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Have a question about credit or about our services? Below are some common questions and short answers. If you need answers geared to your specific credit situation, just contact us and your personal credit mentor would be happy to answer any questions you may have.

What is a Credit Report?

A credit report contains information about you and your credit history that is prepared by for-profit companies known as credit bureaus. Most lenders will base their decisions to extend you credit or financing based on your report. A credit report typically includes the following:

  1. Identifying Information - Personal information such as name, address, birth date and social security number
  2. Credit History - How long you have used credit The amount of debt you have The types of credit you are currently using including credit cards, mortgages and installment loans. How many times you have applied for credit Late payments (30 days or longer) Accounts that have been sent to a collection agency.
  3. Public Records - These are court records, which include information about bankruptcies, judgments and tax liens.
  4. All Credit Inquiries - This is a list of everyone who sees your credit report. Be aware that multiple inquiries over a short period of time can have a negative impact on your credit scores. Requests made by you to see your own credit file are not recorded or counted.

Who Can See My Credit Report?

Anyone who wants information for a business transaction between you and them may obtain your credit report. This may include a prospective employer or landlord, an insurance company, or a collection bureau.

How Long Does Information Remain On my Credit Report?

Negative credit information can remain on your credit report for seven years. Chapter 7, Chapter 11 and Chapter 13 bankruptcies are reported for ten years from the date filed. Positive information can and should stay on your report forever.

What is a Credit Score and Why is it Important?

A credit score is a number usually between 350 and 850 that is calculated by a mathematical equation that evaluates many types of information on your credit report. The higher your score the better. This score helps lenders and others decide how likely you are to repay your debts. Credit scores do matter. They affect whether you can get credit, your interest rate or credit limit on a credit card, auto loans, mortgages, and even the types of jobs and rental housing available to you.

How are Scores Evaluated?

  • Scores under 500 - Bad score.
  • Scores 500 - 600 - Poor score. This usually results from late payments, collections and charge- offs. You will most likely be charged the highest interest rate allowed by law in your state or you could be turned down completely.
  • Scores 600-650 - Fair score. You will be able to obtain credit more easily than the poor score category.
  • Scores 650-700 - Good score. As long as your debt to income ratio is low you will be approved and will likely pay a lower interest rate on your loan.
  • Scores 700 + - Great score. You are considered a "prime borrower" and will be able to obtain favorable financing terms.

How are Credit Scores Calculated?

When lenders talk about "your score" they usually mean the FICO score developed by Fair Isaac Corporation. It is today's most commonly used scoring system. It is an important calculation that can control whether or not you are eligible to receive credit and if eligible, the terms you can receive credit under. There are five parts to your credit score and here is how they are broken down..

  1. Your payment history - about 35% of your score How bad are the delinquencies? How recent are they? How many times did they occur?
  2. How much you owe - about 30% of your score How much do you owe on all your accounts? How many accounts do you have with balances? How much of your available credit are you using?
  3. Length of credit history - about 15% of your score.
  4. New credit - about 10% of your score Are you taking on more debt?
  5. Types of credit in use - about 10% of your score Do you have a healthy mix of credit?

What are Some Benefits of Credit Scoring?

Credit scoring evaluates all applicants by the same criteria. It eliminates the possibility of discrimination based on age, race or gender. Scoring helps speed up credit decisions and it helps make more credit available to consumers.

How Can I Improve my Credit Scores on my own?

There is no magic to improving a consumer's credit score but there are a few things that can help.

  1. Pay all your bills on time. If you have missed any payments, get current.
  2. Pay down your debt. Keep credit card balances as low as possible (Try to pay down revolving credit card debt to below 30% of the card's maximum available credit.)
  3. Don't open new credit card accounts. (Apply and open only when you need them!)
  4. Don't close unused credit card accounts. (Your credit history is an important factor.) 5. Don't max out available credit on credit card accounts.

Why Should I use a Professional Service?

New You Credit Repair is not just a credit repair company, although our credit restoration is among the most effective in the industry. Most Credit Repair companies send generic dispute letters that get little or no positive results. New You uses the complex consumer credit laws, our experience and “tricks of the trade” to get negative items that are incorrect, unverifiable or erroneous, deleted fast.

But we also take it a step further. New You looks at the whole picture of your financial situation to assess your needs in areas other credit repair and make recommendations as to a plan of action. We show you how to establish good credit and maintain it, budget, save and pay off debt so you will never get into money troubles again.

Is New You Credit Repair Legal?

There is absolutely nothing illegal about disputing items on your credit report! In fact, it is your explicit right to do so as stipulated by the Fair Credit Reporting Act.

Can You Help me Repair my Credit Report and increase my credit Score?

Usually. New You Credit Repair will explain the process and review your credit history with you. Together, we will verify that the information being reported about you is correct. New You will dispute the negative information with the goal of removing or correcting all inaccurate, unverifiable or misleading information from your reports. Cleaning up your credit report of negative information and establishing positive credit information will help to raise your scores. Raising your scores, can lead to big savings on your interest payments as well as the realization of future goals. If after reviewing your credit reports we don't feel confident in our ability to help you, we will not enroll you in our program.

Will my Employer need to know about my New You Credit Repair Attempt?

Absolutely not! We will not contact your employer. Your New You Credit Repair is your own business.

What are Soft and Hard Inquiries?

Soft inquiries occur when you pull your credit report or when one of your existing creditors pulls your credit report. Why do creditors do this? They are checking to see how you are doing credit-wise to see if potential problems exist. Soft inquiries do not have an effect on your credit score.

Hard inquiries occur when your credit report is pulled as a result of your applying for new credit. These inquiries count against you.

Which Negative items are most damaging?

These negative items are listed in order of descending importance with the first item being the most damaging to your credit.

  1. Bankruptcy
  2. Foreclosure
  3. Repossession
  4. Loan Defaults
  5. Court Judgements
  6. Collections
  7. Late Payments

Does Paying off past due accounts help to improve my credit score?

It can, but to a very limited extent. Paying off past due accounts may benefit your debt to income ratios which lending underwriters look at in determining your ability to carry the burden of additional debt. It also has the negative impact of keeping the item on your report for an additional seven years, as the date of last activity is now changed to the date of last payment. New You can advise you if this is the right course of action in your specific situation.

Over time can deleted accounts reappear?

It is possible but the methods of disputing inaccurate information that New You Credit Repair uses minimize the possibility. Should a previously deleted item reappear, we will work to have it removed.

How will I find Out about my results?

New You will update your private client portal with the information that you have received from the creditors and or bureaus so that you can track your progress. We will provide you with a "key" to access your client portal 24/7. You will be able to send and receive notes from us and to us as well as send private information securely.Using this portal will help you avoid the hassle of faxing pages upon pages of information and avoiding the internet’s unsecure environment.

Am I guaranteed that this works?

Unfortunately, we cannot guarantee that negative listings to your report will be removed. Only the credit bureau has the right to remove negative information from your report. However, we at New You are confident about our methods and if you follow our instructions and your dispute is based on facts, you should be successful. If not, we will help you to persist, all the way up to legal action if you choose.

What services does New You Offer other than credit restoration?

New You customizes each plan based on the client’s financial situation, needs and goals. Then we recommend those services that will most benefit the client and move them quickly toward realizing their financial goals. Some of those services include:

  1. Credit building tools – Great for clients wanting to boost their credit scores quickly or those just starting out with credit.
  2. Debt pay down - By utilizing one financial tool, you can pay down your debt faster than you dreamed possible and save thousands of dollars doing it.
  3. Identity theft protection – Put a proven system in place to protect your identity and your money. Identity theft is a growing problem; don’t be a statistic !

Contact Us Today!