By Carrie Reeder
So, youíve found the perfect home. Youíve already decided
to place each piece of your furniture inside the home, and in
your mind, all of your family photographs are hanging
the stairwell. But waitódo you know that even if you believe
that your credit report is spotless, it could negatively
your chances of getting that home mortgage approval?
The credit bureaus handle hundreds of thousands of credit
reports, and itís only logical that they will make mistakes.
fact, studies show us that there are some types of errors on
least 50 percent of all credit reports.
Could an error be lurking on your report?
Hereís a simple step-by-step guide to ensure that your credit
report reflects exactly what it should.
Step One: Avoid a Bad Credit Report by Requesting a Copy of It
Under the law, you are entitled to a copy of your credit
from each of the three credit reporting agencies. You should
simply submit a request in writing or visit their web sites
request a copy.
Step Two: Check the Personal Information
Maybe your name is Jane Smith, but the agencies have you
as Jayne Smith. If you donít think that it matters, youíd
think again. If the agencies have a miss-spelling in your
the wrong address, reversed digits on your social security
number, or even wrong employer information, it could mean bad
news for your report. If the person who they have you confused
with makes a late payment, then it will appear on your report.
Whatís worse, if they file for bankruptcy or default on a car
loan, it will take some time to sort out the erroneous
information once itís found its way onto your report. Avoid
of this, and report any bad information now.
Step Three: The Credit Information
It may be too late, and you may find that there are loans or
other items on your report that youíve never taken out. In
addition, you may find that late payments are on your credit
report when youíre sure that you made them on time. If you
such erroneous information, then youíll need to send the
reporting agencies a letter explaining the error, along with
any proof or documents that you have that will back up your
claim. They are required to investigate your complaint and
report back to you with their findings.
Itís important to do all of this before you apply for a home
mortgage. It will not only reduce the amount of time that it
takes to get an approval, but it could positively affect the
interest rate that you end up with.
About The Author: To see a list of recommended bad credit
mortgage loan companies, visit this page:
Reeder is the owner of ABC Loan Guide. It is an informational
loan website, with informative articles and the latest finance