Achieve Your Goals
Achieve Your Credit Recovery Goals with Help from Prime Standard
Your dreams can become a reality, no matter your current credit score!
We have had experience working with clients in almost every credit situation you can imagine, from removing a few simple incorrect or out of date items to guiding clients who are filing for bankruptcy through the process and helping them to minimize the negative impact on their credit. Additionally, we’ve helped clients work achieve a range of financial goals, whether it’s simply refinancing a car payment or purchasing a home.
We understand that each credit situation is unique depending on your circumstances and goals, but in every case, we have found that creating a plan and managing expectations are the keys to success. Here are just some of the obstacles that we have helped clients overcome by repairing their credit in a timely manner:
- Bankruptcy – The journey to credit recovery actually begins pre-bankruptcy, as we can work with you to minimize impact of bankruptcy on your credit before you even file! However, if you’ve already filed and don’t have a credit repair plan in place yet, don’t worry. We can still implement a number of strategies to improve your credit score and even allow you to purchase a home again one day. Managing expectations here is key, as a bankruptcy, even when discharged, can stay on your credit report for up to ten years. We’ll help you reduce that time frame as much as possible and repair your credit in order to help you achieve your post-bankruptcy financial goals.
- Foreclosure or Short Sale – The dream of owning your home again doesn’t have to die with a foreclosure or short sale. Lenders will often work with a past a foreclosure or short Sale, but you usually need to be several years past the sale date and have rebuilt your credit. Again, realistic expectations must be set here. A short sale will typically drop your credit score anywhere from 50 – 150 points and impose fewer restrictions on future home purchases whereas a foreclosure will decrease scores by 200 – 400 points and remain on your credit report for up to 7 years. We’ve worked with clients in both situations and have successfully repaired their credit in order to allow them to own their homes again.
- Unpaid Judgments – We’ve worked with many clients who’ve hit a road block on their way to purchasing a car or home due to poor credit as a result of unpaid judgments. No lender wants to take the risk that an earlier debt could take precedence over their loan. All judgments must be satisfied, removed or vacated from your credit report. And, if paid, your judgment will stay on your report for seven years. We’ll help you solve open judgments, recommending that you vacate them first or pay them and get proof that they’re paid. Yes, we know it hurts to take money out of your hard-earned savings, especially if those funds have been set aside for a down payment. But that down payment won’t do you a bit of good if you can’t get a mortgage because of an old judgment from the cable company you fought with in your first apartment.
- Open Collections – If you don’t pay a bill, the company you owe may sell your debt to a collection agency who will try to get you to pay. If you have too many, a loan officer may make you pay some off collections on your credit report before you get a mortgage. Here is where working with a reputable credit repair company is essential, as paying a collection will not raise your credit score, but LOWER YOUR SCORE. Once a debt has gone to collections your credit is hit and can only recover over time. We will advise you on if and when to pay these collections and help you improve your score despite them.
- Too Much Monthly Debt – If you’re thinking of purchasing a home, a good rule of thumb is that if you’re paying more than 5% of your gross monthly income for debt payments (credit cards, student loans, car payments, personal loans), you’re decreasing the amount of mortgage you’ll be approved for. Depending on your level of income and the housing prices in your area, a large amount of monthly debt payments may not impact you, but if you have a modest income, debt can price you right out of a mortgage, as well as stand in the way of other goals. We’ll help you assess and reduce monthly debt payments in order to allow you to reach your objectives.
A Few Best Practices
No matter your credit situation or goals, following these best practices will help improve your score.
- Pay your current bills on time, religiously. You’ll need the boost to your credit score if you’ve had problems in the past. And you’ll want to prove to a lender you’ve gotten past old issues and made a fresh start in rebuilding your credit.
- Make sure the problems are right. If not, you must dispute them off. Experts disagree about how many people have serious errors on their credit reports, but we have witnessed a client who found a spouse he never knew he had when lots of strange information turned up on his credit report. Don’t pay the price for someone else’s mistake.
Prime Standard can help you with all these, plus many more. Call us today so we can start helping you achieve your goals.