Good Credit is Sexy - Table of ContentsINTRODUCTIONSECTION I: THE BASICS OF CREDITCHAPTER 1: HOW DOES CREDIT AFFECT YOU?Joanne's StoryEveryone Has a Credit History/Rating Three Big Filing Cabinets-the Credit Bureaus Who Regulates the Credit Reporting Agencies (CRAs)? CHAPTER 2: HOW TO BUILD CREDIT IF YOU DON'T HAVE ANYSteve's StoryNo Credit is the Same as Bad Credit Situations Ripe for Building Credit Before You Apply Yourself… Four Tricks to Adding Positive Credit to Your Credit Report Credit Lines that Won't Help Build or Reestablish Your Credit SECTION II: YOUR CREDIT REPORTCHAPTER 3: OBTAINING YOUR CREDIT REPORTSusan's StoryWhy Would You Want to Obtain Your Credit Report? Contact Information for the Three Bureaus CHAPTER 4: ANALYZING YOUR CREDIT REPORTMore of Susan's StoryWhat Does All that Information Mean? Each CRA Has Its Own Information and Layout Those Ugly Blemishes on Your Credit Complexion How Long Do Negative Items Stay on Your Credit Report? CHAPTER 5: CREDIT SCORINGJohn and Marie's StoryWhat is a Credit Score? What Exactly Factors into Your Credit Score? Things You Can Do to Improve Your FICO Score Federal Government Publications The Use of Your Credit Score to Predict Other Kinds of Behavior SECTION III: CREDIT CARDSCHAPTER 6: CREDIT CARD TYPESWayne's StoryWhich Card Should You Get? Basic Credit Card Types Contacts for Credit Cards CHAPTER 7: GOOD AND BAD DEALS IN CREDIT CARDSMore of Wayne's StoryFactors to Consider Tips for Cutting Your Credit Card Expenses Students Beware! CHAPTER 8: MAKING PURCHASES WITH CREDIT CARDSWilliam's StoryGenerally, It's Better to Use a Credit Card than a Check or a Debit Card If Asked for Additional Information when Making a Credit Card Purchase Using a Credit Card as a Check Guarantee Surcharges Charge Minimums Reservation Guarantees Shipping and Payment Billing Due Dates Payments Via Automatic Withdrawal What to Do When Merchants Aren't Following the Law CHAPTER 9: BILLING ERRORS AND OVERCHARGESMischa's StoryThe United States Fair Credit Billing Act You Must Act Quickly When Disputing Billing Errors and Overcharges Tips to Remember When Disputing Errors The Next Step-Asking for a Credit in Writing If You Happened to Pay Your Bill in Full Before Noticing an Error Unauthorized Charges SECTION IV: MORTGAGESCHAPTER 10: YOUR CREDIT AND THE MORTGAGE APPROVAL PROCESSMore of Joanne's StoryQualifying-a Sure Sign of Sex Appeal Putting Your Best Bikini Forward What Income Can You Count? What Debts Count Against You? The Dreaded Debt-to-income Ratio Financial Stability Cash in Savings If Your Application Package is a Tad Tarnished, You Can Still Get a Loan If You've Had a Bankruptcy CHAPTER 11: BANKERS VERSUS MORTGAGE BROKERS-WHICH TO USE?Josh's StoryWho Has the Better Deal? CHAPTER 12: MORTGAGE COSTSDon and Ann's StoryMoney for Closing Costs and, Oh, Yeah, a Down Payment The Costs of a Loan Fees Which Profit the Mortgage Company Other Fees You Likely Will Be Charged for a Loan, from Which the Mortgage Company is Not Making a Dime The Role of the Loan Officer How Do You Know if the Loan Officer is Jacking up Your Interest Rate? Locking Down Your Interest Rate Buying Down the Interest Rate Truth in Lending The Uniform Settlement Statement CHAPTER 13: SECOND MORTGAGESNorma's StoryWhat is a Second Mortgage? Types of Second Mortgages Why Would You Want a Second Mortgage? Are Second Mortgages a Good Idea? What Kind of Credit Do You Need? SECTION V: OTHER TYPES OF LOANSCHAPTER 14: AUTOMOBILESMartin's StoryThe Variables Financing Options Leases Payment Shaver Loans Other Things to Remember CHAPTER 15: STUDENT LOANSEsteban's StoryTypes of Student Loans Applying for Student Loans Even if You Don't Think You Qualify, Fill out the FAFSA Anyway Expected Family Contribution When Your Parent's Income/Assets Are Not Counted in the EFC Eligibility for Student Loans Defaulted Student Loan Information When is a Loan Considered in Default? Repaying Student Loans Held by the U.S. Department of Education Statute of Limitations Online Information SECTION VI: PROTECTING YOUR CREDITCHAPTER 16: WHAT YOU CAN DO TO PROTECT YOURSELFJennifer's StoryWhy Should You Protect Your Credit? How You Can Protect Your Credit CHAPTER 17: IF YOU ARE A VICTIM OF IDENTITY THEFTMichael's StoryWhat Michael Could Have Done Differently What to Do if You Are a Victim of Identity Theft If Someone Fraudulently Changes Your Address If Your Social Security Number Has Been Misused If Someone Has Been Making Phone Calls in Your Name If Your Driver's License Number Has Been Misused Other Identity Theft Resources CHAPTER 18: DIVORCE AND YOUR CREDITJack's StoryA Divorce Decree Does Not Relieve Husbands and Wives of Joint Debt Myths about Divorce Decrees How to Protect Your Credit During a Divorce SECTION VII: OVER YOUR HEAD IN DEBTCHAPTER 19: COLLECTION AGENCIESCarl's StoryYour Rights when Dealing with a Collection Agency Common Collections Tactics and Rebuttals CHAPTER 20: SETTLING YOUR DEBTSJane's StoryThings You Can Do if You Are Overwhelmed with Debt CHAPTER 21: NEGOTIATING YOUR DEBTS FOR LESS THAN YOU OWEJohn's StoryMost Unsecured Debts Can Be Settled Secured, Collateralized Debts Are an Entirely Different Story Statute of Limitations Tactics for Getting (and Keeping) the Upper Hand while Negotiating Things to Remember Tips on Payment Don't Forget to Negotiate Your Credit Rating! Get It in writing! CHAPTER 22: NONPROFIT CREDIT COUNSELING SERVICESRachel's StoryWhat Rachel Could Have Done Differently Why CCCS Isn't Always the Best Way to Go Alternatives to CCCS Beware of the Wolf in Sheep's Clothing! Being a Nonprofit Company Doesn't Mean No One Makes Money How Nonprofit Debt Relief Companies Collect Money from You CHAPTER 23: BANKRUPTCYElaine's StoryWhat Elaine Could Have Done Differently Can YOU Avoid Bankruptcy? Chapter 7 Bankruptcy Chapter 13 Bankruptcy SECTION VIII: REPAIRING AND REBUILDING YOUR CREDITCHAPTER 24: REPAIRING YOUR CREDITEduardo's StoryCan You Really Fix Your Credit? Basic Strategy Credit Segregation-is It Legal and What is It? If a Removed Item Comes Back onto Your Credit Report Federal Government Sources CHAPTER 25: ERASING CREDIT INQUIRIESSimon's StoryWhen It Is Worth It to Get Inquiries Removed? Basic Strategy CHAPTER 26: CREDIT REPAIR AGENCIESMarlena's StoryDo Credit Repair Agencies Work? Contact the Credit Bureau Yourself Problems with a Credit Repair Agency? CHAPTER 27: DEBT VALIDATIONJudy's StoryDebt Validation-the Ultimate Secret Weapon THE IMPORTANCE OF DOCUMENTATIONGLOSSARYAPPENDIX 1: FAIR CREDIT REPORTING ACTAPPENDIX 2: FAIR CREDIT BILLING ACTAPPENDIX 3: FAIR DEBT COLLECTION PRACTICES ACTAPPENDIX 4: STATE ATTORNEYS GENERALAPPENDIX 5: STATE STATUTES OF LIMITATIONSAPPENDIX 6: STATUTES OF LIMITATIONS ON JUDGMENTSAPPENDIX 7: SAMPLE LETTERSRequesting the removal of inaccurate informationRequesting the removal of inaccurate information 2 Follow-up after the initial contact to the bureau contact Requesting the removal of inquiries An Agreement to compromise debt Cease and desist to a collection agency Debt validation Debt validation 2 Asking Chexsystems to remove a listing Notice of intent to file a lawsuit |