Monday, August 3, 2015

Things That Effect Your Credit Score

There are three credit reporting agencies that gather information from creditors on your credit “behaviors”, A.) Trans Union 2.) Equifax 3.) Experian.  It’s well known that simply paying your obligations in a timely manner (never 30 days or later) is the number one way to keep your score in good shape. Items that lower your score are late payments, high debt on credit card and lines near or at limits, new loans, judgements, cancelling long established credit cards that had excellent prior pay histories, tax liens, shortfall sales of property and the number one score killer, bankruptcy.  Credit “Inquiries” minimally lower your credit score and only in a significant way if numerous inquiries are initiated in a very short time period (auto dealers are notorious for having numerous credit reports pulled when they shop your credit to several lenders at the same time).  In general, a Credit Score over 700 is required by most aircraft lenders if you’re in the market for an aircraft loan. Credit data stays on bureaus for seven years in most cases and ten years for bankruptcy data. You may, by federal law, obtain a free copy of your credit score from any of the three credit reporting agencies, once a year and any time you have been denied credit and a credit bureau was pulled. Website addresses for all three credit reporting agencies: ,