Dealing with Debt
Do you know what’s in your credit report and what affects your credit score? Becoming educated about credit can be a the first step toward changing or maintaining your financial well-being.
Your credit score can greatly affect your ability to buy a home, purchase a car, or even open a checking account.
But don’t worry — it’s never too late to learn how to use credit wisely, and start repairing your credit.
Do You Have a Debt Problem?
It’s important to recognize the signs of serious financial problems, such as:
- Over-reliance on credit cards for purchases.
- Getting calls from debt collectors.
- Spending money, but keeping it a secret from a spouse or loved one.
- Routinely applying for credit, even to the point of taking out check-cashing or title loans.
Know What’s In Your Credit Report
Order a free credit report once a year from the three major credit bureaus: Experian, Equifax, and Trans Union. Or visit Annual Credit Report to order all three. AnnualCreditReport.com is the ONLY authorized source to get your free annual credit reports under federal law.
For more information, visit the Federal Trade Commission.
Please note, obtaining your credit score is not a part of the free annual credit report, but the three bureaus have options for you to order your credit score for a fee.
Your Right to Dispute Your Credit Report
Once you have reviewed your credit report, the credit bureaus will provide you with a way to dispute information you feel is inaccurate. Whether you’ve paid on time or been late on accounts, you have specific rights as a consumer.
Ways to Manage Your Monthly Payments
- Contact your creditor if you are having a tough time making ends meet. Some companies will allow individuals to make payment arrangements.
- If you have a credit card, contact your creditor to ask for a lower interest rate.
- If you’re considering debt or credit counseling, learn more about your options before deciding on a reputable provider.
Contact the Goodwill® in your community to see what financial services they offer, and visit RECOVERY.GOODWILL.ORG to learn more about programs for homeowners in distress.
RELATED LINKS
My FICO (Fair Isaac Corporation) has more information on credit scores and information on credit reports
