (not business) debts. State laws may provide additional protection.
I get asked every week from a client, How can we separate our expenses and learn how to create a budget. My answer is usually the best way to attack a problem is to start with the problem. Ourselves? Our budget is not the problem, the money we make is
You have a right to dispute inaccurate information in your credit report by contacting the credit bureau directly. However, neither you nor a credit repair company or credit repair organization has the right to have accurate,