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The Importance of having your Credit Checked before a Loan

Date Added: April 02, 2010 12:32:16 AM
            If you ever have had a credit card or a loan you have a credit report and what is on this report essentially determines what rate of interest you will be paying back on any given loan. There are several different factors that are included in determining ones credit score. These are things such as late payments, how long you have had credit, if you have ever had a bankruptcy, your balances etc. What also is shocking for some is they find out that their credit score is worse off then they realized. Many people end up getting a loan without ever thinking that their credit score is not up to par. This ultimately can cost them thousands of dollars in higher interest charges. This is why it is a good idea to have it checked before entering into any loan agreement.
            There are two ways to go about getting your credit repaired if you determine that it is not quite where you would like it to be. One system is through a qualified credit repair company. There are some that exist that have remarkable Better Business Bureau records that we would recommend if this is the route you would want to go. In most cases you are actually hiring an attorney to work on your behalf with the credit bureaus. Their expertise allows them to go through your credit report with a fine toothed comb and in most cases find inconsistencies, questionable items, identity theft issues etc, then challenge them with the credit bureau they show up on. The great benefit with working with a company as such is that many of them have money back guarantees so if you don’t end up getting what you where wanting you can get your money back regardless. This is why we highly recommend going this route but for some, they would prefer taking on the challenge of repairing their credit themselves.
            For those wishing to take on the job themselves, we recommend visiting our site on credit repair. There you will find valuable information on what rights you have as an individual with the credit bureaus, how to write a presentable letter to challenge any items you feel could be in error. But before you simply decide to take on this task, be aware that you need to ensure you have the time and dedication to put into it and that generally people often cannot improve their own credit as well as the professionals. But the choice is up to the individual. It may be worth someone’s time simply to investigate in the self approach and then decide if it is right for them. But do be wise and look into what your credit score is before obtaining a loan, and decide what action you should take regarding fixing it. You could end up saving yourself a hundreds or thousands of dollars in the process.