It would require some effort and could even be awful to attempt improving your credit standing if you're swamped with debt. A large number of debts can create a bad credit reputation and diminishes the chance of achieving approval for your loan applications. Everyone is quite familiar with the fact that the most influential factor that can persuade creditors and lenders to approve your loan or not is the credit score shown on your credit profile. If your credit score is less than ideal and causes you to worry about the outcome of your loan application, credit repair Houston may just be the solution you seek to have better credit scores and put your fears to rest. The facts and figures in this article provide an all-inclusive picture on why credit repair Houston assistance may be necessary to augment your credit rating.
Impact of Excellent Credit Score
Why does your credit score take such primacy to banks and lending institutions? The undeniable fact is people with low credit scores are believed to be “high credit risks” by most financial institutions. This is gleaned from studies done on delinquency rate within a certain population percentage in relation to credit scores; where results show that people who barely reach a credit score of 650 have a tendency to be delinquent in paying loans. And this is one of the main reasons why a very low credit score can either make the bank deny your loan application or if approved, you may be forced to pay interest that is much higher than the regular rates.
Accurateness of Credit Reports
It is generally acknowledged by credit repair Houston companies that credit scores are founded on information indicated in the individual’s credit report. Statistics show, however, that 3 out of 4 credit reports (about 79%) have faulty entries that can unavoidably harm an individual’s credit standing. Here are some more upsetting figures about credit reports:
• 70% have mistakes that are serious enough to cause disapproval of applications in car loans, mortgages and even credit cards.
• 54% of credit reports have demographical identifying personal information that either belong to a completely different person or are long-outdated, erroneously spelled, or simply false.
• 30% contain credit accounts that have long been settled by the consumer but are erroneously listed as still existing and open.
• 29% of consumers obtain disparate reports from each of the three major credit bureaus showing 50-point differences (sometimes even more) in their credit scores.
• 22% contain listings of the same loan or mortgage twice.
• 8% do not list positive entries on major credit, mortgage, car loans and other accounts that may demonstrate the credit credibility of the person.
To top it all, studies also show that there are about 50 million individuals or approximately 25% of the population that do not have sufficient the usual credit data to even get a FICO score.
Credit Card Anguish
Despite the city being among those that have low cost of living, low cost housing, as well as low unemployment rate, data from credit repair Houston companies also show that 13.6% of the overall income of average households go to credit card companies. The median household income is $53,715 against average credit card debt per household calculated at $7,302.88. Credit card debt is also one of the foremost causes of filing for bankruptcy; surpassed only by medical problems and unemployment or job loss.
Marvelous offers of quick credit repair can be very tempting, but they can also be hugely annoying when results are not obtained because the bleak reality is no specific result at any particular given timetable can be completely guaranteed by anyone. Improving your credit score may take some time and effort. There may be different results depending on how severe the case is; thus, even reputable credit repair Houston providers can only give you a skeletal framework of the duration as well as expected outputs based on long experience and from past cases. In most cases, however, some progress becomes noticeable within 60 days and an average of more than 25% removal of negative entries is often attained by the third month. For the most part, credit repair of between 80% and 85% is attained within a 12-month period.
Given the above facts and figures, procrastination is not an option. If you are determined to settle your debts and enhancing your credit score, you have to act right away and find a suitable credit repair Houston company to assist you. Be conscious of the value of time, as the 4-year limitation of the Texas Statutes of Limitation (SoL) clearly states that these types of debts can stay on your credit report for four long years, starting on the day the credit was incurred. If you expect your credit problems to disappear of their own volition, it won't happen; you absolutely can't afford to just sit on the sideline.
We have trained counsellors with our firm who will give you independent advice based on your circumstances. Here you can find highly experienced Credit Repair Specialist who can solve your bad credit issue and assist you as per your requirements. Credit Repair Agencies
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