What the Credit Reporting Agencies DONT Want You To Know!!

One of several blogs that I will be posting will be what your 4 favorite repositories do not want you to know! A common story I often tell is how I went through public school as well as our higher learning institutions with no training what so ever as far as credit is concerned.

When I was in High school I had to take a home economics course to learn how to make a peanut and jelly sandwich so that I would not starve to death. But no where in our public (or private for that matter) education system do we teach our youth how to even manage a checking account not to mention a cumbersome non-sense system called our credit score. I do not believe that there is a more mis informed financial vehicle on the planet than a credit score.

 The so-called experts out there tell the public so many conflicting accounts of what makes up a credit score and what affects a credit score no wonder so many Americans out there have less than perfect credit. How can you fix something or maintain something that has so much conflicting information associated with it.

Sure I could put up the standard pie chart that the credit reporting agencies put out to tell you what percentages certain things affect your score. Such as paying your bills on time and not going over the limits on your credit cards. I could tell you the common sense things that the bureaus will tell you in pie charts. Instead I will give you a few things to think about until my next post when I tell you what they don't want you to know.

 First of all why all the mystery? Why do they not want you to know? The first reason is all about money. If everyone had a perfect credit score all the credit card companies out there would be competing for zero interest rates or very low rates at the worst. They make there money on less than perfect credit clients that pay high interest rates not to mention the fees for late payments and over the limit charges. Without these clients paying fees and charges and higher rates they would lose millions and millions of dollars

. Explain to me how you can pull a clients report on one service and get a score and pull a report from a different provider and get a totally different score? The credit bureaus themselves can not tell you exactly how many points an event will affect your score. Or I should say that if they even know for sure they wouldn't tell you. Credit reporting is a huge business. A money making machine built on our ignorance as to how they will control our financial freedom. I know this sounds harsh. And I know some of you will say that there are federal regulations in place to watchdog this industry. But like any large out of control institution out there it is to intrical to our economic system to rock the boat.

 Are you aware that the credit bureaus sell your information to any one that will pay for it? You can stop this practice. Send me an e-mail and I will show you how with a 2 minute phone call you can stop them from selling your information for 5 years or for life if you're smart. Instead of venting at the credit bureaus my next blog will be information on how to beat them at there own game

mailto:curt.swearengin@branch.cfic.com