Debt Management: Effects on Your Credit Rating
What are the effects of the FreedomQuest Debt Management Program on your credit rating? While there are several different versions of credit ratings out there, the most common is called the FICO score. Since 1999, Fair Isaac Company ignores any credit counseling information when calculating the FICO score, so joining the FreedomQuest Debt Management Program shouldn’t hurt your credit rating.
Your payment history is the most important factor in your credit rating. If you’ve been struggling with paying the bills, your late payments are having a negative effect on your credit rating. By joining the FreedomQuest Debt Management Program, you’ll be able to manage your debts better, pay your bills on time and start repairing your credit rating. Allowing your accounts to fall into collections or declaring bankruptcy creates black marks on your payment history so it’s important to fix your credit problems before they reach that point.
Don’t let you financial situation get any worse. Call a certified credit counselor from Consolidated Credit Counseling Services at 1-800-320-9929 to get a free debt consultation.
What is a FICO Score?
Developed by the Fair Isaac Company, the FICO score tells creditors and lenders whether or not you’re a credit risk. This three digit number ranges anywhere from 300 to 850, and is calculated based on your credit history which can be found in your credit report. They base your credit worthiness on payment history, debt level, length of credit history, inquiries, and mix of credit.
.Once you start paying your bills on time, your credit rating should improve over time. Many consumers on the FreedomQuest Debt Management Program find that they’re able to apply for an auto loan or home mortgage after being on our debt consolidation program for a year.
You can’t open new credit cards, while on the FreedomQuest Debt Management Program. This restriction acts as a benefit to you. If you’re not applying for credit cards that means less inquiries on your credit report, which further improves your credit rating. Also, you’re able to avoid the temptation of taking on more debt.
Start on the path of improving your credit rating by joining the FreedomQuest Debt Management Program. Call 1-800-320-9929 to speak with a certified credit counselor at Consolidated Credit Counseling Services.
