If you don’t pay on time then you have to Eliminate Credit Debt. When the month is longer than your income – one fact is obvious – it cannot continue for very long – you have to stop the rot.
CRAs, the credit reporting agencies are a central information base for all credit card companies and they receive millions of reports every day. If you are a few days late, it might remain a secret, but if you go over 30 days, they’ve got you. This info will definitely reach your credit report and your score starts to fall. It can take years to build a good score, but months, or even weeks, to destroy a good one.
Now the closely guarded secret. The info they receive and the info they input isn’t always correct! Yes, you read right – they make mistakes! They are human after all!
And, thank goodness, we have the right to challenge any information we believe is wrong!
You should check your report every so often. You can download easily and even get a free copy when you are denied credit. Check it carefully. If you don’t know how; take it to a trusted friend and ask for help. If there is anything there you don’t agree with – challenge it in writing. Explain your reasons, give the facts and the companies are obliged to reply satisfactorily within 30 days. If they don’t; you have the right to demand the negative (derogatory) info be removed and your demand must be posted in your report so others can see it.
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