Sponsors |
|
|
|
|
Home Buyers Can Take Advantage of Understanding Their Credit Rights
Lee Bell 
Lee Bell
Dynamic Page Solutions
The Fair Credit Reporting Act, or FCRA, was made into law by Congress to make sure that the information on your credit report is legitimate. This Act gives you, as the consumer, many rights that you may not be cognizant of. This is important as a homeowner or as a potential home buyer because your credit report will determine whether or not you qualify for a loan. If you are eligible, the information on your credit report will serve as the foundation for what interest rate the mortgage lender offers you. If there are mistakes on your credit report, you could be rejected for a loan or offered a higher interest rate than you should receive. Mistakes on your credit report can be costly.
Unfortunate Mistakes Frequently Happen on Credit Reports
It is a lamentable truth that mistakes occur quite often on credit reports. Each of the three credit reporting bureaus report nearly one billion entries per month. With all of this data passing through, it is easy to see that the situation is rife for trouble. Some of the reasons that mistakes are made include clerical errors. Perhaps that nice girl at the department store entered your application incorrectly. Or, maybe the loan officer's executive secretary misread your social on your loan forms. Sometimes, we use different versions of our names to apply for different things.
Homeowners Must Take the Initiative Regarding their Credit Report
When you discover that there is a mistake on your credit, or if you suspect that there might be a mistake, it is important to employ the rights that FCRA gives you as a consumer. First of all, a lender must let you know if you have been denied credit due to your credit report. Next, you have the right to know what is on your credit report anytime you what to see it. You also have the right to dispute information that is incorrect on your credit report. According to the law, any information that is not correct on your credit report must be updated immediately. You credit report can not contain outdated information, and you also have the right to dispute wrong information with the original creditor. Lenders and other financial institutions must obtain your permission before they can access your credit report.
It is essential to realize that credit reporting agencies report and are not accountable for whether the information on your report is accurate. That responsibility lies on the consumer's shoulders. When you begin a dispute with one of the agencies, keep careful records and always make sure you have a copy of the evidence that you submit to them to dispute the item. Also, look into all three agencies for inaccurate information and start a dispute with all three agencies for each item that is incorrect.
Perseverance is the Optimum Way to Protect Your Credit Report and Good Name
Please know that you may have to dispute information several times. Keep records of these disputes and any supporting evidence you use. It is always a smart idea to dispute information at all three bureaus at the same time. These companies do not compare notes on reports and there is no other means of ensuring that all inaccuracies are taken care of. Know your rights and specifics about how long particular data may stay on your credit report. Be vigilant, and you will be able to have confidence in your credit score.
For something affordable take a look at condos for sale in Goodyear, Arizona. If you are looking for a great property, you might want to try Glendale, AZ homes for sale with swimming pools.
Article submitted Tuesday, September 23, 2008
This article has been viewed 0 times.
Most Popular |
|
|
|