What you should know about your credit score

How is your credit?

 This is a question that many consumers do not pay much attention to until they want to purchase an expensive  item. All they know is that they have a credit card and once a month, the bill comes and they pay a portion of it. They are not aware of loan to value of a credit card.

I would suggest that you take time out to see what your credit score is. As a consumer you should also know how to read your credit report. If you find discrepancies in the report you should be aware of your right to challenge any incorrect reporting.

You must be wondering where can you get a copy of  your credit report, actually you are entitled to a free credit report from the credit reporting bureau once every twelve months as per the federal trade commission.

There are two types of credit reports one is considered a hard inquiry and the other is considered a soft inquiry.

The hard inquiry is when a company or someone other than yourself asks to see what your credit score is for the intention of lending or extending credit to you. The number of request within a given period can affect your score. This request may stay on your credit report for up two years. This is why it is very important to know who is inquiring about your credit.

The soft inquiry is when you, yourself ask for the copy of your report to review what is on it. Be aware that you have the right to ask for a credit report at any time, when  someone denies you credit at no charge to you or once every twelve months for free

Here is a video to explain how credit  works, how it is calculated and how to fix it.

Did you know? Student Loans Can follow You to Retirement


Many of our young children go on to college to be educated for a better life than what we’ve had, and during that venture they acquire student loans. These loans are helpful and makes the education seem affordable. Most student loans are government issued loans thru third parties. We as parents are so proud of our children going to college that we co-sign and even go as far as to borrow the money for our children. There are some benefits to having a student loan, for example most student loans do not have to be paid until you finish your education. Student loans are given at a lower interest rate. Some of our children are career students, and the loans just pile up.
With that being said it is important that we understand that Student loans must be paid back, they are funded by the government and they need their money back with interest. So do not place the loan into Deferment , because the interest continues to build and the loan grows you may think it is ok. But as you go on in life the loan lays dormant but not forgotten growing larger every day with interest. You and your child should know the interest rate you are getting when accepting these loans.
If you think you can not pay the loan and bankruptcy is a way out think again because the requirements are straight forward and you will need an attorney to complete the task at hand, and he may not be able to do anything for you. Here is a perfect example of what I am referring to when you hire someone to do a bankruptcy proceeding.
This loan can follow you through life from your working career to retirement and the lender can garnish your Wages (Salary),tax refunds,social security etc…

Not paying back a student loan on time can put you into default and ruin your credit rating. Will not be eligible for any further federal programs and banks and credit institutions will not want to lend you any funds. Remember this is the beginning of your career so be careful on how you conduct yourself in your life be responsible and pay back what you borrow. If you can borrow a straight loan may be a better option in the long run so so some research.