Archive for the ‘free credit check’ Category

Closing credit cards Q & A

Wednesday, July 9th, 2008

Hi Mike,
I was wondering what the big deal is about closing credit cards. I have 6 credit cards currently. I only use a couple of the cards. The other 4 credit cards I don’t use charge yearly fees to have there credit cards active. So I would like to close them but I don’t want my credit score getting lowered. I currently have excellent credit and don’t want to jeopardize that. What do you guys recommend?


Hi Tina,

This is kind of tricky one. Everyone in the credit worlds recommends not closing good credit, especially if you are about to make a purchase. This question could have two answers to it. If you are getting ready to make a purchase, then the answer would be no. Wait until after the purchase and then close the credit cards. Yes, your credit score will drop temporarily but with a couple of credit cards reporting on your credit report your scores will be fine over a couple of months. The credit score drop would only be temporary. If you are not about to make a purchase on credit, then I would close them or ask them to stop there yearly fees first.

Credit Report after Divorce Q & A

Monday, July 7th, 2008

Hi Mike,
I have recently decided to divorce my husband. We have lots of debt together on our credit report. I have read some of you great articles about your credit during a divorce. I want to make sure that my credit scores don’t suffer because of this divorce. We currently have about 3 credit cards that are joint accounts. We also have a house we both or on the note as well. I am really concerned that he might stop paying on some of the obligations which will affect my good credit rating. What do you recommend?

Jenni Braco

Hi Jenni,
I am sorry to hear about the divorce. The first thing you need to do is make sure the divorce attorney forces the husband to get all debts he is reasonable for out of your name. If he is late on an obligation I can assure you it will affect your good credit score report. This is only applies to joint accounts that he is responsible for. Even though the divorce decree might state he is responsible for the debt, if he is late on an account that has your social attached to it, your good credit will suffer. This is a common problem out there; also I would recommend selling the house if it’s awarded to him, or suggest that he refinance the house. Bottom line you don’t want any obligations in your name that he is responsible for. If you were responsible for paying the bills and feel he might be late on something, I would foot the payments until everything is out of your name that he is responsible for.

Mike Clover

About the Author: Mike Clover is the owner of is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness

How a Recession can be good for you.

Wednesday, June 25th, 2008

With all the talk about a recession and the negative press about credit reports, credit scores, saving money and high gas prices there are actually some good out of all of this. During the Reagan years was the last time we experience an economic down turn. Here are some positive sides to the entire deal.

Eating Dinner with family
With the rise in gas and food fewer families are going out to eat. This is a perfect time for families to do what they should have been doing all along. I personally thing we are all spoiled and spend way too much money on STUFF that is not important. Sometimes for us to come to reality with how fortunate we are, it takes times like these to look back on what is really important. Your family and setting down with them at the dinner table.

Less people in line for gas
Not too long ago the gas stations where storming with people in all sorts of vehicles. Now you can go to the gas stating and not worry about a crowd.

Fewer advertisements in the mail
With creditors tightening up on your requirement to give out credit, you can rest assure you will not see as much credit offers in the mail. Over the years I am sure you mailbox was stuffed with credit card offers and low interest rate mortgages. You can count on that dissipating.

More Discounts
With sales being down just about with every company, you can count on coupons to entice you to buy. I may not be a bad idea to get a paper, and start clipping, you would be surprised how much you can save with coupons.

Save on Gas
Now that we are being forced to watch our pennies, public transportation may not look all that bad. Maybe car pooling with fellow co-worker would be a option.

Good deals on cars
Since gas prices have increased so much, gas is almost 40% higher in 2008; you can expect great deals on cars. SUV’s sales prices dropped dramatically once we hit $3.50 a gallon.

These are some positive sides to a possible recession. The one thing we need to remember is what is really important, and that is family. With the decrease in the flow of extra money this is a perfect time to hang out with family and have bar-b-q.

FHA implements Credit Score based MIP

Monday, June 16th, 2008

With all the changes in the lending industry, you would think that no one can get a loan anymore. Conventional loans have gotten so tough most are going with FHA loans now. FHA has been the savior in a lot of crazy lending markets. With the current credit crunch and record foreclosures, FHA is now implementing risk based mortgage insurance premiums (MIP). This fee insures the loan with HUD. So just like anything else, if your credit score is low you will pay for it. In the past your credit score did not matter, but now it does. The way MIP worked in the past was everyone paid a 1.5% of the total loan amount in insurance. This upfront fee was financed in the note. The new mortgage insurance premium will range between (1.25% – 2.25%). So for borrowers with low credit scores you will now pay .75% more in premium. For borrowers with good credit they will save .25% in premium.


Good Credit
• Sales Price: $100,000
• Down payment: $2,250
• Loan amount with MIP @ 1.25%: $98,971

Bad Credit
• Sales Price: $100,000
• Down payment: $2,250
• Loan amount with MIP @ 2.25%: $99,949


Depending on what your FICO score is, will determine how much you pay. You can see if your credit score is low, you will be financing more which will increase your payment as well. I believe this is just a tip of the ice berg with the changes in all sectors of lending. If you are getting ready to buy a home, you might consider pulling a recent copy of your credit report with scores to see where you stand. If you don’t want to pay more and feel that your have low credit scores, go ahead and take the plunge. Get your credit report and start working on any issues you may have. If you don’t fix your credit it will cost you unnecessary money long term. FHA is still the strongest loan in our current market, but with credit issues you will pay more for it. I have never seen such tightening up in the lending market like we currently are experiencing. I can’t say I don’t blame the banks, because everyone want there money back they have loaned out. I guess you would have to put yourself in their shoes, how would you feel if you loaned someone $100,000 and they did not pay it back to you?

Multiple FHA borrowers
With this new FHA change that was implemented on July 11, 2008 here is how this affects multiple borrowers. If two borrowers are involved on a FHA loan, the MIP will be based on the borrower with the lower credit score. So you could have one borrower with excellent credit, but have a borrower with low credit score that would cause a higher mortgage insurance premium for the entire loan.

Common Credit Report mistakes

Tuesday, June 3rd, 2008

Your credit report is not something to be taken lightly these days. It is almost as important as your social security card. There will come a time where your credit report will be required for credit purposes. We see credit reports on a daily basis, and there typically are issues with that individual’s credit report that was not known. This is all too common due to a lack of staying on top of your personal credit report. Here are some common issues we see that cause loans to get denied.

Credit Report Issues:
Credit Cards charged beyond credit limit
• Credit Cards charged above 30% of allowed credit limit
• Late payments
• Co-signed for loans
• No Credit
Credit Score too low
• Your dads credit shows up on your report because you are a junior
• Medical Collections
• Stolen Identity
• Credit card fraud

The majority of the time most people have no idea that the previous information discussed affects your credit report. All it takes is one of these mistakes to have issues getting credit extended to you.

If you are getting ready to make a purchase you can definitely save on interest rates and terms by pulling a copy of your credit report with credit scores. This is a preventive measure so you don’t get blind sided with a credit problem. There is a 1 n 4 chances your credit report has incorrect information on it.

Suggestions to avoid common credit report mistakes
• Pull your credit report every 3 months
• Don’t be late on obligations
• Don’t co-sign for anyone
• Don’t charge more on a credit card than you can pay off that month
• Establish credit if you don’t have any with Secured Credit Cards
• Pay your medical bills
• Shred all document that come in the mail to avoid id theft

Foreclosure Q & A

Wednesday, May 21st, 2008

Foreclosures are pretty active currently across the country. As more and more adjustable rate mortgages (ARM’s) are set to expire, and the values of the homes continue to fall, the home owner has no choice but to foreclose on their home. The reason is the value is not in the home to roll in the closing costs associated with a refinance. With all of this going on there is hope to buy a home in the near future, as long as you take the necessary steps to get your credit report and credit scores revived.

Hi Mike,
I recently had a foreclosure due to my ARM expiring, we did not have the credit nor the value to refinance our house. So we had no choice but to let it go. I feel like we really got taken advantage of with the bad loan we were put in. My question to you is how long will it be before we can buy again, and what necessary steps do we need to take so we can buy.
Thanks for your help
Teresa Blonde
Colorado Springs, Colorado

Foreclosures are definitely one of those situations that is not pleasant. All of these subprime loans that were giving were like a double edged sword, if you did not go with the subprime loan you did not get a house, if you went along with the subprime loan you got a house with ugly terms. Anyways, in order to buy a home, you will have to wait a minimum of 3 years.FHA loans will be the type of financing you will be able to get. They require 3 years from foreclosures date. In regards to your credit, depending on what type of credit you have if any, you will need at least 3 lines of credit reporting on your credit report. For example; a couple of credit cards, and maybe a car loan. If you don’t have any credit, you will need to get a couple of secured credit cards. You can get these cards at our site,

Mike Clover

Does get you what you really need ?

Tuesday, May 20th, 2008 is a government mandated site to provide a free credit report to consumers once a year. You get a 3-1 credit report with NO credit scores. But you get a FREE credit report. At our job is to educate you about what you really need. When you go to the bank do you think the banks just pulls a credit report with no credit scores? If you thought the answer was no you were correct. The only advantage of this government mandated site is you do get a 3-1 credit report from all 3 credit bureaus, once a year. Lets assume you have already pulled your free credit report and now have decided to make a purchase 4 months later. It is suggested you pull a copy of your credit report if you are about to make a big purchase or apply for credit. So you cannot get a credit report for another year, so what do you do? You can go to and get your FREE trial credit report with all 3 credit scores.

Why you need to know your credit scores
Your credit scores is how any lender, bank, credit card company, auto lender, and insurance company determines your likelihood of paying back a obligation. A credit score is your risk and any given point in time. Most lenders now use FICO scores to determine this. So the question is if all of these companies look at your credit scores, shouldn’t you know your credit scores as well? The answer to that is yes.

Why pulling your credit report once a year is not good enough.
Even though gives you your 3-1 credit report once a year, anything can happen to your credit report within a 30 day window. So if you just pulled your credit report, and someone steals your identity afterwards, you would not know about it until creditors start to call you wanting their money.

At you get what you’re really need, get your free credit score report:

Here is what you get:

• 3-1 credit report
• 3 credit scores
• From all 3 credit bureaus
• Credit monitoring & Alerts
• Delivered to you instantly on-line

About the Author: Mike Clover is the owner of is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.

Debt Consolidation Vs. Debt Elimination

Monday, May 19th, 2008

Debt consolidation can help reduce your monthly payment with multiple credit card companies, but with debt elimination you can relieve your debt and burdens more effectively by eliminating debts. Debt consolidation requires you to pay back your debts on the principal plus interest. With the service we provide you reduce you debt paid on debt balance, save money, and eliminate your debt in less than 36 months.

Debt Consolidation
Debt consolidation loans combine all debts into one payment for an extended period of time with a low interest rate, which will extend the total interest payments throughout the life of the loan.

The program we are able to provide will eliminate debt and save large amounts of money. During this process a highly trained representative will act on your behalf to resolve debt by bargaining with your creditors to negotiate a payment. An advisor will resolve debt reduction for you.

Reduce Debt Quickly
By only having to pay on a reduced credit card balance with the service we are talking about, you resolve your debt quickly. Debt consolidation typically puts all your credit card debt into a 15 to 30 year mortgage. With the interest paid on a debt consolidation you end up paying more on the balances owed due to the term.

The service we are talking about will save you more money and eliminate debt a lot quicker than debt consolidation. Plus this service will look a lot better on your credit report than a bankruptcy.

Credit Solutions of America, Inc.

About the Author: Mike Clover is the owner of is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.

Credit Score and Credit Report Q&A

Monday, May 19th, 2008

Hi Mike,
I have a question about my credit score. In today’s market what is really considered a good credit score to get the best interest rates and terms on any thing I borrow? I have always paid my bills on-time, and don’t have any collections. I was just curious what that benchmark might be. Also how often should I pull my credit report? Is once a year good enough?

Sandy Morton
New York, New York

Hi Sandy,
These are some great questions. In today’s market a credit score about a 720 is considered good credit for the best rate and terms. Some lenders have their own bench mark for better rates. They might require a 740 or above to get a quarter better or so. With the current FICO score model, a credit score 720 or above is considered excellent credit. If you score is around that benchmark, I would not sweat it.

How often should you pull your credit is a question I get quite often, here is something to chew on. The current revolving credit you have, re-reports every 30 days. That means anything can happened to your credit scores and credit report within a 30 period. So since your credit score is so important these days, I would recommend pulling your credit report at least once a quarter. Pulling your credit report is just good management of your credit health, and a good way to watch out for identity theft. Remember pulling your own credit report does not affect your credit score; this is considered a consumer credit report which is a soft pull on your score.If you want your credit scores you will have to pay for them, which I recommend since they are part of the decision making process in lending.


About the Author: Mike Clover is the owner of is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.

Top Tips to help you secure a mortgage loan

Thursday, May 15th, 2008

The American dream is to own a home someday. We all have this passion deep down in side. Most Americans don’t have the money to pay cash, so they turn to lender to assist with the purchase of there first or second home. With all the new guidelines in banking I will give you exactly what you need to do to secure a mortgage. I know everyone’s situation is different, but there are some steps you can take so you will not have problems in today’s lending market. This will also help you regardless of what the lending market is doing.

Know what’s on your credit report
Most people have not idea what is on their credit report. They also have not idea what their credit scores are. This is amazing to me, since the way to financial freedom is to manage your credit health. Otherwise you are probably paying too much in the way of terms and rates. Get a copy of your credit report with credit scores regularly to mange your scores.

Pay all your bills on-time
If you think paying a bill late every once in a while is ok, you might want to rethink that logic. A single late payment on any obligation will lower your credit score between 100 and 150 points. So if you had a credit score of 750, now it’s a 600 score. If you are having financial problems and think you might be late, call the creditor to make arrangements. Make sure once you work out something, that you get something in writing stating they will not report any payments late with the arrangement. So the idea is to not be late on anything. Lenders don’t like to see you late on anything, because this looks like you are having financial problems. This ultimately means you are not ready to buy in a underwriters eyes.

Save your money
When applying for a mortgage, having savings is a big plus. This shows you have stability and the ability to save money for emergencies. Most loans are run through a automated underwriting engine, and with savings in the bank could mean the difference between a approval or a denial. A good goal to have is 6 months worth of mortgage payment in the bank. If you are buying a house around $200,000 six months payment would be $12,000 in savings.

Pay your Rent on-time, and don’t break a lease.
Being able to pay rent for at least 12 months on-time is a plus. It looks better to pay rent and all your utilities on time for 12 to 24 months. This shows a underwriter you are able to handle responsibility. Lease agreements are one of those contract deals that if you break it and don’t pay the fee to break the lease it can show up on your credit report, plus the apartment complex typically will not give a good verification for rent due to the lease being broken.

Disclaimer: This information has been compiled and provided by as an informational service to the public. While our goal is to provide information that will help consumers to manage their credit and debt, this information should not be considered legal advice. Such advice must be specific to the various circumstances of each person's situation, and the general information provided on these pages should not be used as a substitute for the advice of competent legal counsel.