I get a lot questions from potential credit repair clients like these “Does your company offer a credit sweeps” or “Are Credit Sweeps actually effective and legitimate?”So let’s take an in depth look credit sweeps.
The general concept of a credit sweep is deleting all negative items off a credit report within the first 3 rounds. Each round is broken down into 30- 40 days so basically a sweep is done over a 1-3 month period. Now does a credit sweep actually get results as advertised? The name “credit sweep” was coined by companies who were claim they can remove all negative items off a client’s credit profile in 30 days or less guaranteed.
Under Section 605B of the FCRA, it proclaims that, “a consumer reporting agency shall block the reporting of any information in the file of a consumer that the consumer identifies as information that resulted from an alleged identity theft, not later than 4 business days.”
So what these companies were actually doing was filing fabricated police reports and sending them to all 3 credit bureaus. This technique was designed to delete all of the negative items that were being disputed in a 30 day time period. The credit bureaus quickly caught on to this practice and started putting all files they received with a police report under investigation in the dispute center. Eventually tactic this practice lost it’s effectiveness faded out.
A credit sweep doesn’t always have to be identity theft related. It can be a much more proactive tactic over the basic credit repair technique. Basic credit repair would be to simply mail out letters, wait for a response from the credit bureaus and then mailing another round of disputes off. Now, there are many layers of steps to this tactic in order for it to work but even then, there isn’t any guarantees to the results you will obtain in a specific time period. So if you happen to see a credit repair service claiming they can remove all your negative items guaranteed then you should definitely consider that a huge red flag.
You can look online for information on credit repair on your own and hope for the best,but if you are interested in more advanced tactics to take on negative items on your report we suggest hiring a reputable credit restoration company.If you want to take really aggressive action then you should buy seasoned tradelines to boost your credit score quickly as tradelines are considered the holy grail of credit enhancement.
Credit very well could be one of the most important parts of your life as it effects every part of your lifestyle. Employers almost always check the backgrounds of potential new hires before making a decision on that the applicant. Trying to rental a property is almost impossible if there are too many negative items on your credit report. Many people have no idea how to rebuild their credit, and quite often get rejected when they attempt to apply for traditional lines of credit.Credit Repair Dallas can help with both credit restoration and adding seasoned tradelines to your credit report. Boosting your credit score is the fastest way increase your opportunities in life. Some examples opportunities include getting a line of credit for a car loan, mortgage,or approval for a personal loan. Listed below are some great tips for adding seasoned trade lines to increase your credit score.
Seasoned tradelines can increase your personal credit score by hundreds of points in some cases. Having a bad credit score of 600 or less can make it very difficult to get any kind of financing whatsoever.So raising your score a hundred points would be a huge deal. There no formula that calculates how much your score will increase by adding trade lines but you can count on a substantial increase.
Individuals with bad credit who are having a hard time with finances should look at the value of adding trade lines to increase personal credit rating. When you Pay off debts that have been charged off your credit score doesn’t typically increase all that much.When you pay extra on your monthly credit card bills your score is not affected all that much either.
The typical time frame for tradelines to show and improve personal credit score is about forty five days. Try not to put an approval freeze of any sort on the account, this may keep the tradeline from making an impact.
Doing credit repair before adding tradelines to rebuild credit is useful but needs to be executed with the assistance of a tradeline expert. There is no point in over extending oneself financially to attempt to pay down the debt. If paying your current amount of monthly bills is making it tough to on you financially just opt to add a tradeline and don’t worry about your creditors until you are in a better position.
You can order a free credit report from each agency on AnnualCreditReport.com. There is a nominal fee that must be paid to each agency to get your actual score. Your credit reports can be requested by email and may also be sent to your most current physical mailing address on file.
Investing in your financial health is a long term strategy that takes discipline and attention to detail. If you are trying to get an approval for credit in a day or two for a major purchase, tradelines to rebuild credit will not work in time before the approval is needed. Tradelines require time to improve any credit situation so patience is a necessity.
Before the Great Recession started in 2008, it was relatively easy to qualify for a home loan with a zero down payment. But the Wall Street crisis and the mortgage crisis changed the lending landscape. Credit credentials to get approved for home loans became extremely exclusive for only those with high fico scores and low debt to income ratios.
Plenty of new home buyers began opting for FHA loans which only require 4 percent down once the number of zero-down mortgages began to dissolve.
Now that the 2008 is in the rear view mirror, things are shifting once more. Just as many customers felt that the FHA loan’s down payment was too-high prior to the mortgage collapse, that thinking is coming back into play since it’s relatively simple to get zero-down home loans once again. Just keep in mind, if you happen get a mortgage, make get a game plan together for how you’re going to pay those payments and track your budget accordingly.
Standard Lending and Zero-Down Home Loans
While it’s not exactly an easy process to buy a home in this current real estate climate with no down payment or to hire a custom home builder, it is still feasible if you can demonstrate that you have high enough income and a better than average credit score. You’ll also be facing the prospect of a slightly higher interest rate. The premium you pay for not taking any personal risk in the investment is a lending rate that guarantees you’ll pay much more in interest over the duration of your loan compared to mortgages with standard 20% down payments. You will also most likely have to buy private mortgage insurance (PMI).
There are alternate ways to avoid coming up with a down payment, from getting a contribution from a or family member or friend, or being active in special housing directives that let you to contribute “sweat equity” to help finance for your new property.
National Programs and Zero-Down Loans
Alternately, you may qualify for special government plans that could provide a way for you to purchase a property with little to no money down. One of the best loan programs that let you to buy a property with no down payment is the popular VA loan program. This program is exclusive to military service members and to their surviving spouses. Depending on your credit history and earnings, you could qualify for a zero-down VA loan.
There are also government plans that will make it easier to purchase a property with a zero down payment if you are choosing to buy in rural unincorporated areas or in targeted high-crime sectors. These loans are set up to help generate greater prosperity to specific areas with the influx of new homeowners. If you are willing to take a risk in these areas, you may be able to land a low-cost property without the requirement for high a down payment.
As with any loan, you must demonstrate some level of trust with your lender.Having a steady income and a solid credit score is always going to speed up the process and allow you to take full advantage of these great programs.
When it comes to preparing your taxes you can often find yourself in a frustrating complex situation that leads to more questions than answers. Here are a few tips to assist you with your tax preparation and increase your odds of getting the biggest refund possible.
1. Start Right Away – Procrastination is going to make the entire process more difficult. Your anxiety will increase as tax-filing day draws nearer, and it is far more likely that you will have major issues finding proper paperwork and filling out your form error free. Get started on your taxes as soon as you can and create some positive momentum moving forward.
2. Get Your Paperwork In Order – Hopefully you have been organizing and storing vital tax documents and valid receipts throughout the entire year — but if that was really the case, you most likely would not be reading a report about how to prepare for your tax return.
Start by compiling your basic tax documents. Your previous year’s tax return, W-2 forms, 1099 forms for any work as an independent contractor , other 1099s forms for items such as brokerage statements and bank accounts , and 1095 forms to validate health insurance status per Obamacare requirements. After gathering all the proper documents, move on to your receipts for all itemized deductions.
3. Search For Deductions – You may not even be aware of the entire list itemized tax deductions that you have, and just assume the standard deduction is probably the best choice overall. Go over the instructions per Schedule A and IRS Publication 529, “Miscellaneous Deductions” to view the best available options to you.
Be sure to keep track of all “above-the-line” deductions like health savings account (HSA) and educator expenses. You are allowed by law to take all of those deductions whether you itemize or not on your paperwork.
4. Max Out Your Retirement Contributions – Even though it’s 2016 and were already into the new year, you are still permitted to make contributions to your IRA account until the tax-filing deadline in April and formally credit those contributions to your 2015 taxes — as long as your total contributions for the year are within the $5,500 limit ($6,500 if you are over fifty five years of age). It’s always best to schedule your retirement contributions in such a way that yields the greatest tax advantage in the long run.
5. Seek Professional Assistance – Complex tax situations are best left to highly qualified accountants who specialize in tax preparation services. You may be able to do your own taxes adequately, but a competent tax expert may be able to find multiple savings benefits that more often than not will cover the total expense of hiring the tax professional in the first place.Even if the service fees are only breaking even as a cost verses benefit analysis, you can have the peace of mind not having to labor through the tax forms yourself and possibly make a mistake that could trigger an audit from the IRS.
Always research a tax consultant very carefully, and avoid choosing one based on slick advertising promising big refunds guaranteed. Take a thorough look at their certifications, experience, and reviews of their services. Note that accountants and attorneys may be highly qualified to sign tax returns without having any extensive previous experience in tax law.