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Monthly Archives: November 2015

Here’s where you start when rebuilding your credit.

 

open-sky-credit-card

 

I speak with many new clients each week that have been denied new credit accounts.  They’re frustrated that they have no where to obtain new credit with a low credit score to help rebuild good credit.

There are banks that will issue you new credit, you just need to know where to look.

There is one bank that will issue you a secured credit card without even checking your credit.  This bank is Open Sky Secured Visa .  There are banks that will deny you a new account even on a secured card, so Open Sky is a great starting point.

You will need to give a deposit of a minimum of $200 which will be returned after a few months of on time payments.  They can also increase your limit down the road as well with responsible use of the credit card.

A credit card is best used to pay off monthly.  When you carry a balance on your card it can lower your credit scores.  If you are going to carry a balance, it’s best if below 30% of the credit limit.

For more information on how to raise your credit scores, feel free to contact me direct for a consultation.

 

Jason Hall

President and Certified Credit Expert

Direct- 949.505.9971

Mobile- 808.633.5023

Fax- 866.567.8054

WWW.RAPIDRESCORECREDIT.COM

Collection accounts, to pay or not to pay..that is the question.

www.rapidrescorecredit.com

Collection accounts are unpaid debts that are typically sold from the original creditor to a 3rd party collection company at a fraction of the original debt.  It is the collection company that then not only tries to collect on the debt but also reports the collection to your credit report.

Most collection companies report the debt every month to the credit bureaus.  This process is called “re-aging” of the collection account.  What this means to your credit score, is that it is impacted as if it were a new collection account every month.  There are some cases where the collection company doesn’t re-age monthly and the collection account can become “dormant” not impacting your credit scores as much.

It is the dormant collections that can significantly lower your credit scores once paid.  This is due to the fact that the collection company will update the account to the credit bureaus to show it’s paid, and the new activity will lower your scores.

So when you review your credit report and note the collection accounts, it’s best to settle the collections that are recently “re-aged” on your credit.  By paying the collection it will not lower your scores, and only help in the long run as it stops the re-aging process.  As time passes the paid collection impacts your scores less.

For more information on how to remove your collection accounts from your credit report, please contact me direct for a free credit report review and consultation.

 

Jason Hall

President and Certified Credit Expert

Direct- 949.505.9971

Mobile- 808.633.5023

Fax- 866.567.8054

WWW.RAPIDRESCORECREDIT.COM