Posts Tagged ‘Credit Score’
There is also no “minimum” amount of debt required to file a bankruptcy. How much debt you can carry and hope to pay off is directly related to how much money you earn. I think the best way to see if bankruptcy is a good option for you is to compare how long it would take you to pay off your debt with how long it would take you to restore your credit after a bankruptcy. Generally, though a bankruptcy can be reported by the credit bureaus for up to 10 years, a person can achieve a credit score that allows for decent financing rates within one to two years of their discharge from a Chapter 7 bankruptcy, provided all the debts that survived and post-dated their bankruptcy are paid on time. If it will take a longer time to pay off your debts in full, and you don’t see your income changing too much in the future, then bankruptcy is an option to consider.
A credit score is a number representing the creditworthiness of a person or the likelihood of a person will pay his or her debts. The scredit score is primarily based on statistical data from the three credit bureaus. Using the credit scores, lenders determine who qualifies for a loan, the interest rate and credit limit. FICO (The Fair Issac Corporation) is a publicly traded corporation and is the most widely used credit score model used in the U.S.
If you request your credit score the only one you should purchase or pay attention to is from FICO. The other scores are FAKE. If you are using a credit repair organization find out if the score they provide is from FICO or fake! Just remember…if the scores are not FICO – ignore them. If the credit-related service does not monitor your real FICO scores – ignore them.
As of February 14, 2009 you can only purchase 2 of the 3 FICO scores at www.myfico.com/12