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Credit FAQ

A credit score is a number assigned to a person that indicates their capacity to pay back a loan. A high credit score means that the person is financially responsible and is likely to pay back their loan. A low credit score suggests that a person is not expected to pay back their loan on time or at all.

A credit report is a record of a borrower’s repayment of debts. It includes their entire credit history from several sources, such as banks, credit card companies, collection agencies, and governments. 

There are two reasons why you may not have a credit score. 

  1. You don’t have a credit history
  2. You’ve had a credit account for less than six months

Five factors affect your credit score. These factors include:

  1. Payment history
  2. Credit utilization
  3. Length of credit history
  4. New credit accounts
  5. Credit mix

Most creditors report to the credit bureaus every month. However, they can report data at different times throughout the month. They also may report to one or two out of the three credit bureaus. 

Because credit bureaus add new information to your credit report once it’s reported to them, your reports are continually evolving. Once your credit report updates, the new data will be reflected in your credit score. 

The credit score range is between 300 and 850. 

A good credit score is 700 or above. A score of 800 is considered to be excellent.

A bad credit score is a score between 580 and 669. A score between 300 and 579 is considered to be very poor.

You have three credit scores from each of the three major credit bureaus – Equifax, Experian, and TransUnion. 

Your credit score is determined by five different categories of information, including:

  1. Payment history
  2. Credit utilization
  3. Length of credit history
  4. Recent credit activity
  5. Overall credit capacity

The three main credit bureaus – Equifax, Experian, and TransUnion – calculate your credit scores based on their proprietary models. 

You can request a free copy of your credit report from each of the three credit bureaus – Equifax, Experian, and TransUnion. Or, you can call The Credit Repair Team, and we can show you all three of your credit scores quickly!

You can have a credit score without a credit card if you’ve ever taken out a loan, fallen behind on bills, or had rent payments reported to the major credit bureaus. 

Checking your own credit score won’t lower your score. However, if a lender or credit card issuer does, it might lower your score slightly.

On average, credit repair takes between three to six months. The number of inquiries made on your credit report and the type of items disputed can affect the length of time that it takes to repair your credit.

Make sure to pay back as much debt as quickly as possible. You may not see results for a few months, but at least you’ll be on the right track towards improving your credit.

  1. Payment history
  2. Credit utilization
  3. Length of credit history
  4. New credit accounts
  5. Credit mix

Yes, you should monitor all three credit bureaus so that you can stay protected against fraud, report errors quickly, and get a clear picture of your financial health.

As you consider credit repair with The Credit Repair Team, consider the price you’re already paying for your imperfect credit. Below are just a few examples:

Credit Cards: Most, if not all, prime credit cards are entirely out of reach to consumers with bad credit. The few credit cards that are available require the following:

  • High recurring monthly fees
  • Low credit limits
  • High-interest rates 

Also, in many cases, they don’t report positive credit activity to the credit bureaus.

Automobile Financing: If you’re making payments on a car, you’re probably paying between $1,500 and $5,000 more due to higher interest rates just for having bad credit. By the time you pay off the car loan, you will most likely even be upside-down on the vehicle.

Home Mortgage: Bad credit in auto financing can hurt, but it is nothing compared to the cost of bad credit when a home is involved. 

You’re paying through the roof for bad credit now, whether you want to or not. Isn’t it time you invested in good credit, a reliable car, the future home of your family, and your financial freedom?

I’m sure you’re asking yourself, is it worth using a credit repair company? Here is why the answer is yes.

Most consumers do not have the proper knowledge of credit to dispute their negative items properly. There are laws in place to protect you and regulate the credit bureaus.

These agencies make sure that the reported information is in-fact correct. There are also statutes of limitations (time limits) for each account to be reflected on the credit.

Apart from knowledge of the laws, most people do not have time in their busy schedules to worry about repairing their own credit. By hiring The Credit Repair Team, you are freeing yourself of another burden on your time and are allowing yourself the freedom for other priorities in your everyday life.

By investing just a small amount into credit repair, you can help save yourself thousands of dollars as well as an added headache.

I’m sure you’re asking yourself, is it worth using a credit repair company? Here is why the answer is yes.

Most consumers do not have the proper knowledge of credit to dispute their negative items properly. There are laws in place to protect you and regulate the credit bureaus.

These agencies make sure that the reported information is in-fact correct. There are also statutes of limitations (time limits) for each account to be reflected on the credit.

Apart from knowledge of the laws, most people do not have time in their busy schedules to worry about repairing their own credit. By hiring The Credit Repair Team, you are freeing yourself of another burden on your time and are allowing yourself the freedom for other priorities in your everyday life.

By investing just a small amount into credit repair, you can help save yourself thousands of dollars as well as an added headache.

We can agree this is one of the most commonly asked questions for anyone with bad credit.

Here’s the lifeline of derogatory items that can be found on your credit report:

  • Late Payments: 7 years from the late payment date
  • Foreclosures: 7 years
  • Collection Accounts: 7 years and 180 days from the date of delinquency on the original debt
  • Short Sales: 7 years
  • Bankruptcies: 10 years from the filing date; 7 years for Chapter 13 cases
  • Repossessions: 7 years
  • Judgments: 7 years if the judgment has been paid. If unpaid, potentially longer
  • Tax Liens: 7 years after they are paid
  • Charge-Offs: 7 years from the date the account was charged off

If you have negative information on your credit report, you can see some significant changes to your credit scores as we work to fix them.

Credit reporting agencies must respond to disputes within 30-45 days, which is much shorter than the years-long wait you’ll face with negative information. 

Let us remove those derogatory accounts in months, rather than years and help you meet your financial goals now rather than later.

We’re here to help every step of the way