Even if we do everything we can to construct a perfect credit score, whether we make on-time payments, have a variety of different credit cards, and being mindful in keeping our credit usage low, some mistakes and inaccurate values are still inevitable. Here are a few common mistakes and how to spot them.
Verify your Credit Report
Statistics show that two in five Canadians are having problems borrowing or applying for a mortgage loan from prime lenders. This is due to their creditworthiness being lower than they actually are.
We can only fix this credit issue problem by determining and identifying these common errors and mistakes on our credit history that could significantly impact our credit scores.
In order for you to gain access to your personal credit report, you can get an annual credit report from a credit bureau. This service comes with a charge and is only a one-time use for the present year or a year’s cycle. It is perfectly fine to request from different credit agencies at the same time or separate them months in between.
While you can get a credit report for a fee from annual credit report, you can also get it for free by signing up on Borrowell or Credit-Karma.
Personally, check for credit report errors thoroughly. Create a list so, you will have a greater picture of what happened and what caused it.
If you want to check your credit score, you can send the snapshots or PDF files to creditrepairnow.ca and they will review the inaccurate information. They’ll also be sending you a free quotation via e-mail and schedule you for a phone conversation with a reputed Credit Specialist. All for free, plus it gives you steps on how you can improve or boost it.
This includes your misspelled name, changed address, contact information, and date of birth. This can also include when accounts and credit files that a person owns coincidentally have the same name as you. You should also check if your credit card number is correct the moment you received.
The worst part is when your credit cards are stolen. You need to contact the bank. This may result in one outcome like identity theft that takes a lot of time and longer process to fix. In this case, you’ll be needing a credit repair specialist that disputes these type of issues in his/her years to repair it conveniently.
A thorough investigation on your credit report might lead to and discover a debt duplication. This means that debt information on your credit is recorded numerous times having the same value but different names or creditors as well as the types of transactions you did.
There are times that accounts are closed when they are supposed to be open. On the other hand, the exact opposite occurs; when accounts are supposed to be closed but left open in its current status. This also includes debts that are paid in full and do indicated payments weren’t made on time then they are recorded as late payments.
Negative information like bankruptcies, consumer proposals, judgments, and loan defaults that exceed the maximum of 7 years will make your credit score decrease. Lenders will look at you as a risk when applying for a car loan or a mortgage loan. You most likely will be less qualify on lower interest rates or not be able to qualify for the worst case scenario.
Incorrect credit values and credit limit amount, as well as insufficient fund, cause credit card declines. We should always monitor if we have incorrect financial records.
Regularly monitoring errors on your credit report saves you from suffering with a poor credit score. It might also save you from becoming a victim of fraud. You can be always confident that you are financially capable of borrowing money from lenders while getting in the habit of correcting necessary financial mistakes.
Lenders will stop looking at you as a risk, when the information is accurate. It certainly takes time checking your financial health, but it outweighs the possible problems that may come along your credit file. Maintaining it well as a tool for an asset will solve your personal issues.
Unless you want an easy and convenient way, you should check creditrepairnow.ca for tips and advice. They can also increase your credit score and give you the instructions you need to use it wisely.