Top 10 Signs You Need Credit Repair
Contrary to popular belief, credit scores are not truly set in stone. They can be bred with a little time and the proper techniques. Some people don’t even realize they should be trying to repair their credit. If you have one or more of these 1 signs, you should look into credit repair.
1. Recent credit card decline
If you have recently applied for credit in the form of a loan, credit card, etc., and been denied, there is a good chance that you can use some credit repair work. credit. There are other explanations, such as an insufficient source of income or too many recent accounts, but in general, bad credit is the number one reason for denials.
2. Your bills are in someone else’s name
If your electric or gas company has someone else’s name on the bill because your credit history isn’t great, you definitely need to look into repairing your credit. You shouldn’t have to worry about which name is on your invoices, because it should be yours. The sooner you can fix your credit and get your name back on your bills, the better. That way, you won’t have to worry about it, and the other person whose name is on your bill won’t have to worry about being held liable.
3. Debt collectors blow up your phone
Although there are many scams that involve people pretending to be with debt collection agencies if you get calls about a debt that shows up on your credit report with one of the major bureaus you should look into your options to fix it. Depending on the situation, not only will it probably save you money, but it can also get rid of so many annoying phone calls.
4. No one will co-sign your loans
If your friends and family aren’t willing to co-sign your loans, that’s a very strong sign that you need to get your credit repaired. Having to rely on a co-signer is usually enough of an indication for you to consider repairing your credit, but not being able to get a co-signer is certainly a clear signal.
5. Potential employers turn you down after credit checks
Surprisingly, few people know that their employers often do credit checks before hiring someone. If you’ve had trouble finding a job recently, your bad credit history may have been a factor. Check your credit report and work to repair your credit score and hopefully you will have more success getting a job in the future.
6. Landlords deny your requests
Like employers, many landlords will review your past credit as part of your application. This makes sense because if someone has a lot of debt they haven’t paid, they’re generally less likely to pay their rent on time, if at all. Having bad credit can restrict where you live, which can cost more, take more time, and cause additional stress in your life.
7. You don’t check your credit report out of fear
When was the last time you checked your credit report? If it’s been a while, why is it? Many people who worry about their bad credit will go a long time without checking their reports. Unfortunately, even if you don’t watch it frequently, the problem doesn’t go away. Instead, you should repair your credit and feel proud when you check your score often.
8. Your credit score doesn’t start with a 7 or an 8
Scores below 720 are generally considered subprime, where many US scores fall. If this is you and it’s caused by defaults, unpaid debts, or any other negative mark on your credit report, you should consider repairing your credit immediately. Good credit can make a huge difference in where you live, how much money you earn, and the interest rates on the debt you have.
9. Your interest rates skyrocket
Have you recently received letters from your credit card companies regarding changes in your interest rates? If so, it’s probably due to your credit score. Most credit card interest rates are based on your credit score. The lower the score, the more risk the company takes in lending you money, therefore, they charge you more on any balance you carry. The difference can be huge, as people with good credit can get cards with rates as low as 8% APY, but people with bad credit can end up paying almost 30% APY.
10. Your credit cards are closed right after you pay for them
A technique often used by credit card companies when they determine that you pose some kind of risk is to reduce your credit limit as you pay off your debt to them. When your debt is fully paid off, they will either leave you with a low limit, such as $300, or close the card completely. If this has happened to you, it means that the company considers you to be at high risk of default due to your credit history.
If you found yourself on this list, especially if several points describe you, you should start by reviewing your credit report. If something is hurting you, consider contacting a credit repair agency to help get you off the hook and hopefully help you never be on this list again.