Knowledge is the Key to Realizing Your Credit Rights
- By Stuart Hunter
- Published 06/5/2009
- Finances
- Unrated
Stuart Hunter
Providing credit repair services since 1991, Lexington Law has helped over 500,000 clients legally take on their credit and backs up the claim that they are "the trusted leaders in credit repair."
View all articles by Stuart HunterCleaning A Bad Credit Rating Starts with Education
There is an institution in our society that impacts everything from your ability to obtain a mortgage loan, get approved for car insurance, and land a job with certain companies. It is an element that affects each and every adult in this country but is something that is very rarely addressed during formal education and is not well understood by a huge percentage of those it affects.
What we are talking about here is the modern consumer credit system. This is the system where credit reporting agencies (credit bureaus) collect, organize and save financial information about consumers provided by a variety of sources that is then purchased by lenders, employers, and others. This information is used to make decisions about whether or not you are a dependable, credit worthy person.
After a short time dealing with the financial community, most find out the rudimentary basics of the credit reporting system. They know that their credit files contain information about them and they know it is beneficial to maintain a good credit rating. But from there, their knowledge of credit dropps off and many of the things people believe are in actuality incorrect or flawed interpretations of the facts.
Many do not know how a credit score is derived, what steps they can take to improve their credit rating, the myriad of resources they have for disputing questionable
credit listings, and how the law protects their right to receive fair treatment from credit reporting agencies, creditors, collectors, and credit repair companies.
Whether by accident or through design, much like how the pigs exerted control in Animal Farm, this lack of knowledge leaves people at the mercy of the companies whose revenues are tied to consumer credit. When left unchecked, even upstanding companies will err on the side of making greater returns. As a result there are people are being charged excessive interest fees that pad the pockets of lenders because these people are not informed enough about credit to fight back. They are permitting themselves to be victimized by companies who are taking more of their money than is reasonable.
The more people learn about credit, the more empowered they become. Credit scoring is a powerful and necessary tool, but as with all sources of power, it must be kept in check. Those who learn how the system works are the ones who are able to enforce their right to a fair and accurate credit score.
Lexington Law, the trusted leaders in credit repair, believes learning about your credit is the first step in improving it. To assist consumers with this, Lexington Law has provided credit education resources including videos, lawyer interviews, expert articles and more.
What we are talking about here is the modern consumer credit system. This is the system where credit reporting agencies (credit bureaus) collect, organize and save financial information about consumers provided by a variety of sources that is then purchased by lenders, employers, and others. This information is used to make decisions about whether or not you are a dependable, credit worthy person.
After a short time dealing with the financial community, most find out the rudimentary basics of the credit reporting system. They know that their credit files contain information about them and they know it is beneficial to maintain a good credit rating. But from there, their knowledge of credit dropps off and many of the things people believe are in actuality incorrect or flawed interpretations of the facts.
Many do not know how a credit score is derived, what steps they can take to improve their credit rating, the myriad of resources they have for disputing questionable
Whether by accident or through design, much like how the pigs exerted control in Animal Farm, this lack of knowledge leaves people at the mercy of the companies whose revenues are tied to consumer credit. When left unchecked, even upstanding companies will err on the side of making greater returns. As a result there are people are being charged excessive interest fees that pad the pockets of lenders because these people are not informed enough about credit to fight back. They are permitting themselves to be victimized by companies who are taking more of their money than is reasonable.
The more people learn about credit, the more empowered they become. Credit scoring is a powerful and necessary tool, but as with all sources of power, it must be kept in check. Those who learn how the system works are the ones who are able to enforce their right to a fair and accurate credit score.
Lexington Law, the trusted leaders in credit repair, believes learning about your credit is the first step in improving it. To assist consumers with this, Lexington Law has provided credit education resources including videos, lawyer interviews, expert articles and more.
