Get Your Credit Score Under Control

Getting your credit score under control could be the most important thing that you could do in the next couple of months as it controls so many aspects of your life and determines whether you are able to continue to live the lifestyle which you have become accustomed to. Your credit score controls almost every aspect of your life, especially when it is below average or ‘sub-prime’. But there are things which you can do yourself in order to improve your situation in this regard.

The current global financial crisis has woken us all up to the fact that we cannot simply continue to use debt to lift our standard of living continually without it having an effect on our lives bong da truc tiep . Many of us are now struggling with excess debt which we acquired to “enhance” our lifestyles, but now it has become an albatross around our necks because our circumstances have changed dramatically.

If you do find yourself in this situation, you may not be aware that your credit score rating has an effect on how the banks treat you with respect to the interest rate that they charge you as well as whether they are prepared to lend you money to buy a house or a car. The one thing that we must all keep in mind is that if we do have debt which has become a burden due to a change in our employment circumstances the last thing we should do is obtain further credit in order to pay off existing debt, this will only make the situation worse.

There are a number of ways in which you can improve your credit score yourself, secrets that the credit industry and banks would like to keep from you, so that you will be forced to pay higher interest rates on your existing debt. If you are struggling with a bad credit rating and high interest rates, then it is essential that you discover what you can do to improve your situation, improve your credit rating and take charge of your debt situation.

Just when you finally got your credit score under control and your debt-to-limit ratio was under 30%, now you have another number to worry about. It’s your IDScore.

‘What is an IDScore?’ you ask. Well, it’s a relatively new number that the credit bureaus have come up with to make sure that you are who you say you are. It is promoted as a tool to predict the likelihood of Identity Theft. The score ranges from 0 to 999, and this is one score that you want to be low. Identity scores are calculated from information in your credit report – yet another reason to make sure that you know what is in all of your credit reports and that the information that is there is accurate!

Identity scores are based on how certain personal information is used in credit transactions or for credit applications. Things that will make your IDScore lower (Better) are: stability in address, living in a single family home where your mail only comes to you not a multiunit mail box, not changing your name when you marry or divorce, and having a local cell phone number as your contact number on an application.

It has been found (Experian did a survey) that those with good credit scores get approved for credit more easily. This makes them more likely to be a victim of identity theft because their scores create fewer barriers to approval by someone who is trying to steal that identity.

If your IDScore is too high when you apply for credit, you will be asked ‘challenge questions’ very similar to those asked when you tried to get your credit report from annualcreditreport.com. I don’t know about you, but I found the answers to some of those questions tough to remember. I know I could not have given the name of my first mortgage company (over 25 years ago!) if I had not had access to my own credit report. If I had not been able to prove my identity by answering challenge questions, I might have been asked to go to a bank or to fax in proof of identity like a passport or drivers license. How inconvenient and what might this do to online transactions?

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