Article Abstract:
Credit clinics take advantage of Section 611 of the Fair Credit Reporting Act to charge consumers hundreds of dollars for information which they could obtain free or for a nominal fee from credit bureaus. The credit clinic approach to clearing derogatory items from consumer credit files is to have the consumer: obtain a credit report copy, dispute every single adverse credit report item, and pressure the credit grantor to change unsatisfactory ratings to satisfactory ones. It is suggested that creditors can help cut back on credit clinic activities by assuring file accuracy, informing consumers of their right to review credit reports, and informing the media about credit clinic activities. Consumers should contact creditors directly when they have financial problems, ask credit bureaus for full file disclosure, and obtain financial counseling from non-profit agencies.
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Article Abstract:
Consumer debt reached $541.9 billion as of December 31, 1985 according to the Federal Reserve Board, up 19.3 percent over the previous year. The Consumer Credit Counseling Services, sponsored by the National Foundation for Consumer Credit, maintains 240 offices nationwide to assist consumers in dealing with their debt. During 1985, they conducted interviews with 127,000 consumers, 40 percent of those interviewed should be able to work through their credit problems with some guidance and determination; 35 percent need a debt management program which is more disciplined. In addition to offering credit counseling, educational programs on personal finance are offered by most centers.
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Article Abstract:
When applying for credit, the most difficult step can be filling out the application form. TRW Credentials is a product aimed at providing consumers with a more efficient means of applying for credit. TRW Credentials furnishes subscribers with up-to-date information on the status of their creditworthiness, and will inform the subscriber as to inquiries made about his credit. Other credit services available to the general public from TRW are discussed.
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