Debt Relief: Difference between revisions

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Most financial advisors agree that the most important step a person must take before seeking counsel is to change their money management skills. The debtor must change the way he/she thinks. They must rid themselves of all financial anxieties or debt will probably accumulate again.
Most financial advisors agree that the most important step a person must take before seeking counsel is to change their money management skills. The debtor must change the way he/she thinks. They must rid themselves of all financial anxieties or debt will probably accumulate again.


==Managing Your Credit==
==Managing Of Credit==
The most difficult thing to grasp when dealing with management of credit is understanding how one obtains credit in the first place. Usually a creditor follows a checks and balance system of determining if someone has the ability to obtain credit. Specific criteria must then be met in order to obtain credit.  Creditors will then solicit a credit history from credit reporting agency such as [[Debt Relief:Bibliography#Experian | Experian]], [[Debt Relief:Bibliography#Trans Union | Trans Union]], and [[Debt Relief:Bibliography#Equifax | Equifax]]. A number is assigned based on past history or whether or not there is a history at all. That number is called a [[Debt Relief:Definitions#Beacon or credit score |Beacon or credit score]]. If the score is low, then one is considered "high risk" and chances are the request for credit will be denied. The higher the credit score, the more likely one would receive approval. While it may be great to increase the amount of credit to increase the score, each time an applicant applies for credit, the score drops.  
The most difficult thing to grasp when dealing with management of credit is understanding how one obtains credit in the first place. Usually a creditor follows a checks and balance system of determining if someone has the ability to obtain credit. Specific criteria must then be met in order to obtain credit.  Creditors will then solicit a credit history from credit reporting agency such as [[Debt Relief:Bibliography#Experian | Experian]], [[Debt Relief:Bibliography#Trans Union | Trans Union]], and [[Debt Relief:Bibliography#Equifax | Equifax]]. A number is assigned based on past history or whether or not there is a history at all. That number is called a [[Debt Relief:Definitions#Beacon or credit score |Beacon or credit score]]. If the score is low, then one is considered "high risk" and chances are the request for credit will be denied. The higher the credit score, the more likely one would receive approval. While it may be great to increase the amount of credit to increase the score, each time an applicant applies for credit, the score drops.  


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