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You sign up with a credit repair company it can be big or small, but do you get what you pay for?
Many people don't know, they go by the hype the advertisement thinking that In a month the credit will be good.., NOT!.
Most of the time the credit repair companies if you don't know will pick the easiest items on your report to remove 1st, its the string along. You get something back showing some removals and you think WOW! they removed items, what you don't know is they may have already been out of the statue of limitations anyway and should have been or must be removed.
A lot of people don't know how to read their reports anyway so they think this is wonderful, its not I fight everything. Is going to take time to remove items, sometimes you may need to settle certain ones. Credit repair is not easy, it takes time and if your not in it for the long haul don't even start. New debt can be a fight and may come down to settling. If you have already spoken to a collection agency you restart the debt and acknowledge from that date so thats another fight. Get in touch with someone that is in the fight for you not your pocket.
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This is something no one wants to think about, money gets tight you may have lost your job. Its always better to let the owner know what is going on, ask them not to file an EVICTION. (1) one because it will stay on your credit for 7 years, you can fight it with the statue of limitations at some point but its costly and hard to remove. (2) it will be virtually impossible to rent any where else or maybe in an area you want to rent in.
When you see it coming you need to contact your leasing manager or owner let them know what is going on and if you can get out of the unit before they file would be great. Ask them how you can pay the amount you owe within a certain amount of time, pack your stuff and move out. Remember when they file with the court you also pay additional charges which are court fees and it's going to be applied to your credit.
As well leave the unit as clean as possible so that your not charged extra, fix any holes in the walls, clean the carpet, stove, refrigerator, bathrooms and by all means take pictures of everything for your record's. This may also show up on your credit report but not as an eviction if you don't pay the amount that you left . Remember when you rented you are suppose to give a 30-60 day to move out so that they can re-rent your unit, you may be charged for that but ask to have it paid over time if so.
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When we start talking about credit repair you need to take a look at the whole picture. People think that they can remove all of the derogatory items off their credit and the score will shoot up. This is not necessarily so, let's stop and ask our self this.. if I have 6 pieces of credit and 4 or them are negative and we get them removed depending on what it is, its only going to move you a few points.
Credit has to have a History its like a plant, you need to water it and fertilize it and it grow. Credit is the same, you pay your bills on time and it grows. While items are being removed we start adding credit to help it grow, there are ways to do that. You can apply for a credit card and might need to get a secured card, or you can ask a family member to add you to their card to get you going.
There are on line places where you can purchase credit which they call a trade Line. What is a Trade line you ask? well its credit your purchasing that belongs to someone else that is willing to sell to you for a certain amount of time to get you where you need to be to purchase what ever item you need to acquire. So you do have choices, you can build you credit your self depending on what is going on in your like or try the short cut. Most people who take the short cut may not learn their lesson and want to just move fast through life never learning how to use credit, which one are you?
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Credit card and credit card debt are two different things, there are a lot of people who say they don't want a credit card and that's understandable. This is the thing, you need to know how and when to use your cards. Most people who are scared of them or shy away from them are either two things..
1. They had them and abused them or
2. Can't get one
Let's talk about the 1st one, people get cards and max them out on silly things especially if they are 1st time credit card users. I have seen a lot of kids go into debt with these cards fresh out of college its that 1st taste of freedom, they offer them at booths when kids are enrolling. Party time, your friends want to shop or party and why not.
Then we have the after effect, burnt that card up meaning maxed out, usually once you have one you apply for another and before you know it they are all maxed and your done. Now you need to get a secured card and the interest is high. The chances of you paying off that card is little to known, most start at 20% and above. Understand that you can ask any credit card company be it secured or not to lower your interest rate.
Do not and I mean DO NOT.. be afraid to ask them to lower your rate, if they don't do not close the card just apply for a card with either a lower interest rate or a zero interest if you can get it for a year, transfer your balance pay it off within the year, make sure before you do that ask them if you do not pay off the balance within the year what would your interest be on that card. Always and I mean always weigh you options. What do you think as well?