Credit Score and Tips how to Improve it

(My Original Blog Post: http://www.minnesotainvestors.com/blog/credit-score-and-tips-how-to-improve-it/)
PRESENT
A: Credit Score

Credit Score:
35 percent - An individual's history of making credit payments on time
30 percent - The total amount of debt being carried along with available credit
15 percent - The age of an individual's open credit lines (more history is better)
10 percent - The frequency with which someone applies for new credit
10 percent - Types of credit lines

3 Steps to rebuild your credit score today:
A.Earn extra cash
B.Deposit cash on new secured credit cards, make payments on time
C.Deposit cash at local banks into a CD, take out a loan on the CD, make payments on time

3 Steps towards credit score repair management
A.Manage the bills and pay them off
B.Negotiate collections/judgments with creditors
C.Test for Chapter 7 and file for Bankruptcy

3 Negative credit effects when left unpaid
A.Levy-the creditors will take money from your bank accounts without notice(Bank accounts with your SS# attached)
B.Lien-Liens will be put on your home or property. MN has a $300,000 homestead exemption currently in 2010.
C.Garnish your wages-25% of your wages garnished from your check is likely with a successful judgment.

Improve your Credit Score:
Do-It Yourself items:
Don't EVER be late-One 30 day late on a bill could cause your score to drop 100-140 points
Get Secured Credit Cards your payments will create a positive payment history
Evenly distribute the balances over all credit cards (Goal: Balances under 20% preferred on all, then 30%, then 50%, then 70%)
Never Max Out Credit Cards (Goal: Balances under 20% preferred on all, then 30%, then 50%, then 70%)
Establish Various Types of Credit, mortgage, car loan, credit card account
Don't close unused credit account (You could be closing down long-term credit history)
More available credit-higher limits on your credit cards lower utilized/available ratio
Limit Credit Inquiries
Don't Open Too Many Accounts within a Short Period
Get a Savings or Checking Account (don't overdraft)
Avoid Consolidating Debts or Balance Transfers (May continue as rolling late payments for years)
Watch high balance credit reporting cards-some credit card companies report your current balance as the high balance looking maxed out

Improve your Credit Score:
Hire a Credit Expert items:
Negotiate Charge-offs and liens, less effected after 24months. Recent negotiating can lower your score, so do after a loan
Negotiate old collections and judgments-Recent negotiating can lower your score, so do after a loan
Open business credit cards, they don't show up on personal credit unless you are late
Bankruptcy will initially hurt your credit
Ask Creditor to Delete a 30-Day Late Item
Have your name added as an authorized user to someone else with great credit, less effective then before
Dissolve Joint Accounts after a Divorce

CREDIT SCORE AFFECTS DAILY LIFE:
-You may now be able to qualify for a home loan and buy that home you've always wanted
-If you plan on getting a home loan, a higher credit score offers you more choices maybe a lower rate
-You can qualify to get credit cards
-Many of the credit cards you qualify for will likely offer lower interest rates
-You may save money on your Auto Insurance, as it's often tied into credit rating
-Better interest rates, cheaper payments help you to have better and more affordable options
-You may be able to get a auto loan, instead of a life of expensive car repairs
-You may be able to open up bank accounts you couldn't before
-You may be able to open up investment accounts that you couldn't before
-Many employers check credit, this may help you get a job or a better one
-You may not be forced to have high interest rate department store credit cards
-You may be able to get a credit line increase
-You may be able to get a home equity line of credit
-It may help you to get a cell phone service instead of month to month, or pre-pay minutes
-It may help you to get cable TV or direct TV, without a huge deposit
-You may be able to get a new electric company service without a huge deposit
-You may be able to get a college loan, get a career and make more money
-Us negotiating your credit card payoffs may save you thousands of dollars
-We can use advanced techniques to save you from wage garnishment
-We can help the banks from calling, we can help from non stop collections
-We can help negotiate lower high interest rates
-We can help eliminate some late fees
-We can help with penalties
-We can help avoid or minimize the impact of liens
-We can help avoid bank levies
-We can help avoid or minimize the impact of judgments
-We can help delay your foreclosure, so that you can get back on your feet

HTML clipboardCONTACT ME:

Email subscribers- Go to any of these sites, to get info by email: RonOrr.com,
RenterLeads.com , RentToOwnBuyers.com , Contract4Deed.com , HomeLoansMN.com ,
MinnesotaInvestors.com, SellMnHouse.com, OverFinanced.com, BankOwnedForeclosure.com

Scenario's can be emailed to: ron@minnesotainvestors.com

Phone: 763-634-1766-These calls will be answered by a loan officer and a buyer's agent

Please answer these questions on your first Voicemail/Email
1. Credit score of everyone on the loan
2. Last Bankruptcy, Foreclosure, or Short Sale for everyone on the loan
3. How long consistent work for everyone on the loan
4. Monthly payment you can afford
5. Total money available you have
6. Your desired move-in date