If you are considering a home purchase in the near future, you should take a look at your credit score 6 months prior to taking your first steps in the homebuying process.  You can check your score for free at the three credit reporting bureaus: 
1.  Equifax:  1-800-525-6285
2.  Experian:  888-Experian (397-3742)
3.  TransUnion:  800-680-7289

Keeping track of your credit score is very important.  Doing all you can to maintain a good credit score pays off; consider these statistics:

Use the formula to see the difference 100 points on a credit score means to a monthly payment -

Points X LoanAmount / 12 monthly payments = how much more in monthly payment?

       600 Credit Score                               700 Credit Score
        8% X $300,000                                10% X $300,000
2 point % difference = 2% X $300,000 / 12 = $500 per month more...$6000 a year.

Statistics show that identity theft is on the rise.  Keeping track of your credit score will prove valuable in quickly detecting and fighting identity theft as well as billling and reporting errors.  The Fair Credit Billing Act (FCBA) assures several consumer protections and provides steps to dispute errors in billing information from 'open-ended' credit accounts. (It does not cover installment accounts).

The Fair Credit Reporting Act (FCRA) protects consumers by requiring consumer reporting agencies to follow certain procedures, and provides certain rights to access information about their credit report to consumers. 

If you find information that is incorrect on your credit report, you have the right to dispute the information under the guidelines of these two Acts of legislation.  Next:  What You Can Do to Improve Your Credit Scores.

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The Highland Group

Chris & Karen Highland *    301-831-9947
Turning Point Real Estate – 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119