Most of us know that Bankruptcy or a Foreclosure on a credit report would cause your credit scores to plummet. I am going to show you five other items that you may or may not even know about. Since lending institutions and credit issuing banks use your FICO credit scores to evaluate you and your creditworthiness, you want to make sure that these entries don’t appear in your credit report.
The bank will usually stop trying to harass you for an outstanding debt once it’s tried for six years without success. There’s actually a statute of limitations on loans. You’re not even legally required to pay a loan back once it’s six years past the last time you paid an installment. Shady debt collection companies uk though are happy to buy the right to collect these loans from the banks for very little money and come after you with renewed vigor all over again; kind of the way zombies get up out of the grave and start to follow you around.
Hence, our money system can be described as a “debt usury” money system. For every dollar of credit that comes into existence, a debt is created to the banks and interest (usury) is charged. Under our present money system, the Federal Government will never be able to balance its budget, and the national debt will continue to grow by leaps and bounds. However, every bank loan made in the United States today is also completely illegal, as all bank loans are based on credit instead of money.
I know this is hurting my credit report; LVNV has bought an old debt bill and tried to unsuccessfully to sue me for lots of money. When they did not show up at the hearing they requested I won by default. That was last summer but a recent check of my credit report shows they are still on there creating havoc.
When you owe the IRS or State income taxes and don’t pay them or set up a payment arrangement, they will file a tax lien against you. When you try and buy a piece of property, until these liens are satisfied, you won’t be able to close.
How you pay your debt is actually a main factor. First, determine whether they’re willing to accept monthly payments to repay the debt and if so, how much per month would it require and how much of the debt will be taken off if you pay as arranged. Also, you should find out how much of the balance will be taken off if you pay them completely with a single payment. This type of payment is desired by collection agencies because they are getting cash quickly and this decreases the risk of having to call back for payments or payments bouncing in the future due to change in checking accounts. Make use of this tool to negotiate your balance owed as it should give you a much clearer picture on what it would take to pay the debt.
Being in debt is a highly stressful thing. Getting continuous telephone calls from debt collectors can just add to the emotional strain. If you want to stop the debt collector’s calls, you can negotiate your debt through the mail.