« Cash Advance Payday Loans | Main | Learn how to Qualify for a Cash Advance »
Using Credit Report Info To Get Better Mortgage Rates
By Billy | August 29, 2010
If you’re satisfied with your current interest rate, you could go even better if you’re trying to refinance a pre-existing mortgage you already have. Improving your mortgage interest rate can be done by following the advice below.
The better your credit is, the better your chances are of getting a low interest rate. Do a quick health check on your credit before even applying for a mortgage. The United States Fair Credit Reporting Act (FCRA) allows everyone to dispute their credit at any time necessary.
The first step to tuning up your credit is to get a copy of your credit reports. US legislation allows everyone to request a free copy of his or her credit report once a year from the three credit agencies. The three credit reporting agencies are Experian, Equifax and Trans Union. The website annualcreditreport.com allows you to request these free credit reports.
You have the right to dispute any error on any one of the three credit reports. Law requires the credit agency in question thirty days to investigate and resolve the dispute. The information can be deleted by the credit agency if they aren’t able to find any means to legitimize the information.
There are some specialists who believe that four fifths of all credit reports contain some form of error somewhere. Despite this, the responsibility of maintaining your records’ accuracy is still in your hands. Once you spot an error, the three credit agencies would then forward your claim to the disputed creditor. Like other disputes, there is no guarantee of success, which means you may need to course any further action to the creditor should they see no cause for the information to be disputed.
The next thing to do after verifying your credit accuracy is to make sure your payment history is in order and as good as possible. Do not chase a lower interest rate if your payment history isn’t that good at all to begin with. Before refinancing an existing mortgage, or taking out a new mortgage or home equity loan, make sure you have no late credit card payments for at least six months.
Your repayment history and credit information plays a very large part in determining your overall credit score. The following tips advised earlier can go a long way in helping you get better interest rates and a higher credit, or FICO score.
Author bio: Jason Wilson is a freelance writer and currently publishes reviews of best web hosting and unlimited web hosting. Top pick ChimeHost specializes in shared web hosting, vps hosting and dedicated servers.
Topics: Real Estate Investing |
Comments are closed.