My Credit Check is the frequent word that comes around our mind and heart and even disturbs us a lot or little bit basing on our financial conditions. Having debt is common now a days and it even turned as so common in life that people started taking it for granted and no one treat debit as a sin.
Credit is the way of getting the item and pay it later as per convenience.You need not pay the money at a time and do that in installments.You need to pay extra interest for using that money.Are you going to get the credit card and asked loan depends on what is your credit score.It is a three digit financial number which is decided on different factors like credit worthiness and payment history.
What is the way of measuring the credit worthiness depends on the place where you are living.The government will decide the way of measuring it.In United States of America,it is a three digit number and it is considered as good when it is above 700.
The life style that we want, the parties that we enjoy on week ends, the luxuries that we enjoy away from home, the new electronic fancy gadgets that we own above our financial positions are some of the reasons for excess debit that we enjoy ( sorry to say enjoy and if not bother) .
Having money to and commitment to pay it for some one for some investment or loan is all right and excess commitment is the concern and here we are going to talk further about it and how to check your credit and keep in control .
The consequence of not paying the debts is very serious and hard and if I start saying them no doubt you will be quitting from this blog. Yes the picture is black to that extend.It is the harsh truth that you will be denied new credits,your car will be taken back and you may be even asked to vacate from your home and feel like close to hell. If enough care is not taken to pay back the loans that you have taken you will fall into bankruptcy and the experience is going to be painful.
Some people use the ideas like changing to the new address with out informing the bank, opening bank accounts with out informing about previous bank details . These are some delaying techniques and the pity is bank will be keep on building the interest on it and one day they will find you and compel to pay the due. Rather you can choose to pay the minimum and your credit history will be good enough and you will get better credit score.
If you are financial emergency there are some options before you like
1.Pay minimum payments.
2.Request a VALIDATION OF THE DEBT under the Fair Debt Collection Practices Act.
3.Ask a payment plan with the creditor.
4. Look for legal advice.
5. Get the help from family and friends for short term relief.
6.File for bankruptcy as a lost resort.
7.Work out a come back plan.
To Check your credit history and credit score with cool heart we shall assess your assets and liabilities and draw a balance sheet. Analise it and take some decisions. You can have debt which is necessary like mortgage,car for travel comfort with less possible interest and do remember that you shall save money for retirement and college tuition fee kind of requirements. Have a cushion for six months in the event of unforeseen job losses and safety.
Different kind of debts:
Secured loans where you give some control over the item purchased to the creditor as a guaranty and you have to give it back ( like a car loan) when you are unable to pay back as promised.
Unsecured loans are like credit card accounts where you have not given any security for the loan and creditor give you the credit basing on his pre defined conditions and do understand that you have to pay more interest for unsesucred loans.
Student loans are given by some one with federal back up and guaranty and as named they are given to pursue higher education and you can file a bankruptcy for this kind of loans and it is one of the reason for lenders having a lot of unpaid loans when unemployment prevails.
Mortgage is the loan given by bank to buy a house and you can not sell it without clearing that mortgage.The bank has a right to take it when you are unable to pay the loan .
Your Credit Score and credit history tells you how you are paying the debts that you have and they will be better if you spend your money wisely and shop with caution and patience. Know when each bill come to you and pay it on time to avoid late fees. One more important point is to update your address when you got a change and it shall not be the reason for paying the bill lately and pay fine.
The simple rules of buying are
1.Check the price tagged to the item and billed amount and weather they are same or not.
2.Look for errors in billing.
3.When you give your credit card see that the swap is done before you and no one is coping your number.
4. If dispute comes with buying look for mediation help and resolve your problems. Even arbitration a legal process of solving the disputes can help you to get the value for the money that you spend in the shopping goods.
5.Online buying has to fulfill their promises made on the advertisements and they are legally binding and they have to ship the goods on time mentioned.
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