Sometimes credit may be withheld when an applicant has too many bank or national revolving accounts. To clarify, the accounts must be open in order to contribute to this reason for credit denial.
If you have received this reason code on a credit report, or have been told that this is an issue by a mortgage representative, you can relax. This just might be the easiest credit issue to fix. Continue reading
You may have seen “level of delinquency on accounts” as a reason for denial of credit. The very best loans and credit offers will not be available if you have signs of previous delinquencies on credit accounts.
When you are late on a credit account, that missed payment can be reported to the credit bureaus by the lender. There is no legal requirement that they do so. Creditors often choose to voluntarily report such information to credit bureaus in order to motivate you to catch up your payments. Continue reading
If you have ever been denied credit because you have “too few bank revolving accounts,” my response is “Congratulations!” You have so far avoided the head first plunge into credit card debt.
That being said, you may be unable to obtain certain lines of credit. Some types of revolving credit accounts may require that you demonstrate your creditworthiness through proper use of other revolving debt. Continue reading
This is one of many reasons why you have less than a perfect credit score. If your credit report lists this reason, then you may need to address one of the biggest impacts on your credit scores. Continue reading
The process of collecting on an unpaid debt has multiple steps for most creditors. Rather than going ahead and taking the debtor to court, creditors usually try to work out a deal with debtors in order to get payment faster. Still, it is important to know the full process creditors take in trying to collect on unpaid debt to know how you should respond. Continue reading
Credit counseling is a process through which debtors can evaluate their credit status, learn their budget limitations and explore strategies for controlling debt with the help of a credit counselor. The goal of credit counseling is commitment to an action plan for eliminating high interest debt, restoring credit and improving the net worth of the household. Continue reading
A debt management program is a structured repayment program involving special terms on existing debt accounts. Major unsecured creditors participate in debt management programs by voluntarily providing debtors with preferred benefits that they would not normally be able to get on their own. Continue reading
A soft inquiry is an informal classification of a credit check. It includes any type of consumer credit pull in which the score is exempt from penalty. This is the opposite of a hard inquiry, in which the consumer would normally be penalized for the credit check. Continue reading
A promotional inquiry is a credit check by a lender for the purpose of soliciting your business. It is normally a result of your name appearing on a marketing list that was sold by one of the three main credit bureaus. Continue reading
A hard inquiry is any credit check that results in a penalty. It represents an attempt to obtain debt by applying for a credit account. It is distinguished in this way from soft inquiries, which include all other credit checks absent of an attempt to open new credit. Continue reading
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