All About Credit Scores (Part 3 of 3)

Posted by Tammy McHood on July 19th, 2008

In our final installment of All About Credit Scores, I thought I would compile some of the Frequently Asked Questions that I have heard in the recent past (that I could remember at least!).

“Will paying off a collection account remove it from my credit report?”

No.  A paid collection account will remain on your credit report for seven years.

If I have a collection, should I pay off the collection agency or the original creditor?

Always pay the collection agency that is collecting for the original creditor.  Many times the original creditor will have sold your account to the collection agency.

How can I get accounts removed from my credit report that were awarded to my ex-spouse in the divorce decree?

A divorce decree does not supersede an original contract with a creditor.  You must contact each creditor individually and seek the legal binding release of your obligation.

I have no credit and I can’t get a finance company or credit card company to approve me — how can I start to establish credit?

One of the easiest ways to get credit if you have no credit is to apply for a credit card.   If you are turned down by a regular credit card, you can apply for a secured credit card.

How can I get inquiries removed from my credit report that I did not authorize?

You will need to contact the bureaus directly to dispute these inquiries.

Why do Experian, Equifax and Trans Union sometimes have different information?

Creditors voluntarily provide information to the credit bureaus and are not required to report to all three.  Some companies do not report to the bureaus at all, so it just depends on your creditors.

Do you have more questions about your credit report, credit scoring or anything else credit-related?  Let us know!



July 19, 2008 | Filed Under Credit Scores 

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