Is it possible to raise credit score 100 points overnight !!

A lot of companies claim to have secrets to raise your credit score by 100 points overnight, but they won’t tell you what they are. That’s because at best, credit repair companies are charging a fee for things you can do yourself. At worst, they’re encouraging you to break the law.

Unfortunately, there is no foolproof plan for raising your credit score. It’s almost impossible that you’ll raise your credit score by 100 points overnight.

I have no problem telling you credit secrets and hacks that I know work. Banks don’t like you knowing this information because they make money off bad credit loans with high fees and expensive collection actions. Credit cards for bad credit have much higher interest rates and will ultimately just make your situation worse.

Stop letting the banks bully you into overpaying today based on mistakes you made years ago. Raising your credit score is an achievable goal, and that’s what we’re going to talk about today.

Take control of your credit by using this information the financial industry doesn’t want you to know about. They’re all legal, and we know they work based on how credit reports work.

This is how to truly raise your credit score by 100 points very fast.

Understand What Impacts Your Credit Score

Your credit score is based on a secret algorithm designed by FICO, originally Fair, Isaac, and Company. The details of this algorithm are still hidden under a veil of secrecy even today. Though we do know the formula is generally comprised of the following five components or factors.

• Most Important factors – 35% Payment History
• Very Important factors – 30% Credit Utilization
• Somewhat important – 15% Length of Credit History
• Somewhat important – 10% Credit Inquiries
• Less Important factors – 10% Type of Credit Used

raise credit score 100 points overnight


Raise credit score using Credit Card – Game the System

Topic covered:

  1. Maintain a high balance on each card: Just follow these simple steps
  2. Pre-Due Date Payments: A Powerful Life hack to boost credit score
  3. Credit Bumpers to Protect History – helps to raise your credit score
  4. Optimize Your Debt Ratio in a proven way – helps to raise your credit score
  5. Which Credit Cards help to raise your credit score?
  6. Which Credit Cards to Use when you have bad credit?
  7. Can Service Accounts Impact My Credit Score?

Game the System with This Powerful Trick

Only spending six percent of your available credit makes it difficult to gain credit increases from your credit card companies. Because they’re not going to raise your limits on a card you never use. So, I use this powerful life hack to boost my credit scores into the stratosphere. And also you can have massive success with it too!

Maintain a high balance on each card: Just follow these simple steps

So what I do is charge and maintain a high balance on each card for two months. In the third month, I pay it all off and let it sit for two months. This way, I’m using my credit card enough for the bank. So the bank also continues raising my limit (thus raising my available credit). And at the same time, I am maintaining enough available credit to keep the credit agencies happy.

Master this method, and you’ll notice your score go within months. And there are a few more insider loopholes to instantly transform your life. All these tricks have the tremendous potential to increase your credit score that is already been proven.

Pre-Due Date Payments: A Powerful Life hack to boost credit score

One trick to boost the credit utilization piece of your score without really having to change your spending behavior is to pay your bill approximately 10 days before your due date.

Increase credit - Credit Utilization Formula

Credit Utilization Formula: Credit Used / Total Credit

Credit Bumpers to Protect History – helps to raise your credit score

Another Powerful Life hack to boost credit score!

Just one late payment that happened years ago, maybe when you were back in college, could significantly impact your score today. Therefore one trick to absorb some of the impacts of a negative on your Credit History is to use Credit Bumpers by adding more Accounts to your total number of Open Accounts. This example shows how much faster you recover from one late payment when you have 5 open accounts instead of just one.


Increase credit - Credit History Formula

Credit History Formula: On-Time Payments / Total Number of Payments

Optimize Your Debt Ratio in a proven way – helps to raise your credit score

Now we get to the fun part, where I’ll teach you the magic number credit agencies really want you to carry in debt and why. So Optimize Your Debt Ratio and Game the System with This Powerful Trick.

Your FICO credit score is calculated using the following formula:

35 percent payment history
30 percent amount owed
15 percent length of history
10 percent new credit
10 percent types of credit

This means the bulk of your credit score is made up of on-time payments and how much available credit you have. Obviously paying your bills on time will improve your credit history over time. So we’ll focus on the debt to credit ratio.

Many experts will tell you to stick to 30 percent of your available credit. This means if you have $1000 of credit, you should only have balances totaling $300. But the truth is the more available credit you have, the better your score will be. So maintaining low balances on credit cards can raise your score by up to 100 points.

I recommend keeping your available credit at 94 percent. So does Experian. I checked my own credit report one day and that’s the advice they gave me to raise my own credit score. You should only be spending $6 for every $100 of available credit you have. If you want to successfully raise your credit to the best possible score.

What this shows creditors is that if something bad happens in your life (medical emergency, job loss, etc.), you still have access to funds to pay your bills for the next six months. This lowers your credit risk and makes you someone lenders love to work with.

So in practice, your credit limit will be five to six times high than your usages limit to game the system. I have another game-changing trick up my sleeves to increase your credit score.

Which Credit Cards help to raise your credit score?

Our customer Brian couldn’t understand why his credit was so bad. He seemed to be doing everything right – he paid off all his old debts and avoided credit cards. Credit cards are necessary to maintain a healthy credit score though. You may skip this article if you know which credit cards to use and avoid.

But all the credit cards created are not equal, and they can affect your credit score in different ways. Before applying for credit cards to increase your credit score, it’s important to understand how they truly impact your FICO rating.

When discussing credit limits, we’re only talking about normal credit cards, which are called revolving lines of credit. This means if you have a $1000 limit and a $600 balance, you can still spend $400.

Secured credit cards (which are prepaid) and store credit cards act more like installment loans on your credit report. This means if you have a $1000 limit and a $600 balance, it still shows on your credit report as a $1000 loan with no available credit.

Which Credit Cards to Use when you have bad credit?

When you have bad credit, a secured credit card is the only option you have. That’s what we got for Brian, and by maintaining a good payment history on his secured credit card, he raised his credit rating by nearly 50 points in less than a year. Here’s a list of the best secured credit cards to apply for, including the Open Sky Secured Visa and Discover It Secured.

Also, keep a credit card issuer’s customer service track record. J.D. Power releases a study every year on credit card customer satisfaction. According to J.D Power, the top three card issuers are American Express, Discover, and Capital One. These are the companies most likely to resolve your issues on the first call. As for banks, Capital One, BB&T, and Chase take the top marks.

Avoid cards with high fees and bad customer service. In 2020, the worst credit cards include First PREMIER Bank Gold Credit Card, BancorpSouth Gold Mastercard, and Arvest Bank Visa Classic Card. These cards may hurt your credit rating more than they help.

There’s one final tip (Search Court Records for Judgements) to get your credit score out of the gutter and make your life easier.

Can Service Accounts Impact My Credit Score?

Service account like a utility bill, phone bill payments don’t have any direct effects on the credit score but if you miss any payment and the account was referred to a collection agency then it could affect your credit score.

But there is good news that a new product called Experian boost allows users to get instant credit for on-time payments on utility and telecom accounts.


Piggyback hack to raise Score – Sometimes 100+ Points!

Topic covered:

  1. Piggyback hack to raise Score
  2. What Types of Credit Cards Are Best?
  3. Answers for Primary Card Holders?
  4. No Credit Check Loans and Cryptocurrency – opportunity to start
  5. How crypto debit cards may help you to raise your credit score

How much will piggybacking raise my score

Piggybacking is probably one of the most underutilized effective ways of boosting your score tremendously with little effort or time. So this one hidden credit score hack can literally raise credit score by 100 points. This is called piggybacking. It’s when someone with good credit adds you as an “authorized user” to one of their credit cards. Usually, it’s with a relative or close friend. And finally, it usually requires a quick call to the credit card company. So the most clients who have tried this Piggyback Hack to Boost Score have seen a significant boost in their credit scores inside just over a month, about 45 days. So what happens? Finally, their positive credit will show up on your credit report. It helps to increase your credit score to achieve your targets.

What Types of Credit Cards Are Best?

1) Social Security # Required for Authorized User (major credit card issuers and some others)
2) No Negatives (no late payments)
3) Large Credit Limit (>$5000)
4) Low Balance (roughly 6%)
5) Long History (5+ years)

Answers for Primary Card Holders?

1) Can Piggybacking Hurt My Credit? No, nothing from the authorized user’s report goes on your report. It’s also not like a hard inquiry.
2) Can I Remove Authorized Users Later? Yes, they can be removed as an authorized user at any time. Also, it’s not like co-signing.
3) Is Piggybacking Legal? Yes, it has been a legal way to improve credit since the Equal Credit Opportunity Act 1974.

Pros and cons of piggybacking credit :

Being an authorized user could help you build credit

For an authorized user account to potentially help your credit, three things need to check.

  • The card issuer needs to report the account to the three major credit bureaus. You should review your three credit reports around 60 days after becoming an authorized user to verify whether the account shows up.
  • The account needs to be free of negative payment history.
  • The credit utilization rate on the account should be below. 

Being an authorized user might not impact your credit at all.

If a card issuer doesn’t report authorized user activity to the credit bureaus, being added to the account won’t impact your credit in any way.

Thankfully, many card issuers do report authorized user activity to the major credit bureaus. The primary account holder should ask the card issuer reporting policy before adding you to the account.

No Credit Check Loans and Cryptocurrency – opportunity to start

Cryptocurrency and No Credit Check Loans – Circumventing They System All-Together!

For those who haven’t caught on, Cryptocurrency has the promise to potentially turn the banking system on its ear. Since 2009, the BitCoins market has emerged along with BlockChain technologies. From then on it’s starting to usher in a new era of making and receiving payments. It’s completely separate from the old status quo banking institutions, while substantially raising privacy. Banks are scared! Already we’ve seen larger banks like Bank of America, Chase, and Citi bank users buying BitCoin with their bank’s credit cards.

How crypto debit cards may help you to raise your credit score

However, debit cards don’t do anything to build your credit history or improve your credit score. You may leverage the cryptocurrency sitting in your crypto wallets to build your credit score. A crypto-secure credit card may give you that opportunity to start. There are rumors of crypto-secured credit cards like SALT coming soon.

As the use of cryptocurrency as an alternative currency is increasing rapidly. Also ALT Currencies like SALT are delivering innovations in lending as well. Although No Credit Check Loans and Payday Loans sometimes get a bad rap. But they have their place in the market when used responsibly. For cryptocurrency holders, No Credit Check Cryptocurrency Block-Chain-backed loans offer liquidity.

Like Margin Accounts that you may have if you trade stocks. With Cryptocurrency Block-chain backed No Credit Check Loans there is only a small chance of a credit reporting issue. A Margin Call happens when If by some chance your equity falls below the maintenance margin value established by FINRA or your creditor. When you don’t have enough equity to repay the loan, you become personally liable. Only then you can send it to Collections to end up on your credit report. Like Margin Accounts, failure to pay back your outstanding Cryptocurrency loans when your margin value drops below the liquidation level may affect your credit score.


Credit Repair Loopholes – helps to raise your credit score

Topic covered:

  1. Increase Your Credit with These FCRA Loopholes
  2. Section 604 – Permissible purposes of consumer reports
  3. Section 609 – Disclosures to consumers
  4. Section 623 – Responsibilities of furnishers of information to consumer reporting agencies
  5. Section 605 – derogatory information verification

Increase Your Credit with These FCRA Loopholes

We’ve discussed collection laws, but how creditors treat your credit report is also regulated by federal law, specifically the Fair Credit Reporting Act. There are three important sections of the FCRA that can help you clean up your credit: Sections 604, 609, and 623. Therefore use credit repair loopholes to increase your credit score.

Credit repair loopholes, here’s what you need to know to master these explosive secrets

Section 604 – Permissible purposes of consumer reports:

When a financial institution, landlord, or employer checks your credit report, it’s called a hard inquiry. These hard inquiries could lower your credit score and cause you to be denied credit. Especially when you made multiple hard inquiries in a short time span.

Section 604 provides guidelines for what constitutes a permissible hard inquiry, including a signed contract from you. What most people don’t know is these hard inquiries aren’t typically tracked by the credit agencies themselves. Instead, they use a third-party company called SageStream to track this data. This gives you a chance to increase your credit score.

Contact SageStream on their website to request a security freeze on your information. This will stop them from reporting hard inquiries to the credit agencies. Subsequently, it may help to increase your credit score by a few points.

Section 609 – Disclosures to consumers:

On top of the FDCPA letters you send to collectors, you should also send an FCRA 609 letter to credit agencies. This piles the work onto the creditors and makes their lives more difficult. They now must respond to both your request and the credit agency’s request.

If the collector or credit agency doesn’t respond within 30 days, you now have a paper trail of them not working with you. You can send a non-response letter to have the items removed from your credit report. If it’s not removed, report them to the Better Business Bureau, FTC, CFPB, and consider civil action in court.

Section 623 – Responsibilities of furnishers of information to consumer reporting agencies:

You would think creditors would keep accurate records of all information and accounts, but this isn’t the case. They often lose information, and this is the most solid defense used in foreclosure cases. Most of the time the mortgage company can’t provide the original paperwork and the court dismissed the case.

After you’ve disputed the negative credit items with the credit agency using Section 609 letters, Section 623 letters force the creditor to prove the debt is valid. If they can’t, you have legal grounds to pursue civil action in court, and following these three sections in order give you a solid defense to not only have your credit report corrected, but also receive financial compensation for damages caused. You may continue reading to know more about other credit repair loopholes, you may skip if you already know.

Section 605 – derogatory information verification:

If the accurate derogatory information in the consumer’s file cannot verify, the reporting agency is required to remove it. Not just for the original company, this law required all the company that reports negative credit events needs to produce verifiable proof of the negative event. It cross-checks the accountability of credit reporting agencies for the negative information they pass on.

Due to this loophole, the reporting agencies need to investigate and remove any disputed, negative item from your credit report within 30 days if it cannot verify.


Disputing Negative items on Credit Report can raise Your credit score

Before going to start disputing negative, it’s very important to take preparation for many other things. Disputing negative can help you to raise your credit score but it will not raise your credit score by 100 points overnight. Here are all the things that you need to prepare before dispute a credit report.

Simple steps to follow when disputing negative:

  1. Get a free annual credit report
  2. Make an itemized list of everything showing on the reports
  3. Understand the credit scoring model
  4. Major agency’s Dispute departments contacts
  5. Simple Letter Format for Disputing items on your credit report

If the agencies don’t respond the way they’re required to by law (which we’ll discuss in more detail below), don’t hesitate to fight Big Brother with an even bigger partner – the government. Because the credit score Affects your life in many ways. What to do if the credit reporting agency refuses to fix your credit report. Read our blog about what next if the dispute with CRA’S not solved within 30 days.

Dispute the debts directly with your creditors and also can force-creditors-to-validate-debt. Now we’re going to discuss the secret to defend yourself against collectors. Get excited, because your life is about to change! And this is how your credit score will increase gradually.


Removing a collection account will usually raise your credit score

It’s always good to stay on top of all three credit reporting agencies. When you contact a collector for settlement, you should try to agree with them to a “payment for deletion”. There is a good chance it will help to boost your score. You have to check whether you paid the collection or remove the collection account, in both cases how many point you can earn.

In this regard you have two options: 1) A mortgage company can pull your credit in the last 30 days and they can run such simulation. or 2) you can sign up in a three bureau-monitoring site for and run the analysis.

These scores are consumer scores, not the FICO score but it helps you to decide which collection(s) should you try to pay or delete based on the potential score improvement. Of course, there may be another reason to pay for a collection. But if you are looking for score improvement, follow the instruction above or call us – we always use these tools. Not all agencies will agree to pay for deletion.


Eliminating your Old Debt can raise your credit score

Topic covered:

  1. How long negative information impacts your credit report
  2. How to negotiate a debt settlement?
  3. Things to remember when negotiating a debt settlement or cancellation
  4. What to do if the credit bureau does not respond in 30 days?
  5. What to do if the complaint is not solved with Equifax?
  6. What to do When CFPB is not able to give the result?

Now we’re going to discuss another secret that will help you with improving your credit. As I told you earlier raise credit score 100 points overnight is quite an impossible task. But if follow all these strategies then it is possible to raise credit score 100 points so quickly.

A recent customer named Linda was stuck in a cycle of debt That was killing her credit report. She fell behind for five months on her credit card payments, and even though she started paying again. She was still consistently showing as 150 days past due. Every payment Linda made dragged out the past due to balance, and she couldn’t afford to get ahead. Now it’s urgent for Linda to Eliminate old debt.

Linda was a victim of a perpetual cycle of debt, and extreme measures were needed to clear up her credit report. So she could live a normal life again. And no, I’m not talking about bankruptcy, which is the last resort.

How long negative information impacts your credit report

Information that negatively impacts your credit report only stays on your credit report for seven years and 180 days after the incident. This doesn’t include bankruptcy, which remains for 10 years.

The “incident” is considered as a late payment or charge-off. It is required by the Federal Deposit Insurance Corporation that after 120 days of delinquency, installment loans like a mortgage or car loan should be charged off. Credit cards and other revolving debt must be charged off after 180 days of delinquency.

How to negotiate a debt settlement?

Once your account is charged off, it’s sold to a debt collector for less than 20 percent of the total balance. This gives you leverage to negotiate a settlement as low as 30 percent of the total debt. This is a trick many credit counseling companies use to consolidate and lower your bill payments.

In Linda’s case, it was necessary to stop making payments that dragged the debt out longer. Instead, we negotiated a settlement. Keep in mind, settled accounts don’t help your credit score as much as paid-in-full accounts. But they don’t negatively impact it as much as unpaid debts.

If the creditor doesn’t accept a settlement then try to eliminate old debt with the debt collector. Even though they purchase the debt for pennies on the dollar, debt collectors still attempt to collect the full balance.

Debt collectors also continue charging interest and late fees on your unpaid debt. This increases the amount of debt they can eventually sue you for. In most states, third-party collectors can continue adding interest for three to seven years, although sometimes it’s indefinite. This is why it’s important to settle all your debts as fast as possible.

Check your state laws to determine the statute of limitations in your specific circumstances. For example, in California, collectors have four years to legally collect.

Things to remember when negotiating a debt settlement or cancellation

When you negotiate a debt settlement or cancellation, you should be prepared to receive a 1099-C tax form for cancellation of debt. The IRS considers canceled debt to be taxable income. You must report when you file your taxes.

If you’re being targeted by collectors, don’t worry. There are laws in place that dictate how collectors can pursue you for this debt.

Next, we’ll discuss one simple phrase that can give you peace of mind by ending all the harassing phone calls and letters from debt collectors. Also, get a lot of information onOptimize Your Debt Ratio in a unique way that will help you to improve your credit score.

What to do if the credit bureau does not respond in 30 days?

How credit bureaus perform

Credit bureaus perform the most difficult task of collecting credit information. There is no perfect way of doing this because of human error, identity theft, or the unalterable nature of the credit reporting system. Due to this, bureaus may store ‘inaccurate, misleading, or biased information about millions of people on their credit reports. But what if the credit bureau does not respond in 30 days. Don’t worry, you can solve credit reporting complaints with all CRA’S.

In this regard, I am sharing with you practical experience. A few months back someone notices that three -fraud credit account is there in all three-credit report of a different credit agency. Then he contacted all three CRA’s and they inform him that if these accounts are not belonging to him then inform the police and make a report. Then he collects the police report from the local station. And then sends one copy of it to all the CRA along with the statement that the fraud accounts are not him, they should block the accounts immediately. Because of his request, Experian and Transition removed all fraud accounts, but Equifax started the “dispute” process.

What to do if the complaint is not solved with Equifax?

If your complaint is not solved with Equifax then what can you do? What if the credit bureau does not respond in 30 days. Here is another example of such kind of problem that I am going to share with you. Someone from Georgia sent a statement and police report to Equifax one month before. However, what happened to him after one month? Please stick to the context I am describing to you the full incident.

After one month, the dispute was complete and all 3-fraud accounts came back as belonging to him, which is a lie. The creditors are B.O.A, Capital One, and Macy’s. Then he filed a complaint with the Consumer Finance Protection Bureau (CFPB) against Equifax that initiate another dispute. After this, he has to wait for another 15 days for the outcome of his complaint to CFPB according to the CFPB guideline.

solve credit reporting complaints

What to do When CFPB is not able to give the result?

If the Consumer Finance and Protection Bureau (CFPB) does not give you the result (They usually do in this case). Then sending EQ and ITS (Intent to sue) letter should be your next move is going to be, at this point you need to wait for the CFPB to complete. Normally it had great success going the CFPB route. This is the way you exactly solve credit reporting complaints with all CRA’S.

Erroneous items on credit card reports often go unchallenged. Even though the FTC reports that 79 percent of consumer who disputed credit report errors was successful in removing them. Monitoring your credit score at a regular interval can be a good way to catch identity fraud.

If you invest a little time to overcome the hurdles put in place by creditors. Then you’ll transcend achieve your credit score and get the life of your dreams. This is how you could increase your credit score. More detailed advice is available on the Federal Trade Commission website.


Debt validation can raise your credit score

Debt validation can raise credit score but it will not increase credit score 100 points overnight. Credit score increasing is an achievable job it takes a little bit of time and continuous effort. Debt validation helps to accelerate the process of raising credit score 100 points more quickly but not boost credit score overnight.

Topic covered:

  1. How do you force creditors to Validate Debt (and Excuse It)?
  2. specific excuses Experian accepts to dispute the debt
  3. Why do you force creditors to validate the Debt?
  4. How to win against debt collectors in court?
  5. More Information about late payment negotiation
  6. How to Stop Harassing calls from your collection agencies Legally
  7. Fax, email, or mail this handy letter to any collection agency contacting you
  8. How to Search Court Records and Deal with the collection agency
  9. What do you do if you sued legally?

How do you force creditors to Validate Debt (and Excuse It)?

Now we’re going to discuss another secret that will help you with improving your credit. You should know the various excuses that are valid to dispute your debt and force your creditors to validate debt so that it can remove from your credit report. Feel free to skip ahead if you already know this.

A customer named Jill recently got divorced from her husband. She was distraught because debt collectors kept hounding her for debt her husband racked up before their divorce was finalized. Therefore, Jill was terrified of her ex-husband’s bad financial decisions would follow her for the rest of her life. However, there’s no reason for Jill to live in fear. Because after the divorce was finalized, Jil can Force Creditors to Validate Debt as she is no longer responsible for that.

While we like to think of banks as faceless monsters, they’re organizations filled with people just like me and you. Many of them will excuse late or missed payments under extraneous circumstances. Credit reporting agencies and even courts will accept these excuses too.

specific excuses Experian accepts to dispute the debt

Here are the specific excuses Experian accepts to dispute debt as of August 2018:

– Payment never late
– Not mine or no knowledge of account
– Account paid in full
– Account closed
– Unauthorized charges
– Belongs to the ex-spouse
– Balance incorrect
– Included in bankruptcy
– Belongs to the primary account holder
– Corporate account
– The balance of history inaccurate
– Belongs to another person with the same or similar name
– Identity theft

Like I mentioned before, documentation is the key to disputing your debt. Be sure to keep copies of payment receipts, court papers, and anything else that will prove that you don’t owe the money. Use the same letter which I already discuss and add whichever specific phrase applies to you and back it up with documentation.

Jill was able to prove the debts belonged to her ex-husband because she sent copies of her divorce paperwork to the creditors and credit agencies. Because Jill is no longer married to her deadbeat husband. Therefore she’s no longer responsible for his debt. Now she used the phrase “belongs to ex-spouse” and the debt removed from her credit report. So always force creditors to validate Debt. It will help you to increase your credit score and you’ll notice the improvement already started to your score.

That’s all it took to nearly double Jill’s credit report. And we don’t just divorce people. Sometimes we end relationships with our creditors too.

Why do you force creditors to validate the Debt?

If you no longer have a relationship with the company, you may force creditors to validate the Debt. You can do this through your credit report dispute. It’s also a successful defense that uses by many debtors in court during foreclosure, repossession, and collection hearings.

Robo-signing was an abusive practice that was uncovered after the 2010 foreclosure crisis. Banks illegally falsified loan documents through a third party and used those documents to foreclose on people’s homes. It’s one of many secret practices used by creditors to stick you with debts you don’t know they can fight. So the moral of the story, always force the creditor to validate the debt. It also helps you to increase your credit score.

How to win against debt collectors in court?

Using the law to your advantage can help you win against debt collectors in court. Here’s a secret you probably didn’t know. The Fair Debt Collection Practices Act gives you 30 days from the first notice of debt from a company to dispute the validity of the debt. If the debt collector can not provide this validation, you can sue in federal or state court for $1000 in damages. In some states like Arizona, improper debt collection practices are also a criminal offense.

If you believe that your rights are violated under the FDCPA, report the violation to the Federal Trade Commission. Their website walks you through the process. Don’t let anyone abuse you, financially or otherwise. Because You’re a strong, independent person who’s capable of amazing things.

And while we’re discussing the FDCPA and FTC, let’s review some of the rules regarding how long debts can stay on your credit report. (and after being charge off, how much they can  increase )

Story: Late Fee Lambada

There was one senior on a fixed income with whom we worked, let’s call her Rose. She was in agony because she was trying to get a loan to help her daughter with a medical bill. Although she didn’t have much credit, she had a string of Store Credit Cards, from Macy’s to Sears that she kept up with regularly. As long as the coral shoes match that dress, right!

Her problem? A few late payments were devastating her score! Although the Postmark Prompt Payment Act never passed, Rose was able to pirouette around several late fees. Look, spaghetti arms.

“According to FICO data, a 30-day delinquency could cause as much as a 90- to 110-point drop on a FICO Score of 780 for a consumer who has never missed a payment on any credit account.” (Equifax blog 2014)

So, what did Rose do? She Asked! And they waived her late fees – even put it in writing. With her updated score Rose was able to get the loan she needs to help her daughter through a difficult time.

Tips: Just Ask. If for whatever reason you do make a late payment, call your Creditor and just ask for a “Waiver”. Surprisingly it works more times than not.

Jennifer, an authorized user on her fiancee account and forgot to make the payment ($37). Her score go down tremendously (100 + points),
Now her question: Is there anything that can help to get the score up?

Answer: Please Ask your credit card issuer or lender if they can forgive that late payment. Maybe you are out of the country on vacation and you had no idea the bill existed. Credit Card Company is pretty forgiving if you have a good record of making on-time payments.

More Information about late payment negotiation

Here is an example for you. Susan’s middle-aged woman, her husband told her that he would no longer be able to work to medical issues. It is going to take months to get disability and in between the time, we will have very little income. We are not behind our bills yet, but next month we will not be able to make our minimum payments. So what should we do?

Answer: Call your creditors and explain the situation. Many issuers will help you work out an alternate payment plan or agree to waive a late fee or holding of reporting 30-day delinquency to the credit bureaus.

Tips: If you miss the payment on accident, call your issuer to see if it will abstain from reporting it to the credit bureaus or save the late fee. Most credit card companies will agree to your request if your payment history is good enough.

So, if you really make a late payment recently. There is still a chance, you can remove it from your credit reports by Ask nicely for a goodwill adjustment or Negotiate with your creditor. Therefore, if you are not at fault, reports dispute the payment.

Now we’re going to discuss another secret that will help you with improving your credit. You should know how to deal with your old debt if you have any and  How to Eliminate your Old Debt.

If you don’t have an old debt, good then continue to read another secret on how to stop harassing calls from the collectors or how to optimize your debt ratio to game the system.  Get excited, because your life is about to change!

How to Stop Harassing calls from your collection agencies Legally

Debt collectors can be a pain but it doesn’t take superpowers to stand up to them. Because of the 30-day window given by the FDCPA for debt validation, it’s also important that you don’t validate who you are for collection calls or letters. This way they have no proof they reached you if the matter ever goes to court. It can also restart the seven-year clock. Of course, ignoring them won’t make them stop. To stop collection agency harassment you can send a letter to the collection agency to stop harassing you.

Let’s discuss a real-life experience. When Charlie came to see us, he looked like he got in a fight with Mike Tyson. Because he was exhausted and disheveled.  So, when I asked him what was going on, and he said, “debt collectors are calling me every day!”

Getting a constant collection of calls, letters, and emails can be stressful. There is a way to stop collection agency harassment calls and letters. Thankfully, federal law requires collection agencies to stop collection efforts after receiving a written request. Here’s the perfect strategy to stop the madness without admitting fault.

Fax, email, or mail this handy letter to any collection agency contacting you

Sam Consumer
10 Cherry Lane
Flint, MI 10886 (replace with your name and address)

January 2, 2010 (replace with today’s date)

NBC Collection Agency
1 Main Street
Flint, MI 10887 (replace with the collection agency’s information)

Dear Sir or Madam:

I am writing to request that you stop contacting me about an account number _______ with
[name of creditor] as required by the Fair Debt Collection Practices Act 15 U.S.C. section

[Describe any harassing contact by the collection agency. If appropriate, provide information
about why you cannot pay the bill or do not owe the money].

This letter is not meant in any way to be an acknowledgment that I owe this money. And I will take care of this matter when I can. Also, your cooperation will be appreciated.

Very truly yours,
Sam Consumer

Always be sure to send the letter with a return receipt so you have proof you sent it. If you continue getting calls and letters from the agency, document them and send another letter. This paper trail helps you or your lawyer if you decide to sue the collection agency down the road.

And you absolutely should sue if necessary. You can recover up to $1000 plus any damages and attorney fees. That’ll teach those collectors for breaking the law and harassing you.

How to Search Court Records and Deal with your Collection Agency

If you don’t pay a creditor, they can sue you in your county’s superior court. If they win this case, they may be able to garnish your wages, but you won’t go to jail. Because debtor’s prisons are illegal.

To sue you, they must then serve you with a court summons. If you ignore it, it can result in a summary default judgment against you. It’s important to always respond to court notices.

This isn’t always easy. Sometimes process servers will serve you at old addresses. You may be deployed for the military, be in the hospital, taking care of family emergencies, or simply miss the notice.

Even worse, some collection agencies will hire law firms (or often are law firms themselves). So they’ll send collection notices with the law firm’s header to scare you into paying. These are not official court documents, that need to deliver to you either by certified mail (requiring a signature) or a process server.

What do you do if you sued legally?

To find out if you are being sued in court or have any judgments against you, call your county’s superior court. Most counties have online public records search you can also find by typing “____ County Court Records” and entering your first and last name into the court’s search engine.

If sued legally, contact the creditor listed as the plaintiff in the court summons. Even after entering a judgment, they are often willing to negotiate. Here’s documentation from a real client we successfully negotiated down $4000 of debt for:

Payment or Settlement Offer

Debt Settlement letter

Sued for a debt isn’t the end of the world. Because you can use all the documentation that you have in your defense. This includes payment records, hospital records, court records, and documentation of any collection efforts used against you.

I’ve said it before and I’ll say it again – documentation is the secret sauce to defending yourself against debt collectors. If you can prove they violated the law in collecting your debt, you can win the case against them.

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