:: What is a credit report ::

:: A credit report includes ::

:: What is a credit score ::

:: How scores are calculated ::

:: Why check your credit ::

:: Report with hidden fees ::

:: Free credit report ::

:: Paid credit reports ::

:: Repair & Improve credit ::

:: Help to repair credit ::

:: For Buyers ::

:: What We Do, How We Do ::

:: Find a Perfect Property ::

:: Search And Notify ::

:: Featured Properties ::

:: Special Property Search ::

:: Managing Your Credit ::

:: R. E. Market Watch ::

:: Financial Calculators  ::

:: What is Supplemental Tax ::

:: What is Mello-Roos Tax ::

:: Free Reports ::

:: Dir of Service Providers ::

:: School Reports ::

:: Community Information ::

:: Area Pictorial Tours ::

:: Mortgage Loans ::

What is a credit report?

Each of the three major credit reporting agencies -- Equifax, Experian (formerly TRW), and Trans Union -- maintains information about you and your credit history. Lenders, employers, landlords, and service providers buy that information in the form of a credit report to help them decide whether to approve your application for a loan, credit card, job, or housing, or to offer you a product or service at a particular rate.

Because of the importance of these matters and privacy issues surrounding them, these credit reporting agencies are strictly regulated by the Federal Trade Commission.

A typical credit report includes:

Personal information. Compiled from credit applications you've filled out, this information normally includes your name, current and recent addresses, Social Security number, date of birth, and current and previous employers.

Credit history. The bulk of your credit report consists of details about credit accounts that were opened in your name or that list you as an authorized user (such as a spouse's credit card). Account details, which are supplied by each account's provider, include the date the account was opened, the credit limit or amount of the loan, the payment terms, the balance, and a history that shows whether you've paid the account on time. Closed or inactive accounts stay on your report for 7 to 11 years from the date of their last activity.

Inquiries. The credit reporting agency records an inquiry whenever your credit report is shown to another party, such as a lender, service provider, landlord, or insurer. Inquiries remain on your credit report for up to two years.

Public records. Matters of public record obtained from courts of law -- including liens, bankruptcies, and overdue child support -- may appear on your credit report. Most public record information stays on your credit report for 7 to 10 years.

A credit report does not include information about your checking or savings accounts, gender, ethnicity, religion, political affiliation, medical history, or criminal record. Your credit score is generated by information on your credit report, but is not part of the report itself.

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What is a credit score?

A credit score is a rating used by a lender to help determine whether you qualify for a particular credit card, loan, or service. The company gets information about your financial history from your credit report, which it obtains from one or more of the three major credit reporting agencies -- Equifax, Experian (formerly TRW), or Trans Union. That information is then analyzed using a complex mathematical model to yield your credit score.

Most credit scores estimate the risk a company incurs by lending you money or providing you with a service -- specifically, the likelihood that you'll fail to make payments in the next two to three years. The higher the score, the less risk you represent. Many lenders consider your credit score in conjunction with other factors, such as your annual income and how long you've held your current job.

• You don't have just one credit score

• Your score varies according to the different scoring models used by lenders and the different information stored by each credit reporting agency.

• What factors affect my credit score?

• Many different formulas are used to calculate credit scores, but most are based on the following factors, which each lender weighs differently:

• Payment history. A record of late payments on your current and past credit accounts will lower your score.

• Public records. Matters of public record such as bankruptcies, judgments, and collection items may lower your score.

• Amount owed. Owing too much will lower your score, especially if you're approaching your total credit limit.

• Length of credit history. In general, a longer credit history is better.

• New accounts. Opening multiple new accounts in a short period of time may lower your score.

• Inquiries. Whenever someone else gets your full credit report -- a lender, landlord, or insurer, for example -- an inquiry is recorded on your credit report. A large number of recent inquiries may lower your score.

• Accounts in use. The presence of too many open accounts can lower your score, whether you're using the accounts or not.

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What goes into your score?

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Why Do Your Need To Check Your Credit

• Find disputes and inaccuracies before they interfere with your credit transaction.

• Make sure your credit report is accurate before critical life events occur--when you apply for a mortgage, change jobs or get married.

• Find out why you've been granted or denied credit. The information your see on your report helps lenders make credit-granting decision about you

• Review your report carefully--unfamiliar accounts or addresses may indicate possible fraud.

• See who has looked at your report recently--creditors, landlords, employers? Too many inquiries may prevent your from getting credit from some lender.

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How To Get A Free Credit Report With Strings Attached.

Free credit report offers. Make sure you read the fine print. We urge you to carefully read the offer terms before you request your credit report from any online service provider. Most of the free credit report offers provide only a single credit report from a single agency. You need reports from all three agencies to properly check your credit.

Most "free" credit report offers you see on the Web require you to purchase another service, like credit monitoring. If you aren't aware of the catch, your "free" credit report could end up costing YOU a lot of money - as much as $89.95!

Worse yet, you don't even know that you're being charged until it appears on your credit card statement. Don't take any chances with these scams - know what you are purchasing up-front!

How to Get a Free Credit Report Without Strings Attached

The Federal Fair Credit Reporting Act states that individuals are entitled to receive a disclosure directly from the consumer credit reporting agency free of charge under the following circumstances:

• You have been denied credit, insurance or employment in the past 60 days as a result of your report

• You certify in writing that you are unemployed and intend to apply for employment in the 60-day period beginning on the day you make the certification

• You are a recipient of public welfare assistance

• You have reason to believe that your file at the agency contains inaccurate information due to fraud
  

The Act also permits consumers to dispute inaccurate information in their credit report without charge. Accurate information cannot be changed. If you are a resident of Colorado, Maryland, Massachusetts, New Jersey, or Vermont, you may receive a free copy of your consumer credit report once each year, and if you are a resident of Georgia, twice each year.

Here are links to three major credit reporting agencies. Experian, Equifax, Transunion.

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Paid Credit Report

• Paid Credit Report: For comprehensive information include your credit scores, this is the best method to check reports from all three credit reporting agencies.  This service allows you to receive all three reports with credit scores at a single price.

How to repair damaged credit or improve your credit. 

• Pay your bills on time. Many creditors will consider lending to someone with some late payments, if recent records show that you've mended your ways. However, apart from extreme circumstances like bankruptcy or tax liens, nothing has a greater negative impact than late payments. The due date for a payment is when it has to be in the hands of the creditor, not postmarked. Anything more than 30 days late will hurt your credit standing, often seriously. Never let a payment of any kind get 90 days past due. Keep in mind that one day past the due date is considered 30 days late.

• When it comes to the number of credit cards you should have, fewer is generally better. Having a few clean, active charge accounts will boost your score.

• Minimize your outstanding debt. Even if your debt is relatively small and your monthly payments are manageable, having outstanding debt is always a negative factor. Try to pay down your existing debt as quickly as possible within your budget limitations.

• Time is sometimes your best ally. Although you may have late payments or other derogatory information on your credit report, the more time you can put between such negative information and a better record of on-time payments and low debt, the more favorable your credit profile will appear in the eyes of lenders. Although negative information can stay on your credit report between seven and ten years, every month that passes where you exhibit responsible credit behavior is a positive step toward improving your credit.

If you need help improving your credit, visit this website. This website is a good source of improving your credit: http://www.myfico.com/default.asp

Credit Repair: Self-Help May Be Best

You see the advertisements in newspapers, on TV, and on the Internet. You hear them on the radio. You get fliers in the mail. You may even get calls from telemarketers offering credit repair services. They all make the same claims:

• "Credit problems? No problem!"

• "We can erase your bad credit-100% guaranteed."

• "Create a new credit identity-legally."

• "We can remove bankruptcies, judgments, liens, and bad loans from your credit file forever!"

Do yourself a favor and save some money, too. Don't believe these statements. Only time, a conscious effort, and a personal debt repayment plan will improve your credit report.

This brochure explains how you can improve your credit worthiness and lists legitimate resources for low or no-cost help.

The Scam

Everyday, companies nationwide appeal to consumers with poor credit histories. They promise, for a fee, to clean up your credit report so you can get a car loan, a home mortgage, insurance, or even a job. The truth is, they can't deliver. After you pay them hundreds or thousands of dollars in up-front fees, these companies do nothing to improve your credit report; many simply vanish with your money.

The Warning Signs

If you decide to respond to a credit repair offer, beware of companies that:

• Want you to pay for credit repair services before any services are provided;

• Do not tell you your legal rights and what you can do-yourself-for free;

• Recommend that you not contact a credit bureau directly;

• Suggest that you try to invent a "new" credit report by applying for an Employer Identification Number to use instead of your Social Security Number; or

• Advise you to dispute all information in your credit report or take any action that seems illegal, such as creating a new credit identity. If you follow illegal advice and commit fraud, you may be subject to prosecution.

You could be charged and prosecuted for mail or wire fraud if you use the mail or telephone to apply for credit and provide false information. It's a federal crime to make false statements on a loan or credit application, to misrepresent your Social Security Number, and to obtain an Employer Identification Number from the Internal Revenue Service under false pretenses.

Under the Credit Repair Organizations Act, credit repair companies cannot require you to pay until they have completed the promised services.

The Truth

No one can legally remove accurate and timely negative information from a credit report. But the law does allow you to request a reinvestigation of information in your file that you dispute as inaccurate or incomplete. There is no charge for this. Everything a credit repair clinic can do for you legally, you can do for yourself at little or no cost. According to the Fair Credit Reporting Act:

• You are entitled to a free copy of your credit report if you've been denied credit, insurance or employment within the last 60 days. If your application for credit, insurance, or employment is denied because of information supplied by a credit bureau, the company you applied to must provide you with that credit bureau's name, address, and telephone number.

• You can dispute mistakes or outdated items for free. Ask the credit reporting agency for a dispute form or submit your dispute in writing, along with any supporting documentation. Do not send them original documents.

Clearly identify each item in your report that you dispute, explain why you dispute the information, and request a reinvestigation. If the new investigation reveals an error, you may ask that a corrected version of the report be sent to anyone who received your report within the past six months. Job applicants can have corrected reports sent to anyone who received a report for employment purposes during the past two years.

When the reinvestigation is complete, the credit bureau must give you the written results and a free copy of your report if the dispute results in a change. If an item is changed or removed, the credit bureau cannot put the disputed information back in your file unless the information provider verifies its accuracy and completeness, and the credit bureau gives you a written notice that includes the name, address, and phone number of the provider.

You also should tell the creditor or other information provider in writing that you dispute an item. Many providers specify an address for disputes. If the provider then reports the item to any credit bureau, it must include a notice of your dispute. In addition, if you are correct-that is, if the information is inaccurate-the information provider may not use it again.

If the reinvestigation does not resolve your dispute, have the credit bureau include your version of the dispute in your file and in future reports. Remember, there is no charge for a reinvestigation.

Reporting Negative Information

Accurate negative information generally can be reported for seven years, but there are exceptions:

• Bankruptcy information can be reported for 10 years;

• Information reported because of an application for a job with a salary of more than $75,000 has no time limitation;

• Information reported because of an application for more than $150,000 worth of credit or life insurance has no time limitation;

• Information concerning a lawsuit or a judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer; and

• Default information concerning U.S. Government insured or guaranteed student loans can be reported for seven years after certain guarantor actions.

The Credit Repair Organizations Act

By law, credit repair organizations must give you a copy of the "Consumer Credit File Rights Under State and Federal Law" before you sign a contract. They also must give you a written contract that spells out your rights and obligations. Read these documents before signing the contract. The law contains specific protections for you. For example, a credit repair company cannot:

• make false claims about their services;

• charge you until they have completed the promised services; or

• perform any services until they have your signature on a written contract and have completed a three-day waiting period. During this time, you can cancel the contract without paying any fees.

Your contract must specify:

• the payment terms for services, including their total cost;

• a detailed description of the services to be performed;

• how long it will take to achieve the results;

• any guarantees they offer; and

• the company's name and business address.

Have You Been Victimized?

Many states have laws strictly regulating credit repair companies. States may be helpful if you've lost money to credit repair scams.

If you've had a problem with a credit repair company, don't be embarrassed to report them. While you may fear that contacting the government will only make your problems worse, that's not true. Laws are in place to protect you. Contact your local consumer affairs office or your state attorney general (AG). Many AGs have toll-free consumer hotlines. Check with your local directory assistance.

Need Help? Don't Despair

Just because you have a poor credit report doesn't mean you won't be able to get credit. Creditors set their own credit-granting standards and not all of them look at your credit history the same way. Some may look only at more recent years to evaluate you for credit, and they may grant credit if your bill-paying history has improved. It may be worthwhile to contact creditors informally to discuss their credit standards.

If you can't resolve your credit problems yourself or you need additional help, you may want to contact a credit counseling service. There are non-profit organizations in every state that counsel consumers in debt. Counselors try to arrange repayment plans that are acceptable to you and your creditors. They also can help you set up a realistic budget. These counseling services are offered at little or no cost to consumers. You can find the office nearest you by checking the white pages of your telephone directory.

In addition, nonprofit counseling programs sometimes are operated by universities, military bases, credit unions, and housing authorities. They're also likely to charge little or nothing for their services. Or, you can check with your local bank or consumer protection office to see if it has a list of reputable, low-cost financial counseling services.

Do-It-Yourself Check-Up

Even if you don't have a poor credit history, it's a good idea to conduct your own credit check-up, especially if you're planning a major purchase, such as a home or car. Checking in advance on the accuracy of the information in your credit report could speed the credit-granting process.

You're entitled to one free report a year if you can prove that (1) you're unemployed and plan to look for a job with 60 days, (2) you're on welfare, or (3) your report is inaccurate because of fraud. Otherwise, a credit bureau may charge you up to $9.00 for a copy of your report.

Credit bureaus usually are listed in the yellow pages of your telephone book under "credit reporting agencies." Three large national credit bureaus supply most credit reports: Equifax, Experian and Trans Union. You may want to contact each of them for a copy of your report.

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