This article provided by our newest Geezeo Expert, lawyer John M. Amorison, Esq. Ask him a question directly by joining his Geezeo group.
Avoiding Bankruptcy
It is the last quarter of the year 2008. The stock markets throughout the globe are in turmoil. Gold is soaring. Oil is falling. Are we in another Great Depression? Millions of Americans have lost billions of dollars in the 401k’s IRS’s, employee stock option plans and their brokerage accounts.
In light of this Armageddon, what is the average person to do now? We can’t stop the stocks decline. Hopefully that will rise, but luckily there are some basic things that can be done.
First, look to yourself. Mortgages, car loans, and personal loans have become harder to obtain because of this credit crisis. However, credit is still available. Today, however, your credit score is even more important.
Second, be pro-active and obtain your credit report from all three credit reporting bureaus, Equifax, Trans-Union and Experian. Don’t get a tri-report or a free credit, etc. Go to the actual bureaus and get your actual report they have on YOU.
Third, be a detective. Read the reports. They may or not be the same. Some have information on you and some may not. That’s fine. Make sure what is contained in them is accurate. Did you pay off the loan? Does it say that? Is the account settled or open? Did you pay off the judgment? Is your bankruptcy more than ten years old? Are judgments or delinquent accounts more than seven years old? These are obsolete and the Fair Credit Reporting Act allows you to have them removed. Once removed, your credit score will rise.
Look for multiple social security numbers, wrong addresses, wrong employers, and identity theft or relatives information on your report. If you find any of these items, get rid of them.
You may hire a lawyer, who knows what they are doing or do it your self. Whatever the case may be, make sure its done and removed so your credit score can improve.
Fourth, take stock of your spending habits. I know that sounds like a cliché, but another way to improve your score is to reduce or payoff your credit. The less outstanding credit obligations you have, the higher your score.
Okay, you have done everything above. How does that help you today with all of this turmoil? We can’t see what is around the corner. But like survival of the fittest, the strongest will survive. If there comes a time you need to get credit those with the best credit will be able to get it and those who do not, will not get the loan.
John M. Amorison, Esquire
www.amorisonlaw.com
Related:
Meet Financial Expert John Amorison
John M. Amorison’s Geezeo Expert Group
Four Ways to Legally Clear Credit Card Debt
October 21st, 2008 at 8:34 pm
Aside from steady and even paced investing, your credit score and debt history will be the key to survival.
http://bluecollardollar.com/FICO-creditscores-debthistory-101208.html