How do You Start To Rebuild Your Credit

There are several factors to consider when you decide to Rebuild Your Credit. Making sure credit is readily available to you can be a life saver in good times as well as bad times. It's imperative for you to know what is going on with your credit worthiness and how the credit reporting agencies view and rate you.

If you understand the dynamics of how credit is judged, you'll have the information to help you stay on top of it all.

Credit Reporting Agencies

Most people have no idea about these companies. What do credit reporting agencies, credit bureaus, credit monitoring services do? There are three Bureaus:

• Equifax
• TransUnion
• Experian

We've all heard the commercials on television about how to get your free credit report. Oh yes and unless you live under a rock you should be aware that the information is free. Well yes, but not in every situation.

Each of the above Agencies offer access to your credit report from each bureau for different prices or free depending on the access you request.

Under the FACT Act amendments to the Fair Credit Reporting Act, you are entitled to one free credit report from each of the three main credit reporting companies in a 12-month period. If your identity can be verified online you can access it online, otherwise, you'll have to do it by mail.

What's in Your Credit Report

Each credit reporting agency may format and report information differently, credit reports contain mostly the same kind of information.

• Who You Are
• Name
• Address
• Social Security number
• Date of Birth
• Employment Information
• Accounts
• Creditor
• Type of Account
• Term of Account
• Credit Limit
• Loan Amount
• Account Balance
• Payment History
• Credit Inquiries on your Report
When you are seeking credit, you are asked to authorize your lender so they can view your credit report. These are Voluntary Inquires and they appear on your report. Contained is a list of everyone who has accessed your credit report over two years. The report also lists Involuntary Inquires. These are lenders who order your report so they can accertain if they want to make you a pre-approved credit offer, usually over the phone or in the mail.
• Public Records and Collections
• Bankruptcies
• Foreclosures
• Law Suits
• Wage Attachments
• Liens
• Court Judgments

As you can see, the very first step you must take to Rebuild Your Credit is to get all three reports. You will need to go through them to make sure the information is accurate.

This service is free once every 12 months and it is a good idea to get them annually. If there are any discrepancies in the reporting of your financial picture, this gives you a chance to get it straightened out and resolved.

Mortgage Rates Down | The Right Time To Refinance

The recession is going to end soon and the economy is showing signs of leveling off according to the sentiments voiced by central bankers from all over the word on Friday so it may be a good time for refinancing mortgage loans.

Mortgage rates for 30-year fixed loans also fell this week to the lowest level since May according to a report from Freddie Mac. Many people are keeping an eye on mortgage refinance rates especially if they have high credit card debt or outstanding loans at very high interest rates.

Fluctuating interest rates on mortgages show that there is a measure of confidence returning to the economy in general. This does not mean that we have swung back into a boom and you should run out and refinance loans without taking a close look at your options.

Caution is never misplaced in this type of economic environment but when it comes to refinancing your mortgage, it may be a wise decision if the end result is a lower monthly payment and it substantially reduces your exposure.

There is still a high level of debt hanging around and any refinancing today which enables you to escape financial hardship by consolidating outstanding loans, will pay off for you tomorrow.

One of the main things to understand when consolidating your finances is not just your monthly payment. You must make sure the total amount of interest you will pay over the term of your refinanced mortgage represents a saving.

What this means is, if you have credit card debt which is at a high rate it may be a no-brainer to consolidate. If your car loan is is at a low rate it might not be a smart idea to pay it off from money obtained from a refinance of your home mortgage.

Refinancing your mortgage can usually work to your advantage if you are in a good equity position and you take care to pay off any debt which in the long term still saves you money on the interest. Don't forget to do the math and consult your bank.