Student loan aftermath, the importance of credit scores
News from Daily Herald:
2014-07-09T00:15:00Z Student loan aftermath, the importance of credit scores Daily Herald
BPT– This is a special time of year. Across the nation, graduates are on the horizon of new careers and building their own lives. While this is an exciting stage in life, it is a concerning time as well.
Many students are graduating with student loan debt and research shows that Millennials, ages 18-34, know comparatively little about how that debt affects their credit scores and what it takes to have great credit, according to recent research conducted by the Consumer Federation of America (CFA) and VantageScore Solutions, LLC.
How concerning is it? The research found that only 40 percent of Millennials claim to have good or better knowledge about credit scores. Furthermore, only 65 percent of Millennials could name the three main credit bureaus. And fewer than half (47 percent) of Millennials knew that age is not a factor when calculating credit scores.
“Most troubling is that only 42 percent of Millennials know that a credit score measures the risk of not repaying a loan rather than factors such as knowledge of, or attitude to, consumer credit,” said CFA Executive Director Stephen Brobeck. “Consum…………… continues on Daily Herald
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Tenants can now have their history of rent payments incorporated into their …
News from Washington Post:
Anybody buying a first home quickly learns how important credit scores are to mortgage lenders. They like those scores high.
But if you’ve been renting for years and have a stellar record of monthly payments to your landlord, you typically run into a sobering reality when you shop for a mortgage: All your on-time payments show up nowhere in your credit bureau files and do not contribute to your scores.
Ditto for other routine credit payments: your cellphone bills, cable and satellite TV, utilities. You may have perfect payment histories for all of these, but nobody knows about them. Why? Because the landlord, phone and cable companies, and many other creditors don’t report your payments to Equifax, Experian or TransUnion, the three big credit bureaus. In the all-voluntary American credit system, they are not required to report anything to anyone.
This is a big deal. At a time when record numbers of first-time buyers are mi…………… continues on Washington Post
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