Collections - A collection account will lower your credit score and can generally stay on your credit report for up to seven years. Often, a collection entry will even keep you from getting a mortgage or auto loan. Fortunately, it is possible to remove collections from your credit report.
Inquiries -Hard Inquiries or Hard Credit Pulls, can potentially have a negative impact on credit scores.
Errors on you Credit Report!
Make sure that you recognize the information on your credit report including your personal information, such as names, addresses, Social Security Number, accounts and loans.
Take note of any errors, we'll dispute them in later steps!
How are credit scores calculated?
Payment history (35%): Whether you’ve paid past credit accounts on time
Amounts owed (30%): The total amount of credit and loans you’re using compared to your total credit limit, also known as your utilization rate
Length of credit history (15%): The length of time you’ve had credit
New credit (10%): How often you apply for and open new accounts
Credit mix (10%): The variety of credit products you have, including credit cards, installment loans, finance company accounts, mortgage loans and so on
Rating of Credit Scores
Very poor 300-579
Fair 580-669
Good 670-739
Very good 740-799
Exceptional 800-850
