Did you know that people with bad credit may pay over $200,000 more for things over a lifetime? The good news about credit is that there are steps you can take right now to improve your score!
St. Louis Regional Financial Empowerment Coalition and its partners are celebrating Credit Awareness Month in October by organizing FREE on-line classes and events for residents in the St. Louis metro area. These events are specially designed to educate you about sound budgeting and finance principles that will guide you through your journey to build your credit!
Please visit the Money Smart St. Louis calendar on our website for more information. The calendar will continue to be updated throughout Credit Awareness Month and throughout the year as more financial education learning opportunities become available – so be sure to bookmark the site.
Don’t miss out on this opportunity to learn more about how your credit impacts you! Plan to attend a free class! There is something for everyone. All events are free, educational, and involve no sales pitch. You can also follow us on Facebook and Twitter to get more credit tips and tools.
In support of Credit Awareness Month, the St. Louis Regional Financial Empowerment Coalition, a collaborative of local financial institutions, non-profits and community organizations, is sponsoring the Creative Arts Contest. Click here to download the Community Arts Contest flyer. Students in grades 6-8 are encouraged to answer this year’s Credit Awareness Month question with a 1-minute original song and accompanying video. MP4 files are preferred.
2020 Credit Awareness Question: This is an unprecedented time for students and families throughout America. In our lifetime, there has been no other global health pandemic that has created the disruption concerning the way we live for such a lengthy period.
Please, address how the pandemic affected families financially and what families need to do differently concerning their finances and credit to better prepare for the possible second wave. In addition to addressing the issues of family finances and credit, you may select one of the following topics as you respond to the question: schools, socializing, healthcare, or social justice reform.
WEST HOLLYWOOD, CA / ACCESSWIRE / October 22, 2020 / Good credit is a must-have for anyone who desires financial freedom, and Nick Proffer is working overtime to ensure that everyone gets a perfect credit score. Through his company, ClearMe Credit LLC, Nick Proffer offers credit restoration services by taking on credit bureaus and collection companies. Many people with bad credit have bad credit because of errors from credit bureaus and collection companies. By tackling the problem from the root, Nick Proffer can help his clients boost their credit scores and put them in a good position to get approved for loans and mortgages.
Nick Proffer runs two online businesses, and both businesses were built to solve problems. As a 28-year old entrepreneur, financial freedom is one of the things he is passionate about as well as helping people get the opportunity to travel through his free travel tips. He also has an affiliate partnership with a well-known internet entrepreneur, Tai Lopez. He helps upcoming entrepreneurs start their online business and set up their online marketing, e-commerce, and affiliate marketers.
His motivation to start a credit repair company comes from when he was in a similar situation himself. He got his first credit card, and through reckless spending, his credit score got ruined. He found himself in a terrible situation to the point that he was homeless for a while alongside his girlfriend at the time. This spurred him to start researching ways to fix his credit situation so he could get approved for an apartment. He attended a mastermind event called “Tribe of Buyers,” where he helped a friend remove negative items from his credit report. He was able to boost his friend’s score, and then he started receiving calls from other people who wanted to remove negative items from their reports. The workload became so much that he had to buy some software tools and outsourced the service fulfillment to a third-party company. He has since been able to travel all over the world utilizing credit rewards.
He turned credit restoration into a full-time job, and he kept learning from his mentors. He is working on establishing a full digital team that will be handling all the work and operate his company to the point that it can make $30,000 or more monthly. His ultimate goal is to inspire everyone to take control of their finances, leverage credit to build wealth and travel for free.
He’s also planning to start a YouTube channel where he can amplify his message and give free tips that people can make use of. Nick Proffer is a huge proponent of freedom both financially and generally in life. Nick Proffer learned everything on his own, applied the tips he learned, made mistakes, spent years practicing them till he became an expert. He also spent thousands of dollars on masterminds, courses, and mentorship programs.
Everyone and every business should be in a position to build and fix their credit so they can get access to financing and ultimately live a life of freedom. With Nick Proffer, the dream only just got closer to becoming a reality.
Many mobile phone contracts don’t require you to pay a penny upfront – even for the latest smartphone. Instead, you commit to regular payments over, say, 18 or 24 months.
But, just like other credit applications, such as for a mortgage or loan, you could be rejected for a mobile phone contract if you have a bad credit rating.
Here, we consider why you might find yourself in this frustrating position and – most importantly – what you can do about it.
Why was my contract application rejected?
It’s usually the first question on everyone’s lips when they have been turned down for credit. And the answer is that, essentially, the provider has checked your credit report and determined that you’re a high-risk customer who may fail to pay off your debt.
Providers use the information on your credit file to assess your history of managing money. So, if you’re rejected, this could be for one of the following reasons, or a combination of these:
A history of late or missed bill payments, causing providers to see you as financially stretched, or someone who struggles to manage money
Holding an account in joint names with someone who has a poor credit history
You’re not registered on the electoral roll, so a provider may not be able to verify your identity and address
County Court Judgements (CCJs) against your name, or Individual Voluntary Agreements (IVAs) on your credit record, indicating that you could face financial trouble
Lack of credit history – you need some history of making regular payments to build up your credit history, and show that you can manage regular debt payments.
How can I check my credit score?
If you genuinely have no idea why you have been rejected, it’s worth checking your credit report. This way, you can find out what the provider was looking at when it decided not to offer you a contract.
You can do this at one of the three main credit reference agencies – Experian, Equifax, and TransUnion (formerly Callcredit). Experian offers a free service that enables you to sign up and check your credit score for a general overview. ClearScore is another free service that uses Equifax data.
The way credit scores are calculated varies between the different agencies, but they give providers an idea of how reliable you may be when you’re signing up for a contract.
What can I do if I’m rejected?
Remember that any financial contract is a commitment – so if you’re rejected, consider if it’s sensible to be signing up at all, particularly if you’re battling with other bills.
But whatever you do, avoid applying for a string of mobile phone contracts in the hope of being accepted. Each one will involve a credit search and leave a mark on your file, which could impact on your ability to get future credit, such as a mortgage.
The good news is there may be other options available which means you can still get a new phone or upgrade.
Pay a deposit. The network provider may get around you having a poor credit history by asking you to pay an upfront deposit for the contract to offset any risk that you fail to make payments.
The amount of deposit will vary depending on your credit status, the package and the provider. You typically receive the deposit back once you’ve made several months’ worth of payments – typically ranging from three to 12 months.
Choose a SIM-only tariff. If you’re willing to buy a handset upfront, or already have an old phone you can use, you could opt for a pay monthly SIM-only deal. These are cheaper than full-blown contracts as you’re not receiving and paying for a phone as part of the deal.
You will still have a credit check, but you’ve got a greater chance of being accepted as payments are typically lower for these contracts, so there’s less risk for the provider.
Also, paying your monthly SIM-only bill on time will help show that you can sensibly manage a contract, which may boost your credit score over time.
Opt for a pay-as-you-go deal. If you want a phone for occasional use, then a pay-as-you-go deal might suit. Once you’ve bought a phone upfront, you pay for credit as and when needed. You won’t be tied into a contract, and will not be subject to a credit check.
Get a ‘bad credit’ contract. There are specialist companies which supply phone contracts to people with bad credit. You can do an online search to get an idea of what’s available, or speak to an adviser in a mobile phone store.
However, you may not be able to get the phone model you want, and your monthly payments may be substantially higher than for a standard contract. This is not an option to be taken lightly.
Check out family deals. You may want to ask a family member with a good credit rating to sign up to the contract. That’s if you’re opting for a family deal, when several lines may be connected to a single contract – but only one person pays the bill and undergoes a credit check.
Get a guarantor. Alternatively, you couldask someone to essentially guarantee your contract by co-signing it. But, of course, they must be comfortable being liable for any missed payments, thereby offsetting the risk for the network provider in case you default. Provided you make payments on time, this option can also gradually improve your credit rating.
Improve your credit score. To improve your chances of being accepted for a mobile phone contract or any other form of credit in the future, you can take time to improve your credit score by, for example:
Registering on the electoral roll with your local authority
Ensuring you don’t fall behind with monthly repayments on any bills (set up direct debits to pay them automatically)
Sticking within your credit limit on any cards that you use and clearing the balances every month
Check your credit report (see above) and if you find any errors, ask the agency to amend them with a ‘Notice of Correction’
Finally, if you’re struggling with debt, seek help. Charities such as StepChange and National Debtline offer free and independent advice that is tailored to your circumstances.
Our goal here at Credible Operations, Inc., NMLS Number 1681276, referred to as “Credible” below, is to give you the tools and confidence you need to improve your finances. Although we do promote products from our partner lenders, all opinions are our own.
If you’re looking for a personal loan, you’ll likely come across Upstart and SoFi. Both companies offer flexible loans for a variety of purposes, but there are some differences to keep in mind when deciding between them.
Here’s a comparison of Upstart vs. SoFi to help you choose. Both Upstart and SoFi are Credible partners.
Founded by ex-Googlers, Upstart’s artificial intelligence platform fully automates 58% of its personal loans. It has originated $6.9 billion in loans and notably offers loans to those with less-than-perfect credit.
Upstart offers personal loans for a variety of uses — including debt consolidation loans, wedding loans, and more. You can borrow as little as $1,000 or as much as $50,000 and can expect fast loan funding.
SoFi offers a variety of financial products, including credit card consolidation loans and other types of personal loans. It also provides several perks to its members, such as unemployment protection, career coaching, and networking events.
With SoFi, you can borrow anywhere from $5,000 to $100,000. Plus, SoFi personal loans come with no fees.
Large loan amounts: You can borrow up to $100,000 in unsecured funds with SoFi. This can be useful for home improvement loans, wedding loans, and other large borrowing needs.
Discounts available: If you sign up for autopay, you can get a discount on your SoFi personal loan. You might also qualify for a discount if you’re using other SoFi products.
Member benefits and perks: As a SoFi member, you’ll have access to additional resources, including financial planning, career coaching, and networking events. SoFi also provides unemployment protection in case you lose your job.
Options for visa holders: If you’re a visa holder without a Social Security number, you might still qualify for a SoFi personal loan.
Higher credit score requirements: You’ll need good to excellent credit to qualify for a personal loan through SoFi. If you have poor or fair credit, you’ll likely need to consider other lenders.
Higher minimum loan requirement: You’ll need to take out at least a $5,000 personal loan to borrow through SoFi. If you need a smaller loan, SoFi might not be the right choice for you.
Longer funding time: SoFi personal loans typically take a few business days to fund. If you need a faster loan funding time, you might need to look elsewhere.
A personal loan could help you cover large or unexpected purchases. Before you borrow, it’s a good idea to shop around and consider as many lenders as possible to find a loan that fits your needs. Credible makes this easy — you can compare multiple lenders, like Upstart and SoFi, in two minutes.
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Miranda Marquit is a mortgage, investing, and business authority and a contributor to Credible. Her work has appeared on NPR, Marketwatch, FOX Business, The Hill, U.S. News & World Report, Forbes, and more.