How To Find Out Your FICO Credit Score

You are entitled to one free copy of your credit report from each of the three credit reporting agencies annually at http://www.annualcreditreport.com/.

Unfortunately, there is no ''free'' way to obtain your FICO score. Usually when you obtain your free credit report you are offered the opportunity to purchase your score (usually for under $10).

There are also several credit monitoring websites, such as http://www.truecredit.com/ and http://www.freecreditreport.com/ which allow regular access to your credit reports and FICO score on a monthly subscription basis.

If you really just want to get a free peek at your score, you can visit http://www.freecreditreport.com/. This site offers a 30 day free trial of their service. You can sign up for the service, view your report and score as often as you like and cancel before the trial is up.

However I recommend keeping the credit monitoring service because your score changes on a month to month basis and it is a good way to track your progress if you are working to boost your score. An additional benefit is that you can view your score on a month to month basis which allows you to catch any errors or suspicious and fraudulent activity in a timely fashion. This is important because many victims of credit fraud don't realize what has happened until they're knee deep in a mess.

Although your credit score is easy to obtain, it isn't free. Paying a small monthly fee is a good investment in monitoring and managing your credit as well as protecting yourself against fraud.

Yours Truly,
Finance Girl

Sample Dispute Letter

Sample Dispute Letter

10/11/2006

Jane Doe
33-22- Elm St.
Somewhere, NJ 10607

Dispute Department
[Name of Credit Reporting Agency]
[Address]
[City, State, Zip Code]

Dear Sir or Madam:

I am writing to dispute information on my credit report. The items I wish to dispute are listed below and also highlighted on the attached copy of my credit report
[List the items that you feel are inaccurate including the type of accounts, names of the financial institutions, and full or partial account numbers. Include what changes you feel should be made.]
Enclosed are copies of [payment records, credit report, letters from the creditor, court documents, etc.] supporting my dispute. Thank you for investigating this matter.

Sincerely,
[Signature]
[Your full name]
[Date of birth]
[Social Security number]

Enclosures: (List what documents are enclosed with your letter)

Click here for books that will help your get your credit on track.

TransUnion
2 Baldwin Place
P.O. Box 2000
Chester, PA 19022
http://www.transunion.com/

Equifax
P.O. Box 740241
Atlanta, GA 30374-0241
http://www.equifax.com/

Experian

go to http://www.experian.com/ and submit a dispute online

The Credit Report Timeline

The Credit Report Timeline
Most of us have SOMETHING negative on our credit report and then there's those whose credit is just....shot! Late payments, tax liens, accounts in collections, bankruptcies and even credit inquiries are just a few of the harmful things that work against us on our credit reports. These tarnishes on your report join forces to lower your score and stand between you and the sweetest deals and interest rates.

Fortunately the saying "time heals all wounds" applies to credit reports as well as broken hearts. Here is a list of the different types of accounts and how long negative information concerning them will remain on your report:

Bankruptcy Chapter 7, 11 or 13 stay on for 10 years.
For some reason it is widely believed that it stays on 7 years but 10 years is the actual length of time.

Charge-Off Accounts - 7 years

Closed accounts -7 years
For negative accounts but positive accounts can stay on longer which is a good thing!

Collection Accounts - 7 years
it is 7 years from the last 180-day late payment in the ORIGINAL account.
see *special note about collection accounts* below

Inquiries -1 to 2 years
see ** special note on inquiries** below

Judgements - 7 years

Late Payments - 7 years

Avoid these at all costs, I know sometimes it is unavoidable but even if you can make a bare minimum payment, do it!

Unpaid tax leins stay on your report indefinitely until they are paid, then they remain for 7 years from the payment date, sorry guys this is one that just won't go away so always take care of these as soon as possible!!

*Special note about collection accounts*
A paid off collection account is noted on your report as "paid in collection"
and an account settled for reduced amounts are reported as "paid for less than due" which looks HORRIBLE on your report!

**Special Note On Inquiries**
These only include hard inquiries and they stay on for a maximum of 2 years. Keep in mind that soft inquiries such as checking your own report do not reflect on your report or score. Never be discouraged from checking your own credit for fear of it affecting your score. You can check your own credit report an unlimited amount of times a year and I strongly encourage you to actively stay on top of your report and catch any errors or fraudulent activity as soon as possible.

Check out these books to learn more about credit.

Raising Your Credit Score

Who doesn't want to raise thier credit score? A1 credit can be yours through active and responsible credit management and it's easier than you may think. Following these golden rules will rocket you above and beyond the ideal 700 fico score range.

The first rule is to make punctual payments! Payments of 30, 60, 90+ days late stay on your report for 7 YEARS! Yikes! Avoid making late payments at all costs, make a minimum payment or a strike a deal with the creditor. Collect cans from the garbage for recycling if you have to but whatever you do, avoid late payments!It's just not worth it! And think of all the late fees, it's hard earned money down the drain, give away your money to charity, not banking institutions!

Next rule, check often, check closely. Order copies of your credit report and go over it with a fine tooth comb. Check for errors and unusual or unauthorized activity and take care of them ASAP!

Curb debts, don't max out or keep high balances. It's a huge waste to pay interest month to month on high balances and it puts up a red flag to potential creditors AND it lowers your fico score. Ideally, balances on accounts should be 30% of the total limit or LESS or even better, pay everything in full every month.

Stop applying for credit! Don't apply for every credit offer that comes your way because this lowers your fico score and ultimately hurts you in the end. Once you have a sufficient amount of open accounts in good standing only apply for offers that are really necessary or have not just good but GREAT deals.

Patience. Waiting SUCKS but it's necessary for optimizing your credit reports. A long history of accounts in good standing are indispensable on your credit report. Like fine wine the older the accounts, the better! It's important to always think twice about closing your oldest account because it may make your credit history appear shorter than it actually is.