Home Loans ? Repair Credit Errors in Three Days!

Most consumers are aware that a history of paying bills late or not at all can hurt one's ability to obtain a loan. All financial transactions are recorded by three credit bureaus and offered to lenders upon request in the form of a credit report. That report contains the all-important credit score, which determines whether or not the borrower is a good risk for a loan. If you have a poor payment history, you could be out of luck when you try to obtain a loan. The same applies if there are errors on your credit report that suggest that you may pose a greater risk to the lender than you really do. Traditionally, it has taken months to straighten out problems on a credit report, and borrowers who are eager to close on a mortgage or home equity loan may not have months to wait. What can be done? A relatively new mortgage-related product known as rapid rescoring can, in some instances, fix problems on a credit report in as little as three days.

We have covered the topic of credit repair in previous articles. The notion that there are companies that can fix bad credit reports is a myth. If you have a history of not paying your bills, no company you can hire can make that particular problem go away. The only way to fix that is to become responsible, pay your bills and retire your credit card balances. On the other hand, if you find yourself ready to buy a home and suddenly discover that there is an error on your credit report that will impair your ability to qualify for a loan or your ability to obtain a good interest rate, there may be a solution. Companies that specialize in rapid rescoring work with both lenders and the credit bureaus to expedite the process of removing errors from a credit report. It's not magic; you will need to provide written proof that the error is legitimate, but once you submit it to your lender, they can pass it on to the rescoring company, who will handle the rest of the transaction. The process is often completed in three business days, although it can sometimes take as long as two weeks. Still, that's a tremendous improvement over the one to three months it may have taken in the past.

Rapid rescoring has turned out to be a lucrative business for the companies that specialize in it, and lenders love it because it helps more buyers qualify for loans. While it is a nice service to have available, most consumers would be better off preventing such errors in the first place. The best way to do that is to regularly check your credit report for errors and keep it up to date. You can obtain a copy for free from the free credit report Website. In a pinch, however, rapid rescoring has been a tremendous last-minute tool for saving borrowers from being turned away from the house of their dreams.

©Copyright 2005 by Retro Marketing.

Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including End-Your-Debt.com, a Website devoted to debt consolidation and credit counseling information and HomeEquityHelp.net, a site devoted to information on mortgages and home equity loans.

---

What is a Tracker Mortgage?

A tracker mortgage 'tracks' the Bank of England base rate, meaning your mortgage stays in line with interest rates and the market in general. The result on... Read More

Bad Credit Home Loans - Pre-Approval is Still Possible With Adverse Credit History

If you are among the millions with less than perfect credit, there are many sources available to you in obtaining a mortgage. Lenders that specialize in mortgages... Read More

Save Time With a Bridge Loan

Why You Need a Bridge LoanYou have to move fast in today's housing market if you want to get into the home of your dreams. In cities... Read More

Mortgage Terms Explained

When you are hunting for a mortgage, you will find that there are many different types of mortgages available. I will list some of the more common... Read More

California Refinance - Refinancing in California

The real estate market in California is booming. Home values continue to appreciate almost on a daily basis. Refinancing your home is an excellent way to take... Read More

Flexible Mortgage Guide

Here is a useful flexible mortgage guide. Flexible mortgages are loans which allow you to increase or decrease the size of your repayments within certain limits. This... Read More

The Top 5 Things You Must Know Before Applying for a Mortgage

You've been thinking about buying your own home for quite a long time, and now you're ready to take the plunge. You've been saving money for a... Read More

When is the Right Time to Refinance Your Mortgage?

You've heard that interest rates are down and you think it could be time to refinance your existing mortgage, but the entire loan application process was so... Read More

Poor Credit Home Equity Loan Tips

A home equity loan can help repair your poor credit history. Begin by finding a competitive financing lender with affordable rates and terms. Next, work toward establishing... Read More

Home Equity Loans - Are They Right For You?

The bills are out of control and you need a new car. "Maybe we can get a new carpet and paint the house", you say to yourself.... Read More

Private Mortgage Insurance (PMI)

If your down payment on a home is less than 20 percent of the appraised value or sale price, you must obtain private mortgage insurance, known as... Read More

Buying a Home? Dont Get Saddled with Two Mortgage Payments

I have a lot of friends and family who are currently buying houses. Many of them have had a problem with timing. In other words, they buy... Read More

Home Mortgage Refinancing ? What?s in Your Contract?

Are you one of the millions of Americans who will be refinancing their home mortgage loan this year? When you sign your contract and the other papers... Read More

Unlock your Home Loan Piggy Bank

With the recent sharp increase in property values your current home could be a pot of gold.Property prices have increase about 20% - 30% over the past... Read More

Finding the Best Homeowner Loans for Your Money

Looking for the best homeowner loans can be stressful, especially when there are so many different lender options to choose from.Banks, finance companies, and online services all... Read More

Bad Credit Home Loans - Dealing With Bad Credit Mortgage Companies Online

Dealing with mortgage companies online can enable you to get a home loan even with bad credit. Bank associates' skepticism and talk around are avoided when you... Read More

Mortgage Loan Information - Know The Basics When You Refinance or Purchase a Home

If you are currently looking for a new home, chances are that in all the excitement you won't really give any thought to the type of home... Read More

Do Your Homework - Find the Mortgage That Fits Your Lifestyle and Your Budget

You've been looking at houses for months, and finally you've found it--the house that's just right. So now, all you have to do is to purchase your... Read More

Thought Fixed Rate Will Give You a Respite from the Perils of Variable Rates! Think Again

Slight increases in the interest rates raise your hackles. Tension grips your mind as to how you are going to make the extra payment. Preparations begin right... Read More

Thought You Can Go All Alone In Mortgages! Mortgage Advice Beneficial In All Important Decisions

Mortgages are easy as long as you understand them well. But how many borrowers can be confident of their knowledge of mortgages.With the list of terms and... Read More

Good FICO Credit Score? Tips to Getting the Most Out of Your Home Mortgage Loan With Good Credit

Sometimes so much is talked about how to solve the problem of having bad credit, but what about when you have an excellent credit rating? Good credit... Read More

Get the Best Rate on Your Home Mortgage Loan

Home mortgage interest rates hit record lows in 2004 and have remained at record lows as we go through 2005. It is possible today to get a... Read More

How to Find the Lowest Rate Possible!

The quest is on! You're in the market for a new home loan, a refinance, or a consolidation and you absolutely insist on finding the lowest rate... Read More

What is a Current Account Mortgage?

Current account mortgages are fairly new to the sector. They are quite different to other types of mortgage as they enable you to set off all your... Read More

Mortgage Sales Hit Problems

The housing market has been buoyant over the past few years, but mortgage providers and first-time buyers are both now facing a tough time. Following announcements from... Read More

Securing a Cheap Home Improvement Loan

Finding a cheap home improvement loan can be a challenge at times, but the extra work involved can pay off by saving you money in the long... Read More