We all want to achieve financial well- being, and many of us have to struggle to achieve this. Your credit report and credit score play an important role in your financial well-being. Your credit-related information is reported to the following three giant credit bureaus:
These three credit bureaus get information on your credit cards and loans. If there is a lot of negative information on your credit report, you will have a bad credit score. You need to have a good credit score to achieve financial well-being. You can hire one of the top credit repair companies that can help you in removing inaccurate information affecting your credit score. Credit repair services are the best option the credit report industry offers for repairing bad credit. If you want to count on a company offering the best credit repair services, make sure that you are not misinformed of the credit repair industry.
You might find someone promising to create a new identity for you. Stay safe and work with a genuine specialist or a company having a good reputation in the credit repair industry.
Let’s see the top five facts about the American credit repair
35% Adults Have A Report of Debt
The average debt an American has to pay is $5000. Let’s multiply this number by 77 million (American population). $385 billion, it’s a big amount. In addition to car and mortgage, debts in collections include credit card balance as well. Medical utility bills having over 3 months due are also included in debts in collections.
A free annual credit report
Getting and reviewing credit report is the best way to identify and correct errors in the credit report. If you know how to analyze credit report, you can save your credit score from going down. However, some people don’t review their credit reports. And, when they apply for a loan or credit card, it’s too late. The credit score has already gone down. In case you don’t know, you can get a free copy of your credit report from all the three credit bureaus once a year. Don’t skip reviewing your credit report. If you can’t review it, get it reviewed from someone offering the best credit repair services.
1/4th of disputes are related to collections
Even when you don’t want to be in this situation, sometimes circumstances are not in your control. According to the Consumer Financial Protection Bureau, in the year of 2011, credit report companies solved around 38 million items in credit files of consumers. The bureau also found that 40% of the disputes were in debt in collections.
Most information comes from large companies
76% of the data credit bureaus collect comes from hundreds of large companies such as The Bank of America. These companies are called data furnishers. So, you are not the only one responsible for your credit information.
Your FICO score is made up of the following five factors:
- Payment history
- The amounts you owe
- New credits
- Length of credit history
- Credit mix