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Myths about Bad Credit Reporting

March 20, 2009

Author: William M. Davis

Today I feel like talking to you about one of the least liked and most avoided of topic on bad credit which is…. Bad Credit Reporting. Without any doubt it is a real nightmare for everyone. Do you still believe in myths about bad credit reporting? Come on here is a chance to know what is true and what is not.

Credit report requests do not cause harm: The more the number of request for credit report of an individual the greater will be the chances of denial of credit.

Paying off collection accounts will help the credit report: Collection or charge of accounts will be shown in your credit report for seven years, hence the entire history will be known to others even if it is paid or settled.

Information on credit report cannot be changed: In reality the opposite is true. Any inaccurate fact, details which cannot be verified within 30days and information which the creditor is responsible for can be altered.

Credit report agencies are government authorities: They are just business houses who buy and sell information to make a profit. They have no authority and are expected to comply with certain government laid standards.

Bankruptcy is nothing but starting afresh: It is never so. Bankruptcy indicates negativity in the credit account. The court record is always attached which will always stay and is indeed a detriment for future credits.

Credit repair process is a complicated one: No doubt an attorney’s assistance is always helpful in setting things straight, but it is not always the case. You can also do the repair provided you are familiar with the federal laws and regulations.

Removing truthful information from the report is illegal: It is stated that the credit reporting agency is not required to remove any accurate information from the file unless it is outdated. It does not say it cannot.

Credit repair is not legal: Fact is that it is very much legal provided in accordance with federal laws. Creating a new account or a new identity is illegal.

Credit repair does not work: Fact is that number of individual have benefitted from credit repair. It is nothing but disciplined spending and borrowing which should always work.

I might seem to be a bit overconfident but I will take my words as bible for credit reporting. If you still feel I have missed on some important concerns… don’t forget to leave your comments to share with us.

- The most useful piece of learning for the uses of life is to unlearn what is untrue. ~Antisthenes

Categories:

Bad Credit , Credit Reporting

13 Responses to “Myths about Bad Credit Reporting”

Jennifer Baxt says:

March 21, 2009 at 8:19 am

I think your list about the myths of credit repair is accurate, but what it is lacking is how to do credit repair. Yes, you can do credit repair yourself or you can hire someone to help you. It is time consuming and even frustrating at times, but the results are worth it. The credit agencies are as you state not part of the government and they are out to make business. They don’t take the time to verify information when it comes to them so it is put onto your report easily. Now you would think it would be that easy to get off. Wrong, much harder to remove than get put on.

You are entiled to your credit reports each year, not your scores you always have to pay for them. Get them each year and go through them. No doubt you will find information on there that is wrong and you will start the process of findine out just how hard it is to remove.

[Reply]
No Credit Check Student Loans: Opportunity for Students to Study Further Who Have Bad Credit Score | Online Educational Resources says:

March 22, 2009 at 7:52 pm

[...] Myths most Bad Credit Reporting | Bad Credit Blog [...]
William M. Davis says:

March 22, 2009 at 11:47 pm

@ Jennifer Baxt: Thanks for your detailed comment and explaining Credit Repair in depth. You are right about it and that motivate me to do a future article on credit repair soon.

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FinancialServicesRenoNV says:

March 28, 2009 at 4:37 pm

Greetings all members,

I would just like to say hello and let you know that I’m happy to be a member – been a lurker long enough

Hope to contribute some and gain some knowledge along the way….

[Reply]
William M. Davis says:

March 29, 2009 at 11:36 pm

@ FinancialServicesRenoNV: Welcome aboard to Bad Credit Blog . I look forward to your comment & expecting to get more of them in future too. Feel free to tell me what more you want to see in this blog.
*Cheers*

[Reply]
Danielle says:

April 6, 2009 at 8:20 pm

Very nice, is there a section to follow the RSS feed?

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William M. Davis says:

April 6, 2009 at 11:43 pm

@ Danielle: Oh yes, Check the top right menu to get yourself registered to RSS feed.

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August 10, 2009 at 3:59 am

You need to fix your credit report if you are among the thousands of consumers turned down each year for credit cards, mortgages, student loans, other important loans and employment and housing opportunities, due to inaccurate information in their credit report.
Mcwen 20 says:

December 19, 2010 at 9:11 am

Cool story it is without doubt. My teacher has been searching for this tips.

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