Does Freezing Your Credit Hurt Your Credit Score?

does freezing your credit affect your score

So, you’ve heard a bit about ways to protect yourself from identity theft. The research left you with the question, Does freezing your credit hurt your credit score?  The simple answer is no.

In today’s article, we’re going to explain what a credit freeze does and does not do, and why it shouldn’t affect your credit at all.

What Exactly is a Credit Freeze?

A credit freeze protects you against identity fraud and gives a simple way to control your assets and debt. Basically, it’s a security freeze that keeps identity thieves away from your account and has no impact on your credit score.  However, a credit freeze may keep you from being approved for a new card or loan.   It can also keep you from checking your FICO scores, as well as any credit file you may have. In other words, you don’t get access to them anymore.

When Should You Freeze Your Credit?

It’s a security measure that should only be executed when you suspect some wrongdoing. A couple of examples include:

  • If you think that someone might have stolen your identity.
  • If you received a number of unauthorized alerts on your card.

It’s a good idea to freeze your credit so that you can maintain your score and not have it reflect while you’re clarifying the misunderstanding with the banks.

You want to keep your credit profile as clean as possible. It proves you’re a trustworthy borrower and enables you to access lines of credit when you need them most. So, better safe than sorry; if you’re concerned about thieves, freeze your credit.

The Limitations and Reach of Credit Freezing

A credit freeze won’t affect any activity from a credit monitoring company or demote pre-screened offers of credit. That’s why it doesn’t have much of an impact on your everyday credit-focused activities.

You can still use your existing credit cards and continue using them normally.

Unfortunately, everything comes with a price. When you freeze your credit, you’ll face a few limitations. Most importantly, you won’t be able to open any new lines of credit.  Also, you can’t use your name to inquire about your credit, and you can’t submit any new credit applications.  This also means lenders won’t be able to check your credit because your credit is frozen.

Can I Still Use My Cards?

Some people hear the freeze and get afraid that they won’t be able to use their accounts. While that’s a valid concern, there’s nothing to worry about. You’re simply freezing any credit checks, and any new credit being opened in your name.

If you suspect that your credit card has been stolen, then freezing your credit won’t prevent the thieves from using your card.

In this case, you need to take action with your banks directly.  You can still carry out your loan and credit card payments as usual and report your activity to credit bureaus. There are no problems that arise there.

We hope this blog helped you resolve the question “does freezing your credit hurt your credit score?” If you have any questions, the experts at Go Clean Credit have an answer for you. Our experts can be reached at 1-866-991-4885.

How to Increase Credit Score by 200 Points

Having a low credit score can be detrimental to your financial health. Getting a loan, buying a car or a house can become more difficult if you don’t have good credit. You can increase credit score by 200 points or more if you follow the long-term strategies highlighted below.

Obtain a Copy of Your Credit Report

This is one of the most important steps when trying to increase credit score by 200 points. Obtain a comprehensive credit report for your account so you can have the data to conduct a deep dive into what’s hurting your score.

A 3-in-1 report is one of the most popular credit score reports that shows you your FICO score between a range of 300 and 850. Ideally, you want to keep your score above 700, as anything under 500 indicates that you’re not a trustworthy borrower.

Lenders like banks and credit card companies may not offer you favorable rates, and might even reject your application.

Look Out For Inaccurate Details in the Report

You need to find and fix the holes that make up your score. Many people find inaccuracies and mistakes when they evaluate their comprehensive report. Draft a letter to the agencies, or schedule an in-person meeting with a consultant who can help you resolve your errors.

If gone unnoticed for too long, your credit score may drop even more! That’s why it’s important to challenge erroneous information on your credit report and take action now.

Work With a Credit Score Consultant

A credit score consultant like Go Clean Credit can help you figure out what steps you need to take in order to increase your score. These could include restructuring your debt, making payments on time, or managing your savings vs. expenses on your account.

Consultants provide customized insights to help with your individual case. They can increase credit score by 200 points over time and provide real-world strategies that work.

Pay Off Your Debts on Time

Before taking on more debt, you should pay off your existing ones and make all payments on time. Frequently delayed payments can burn a hole right through your credit score. If you don’t fix this now, this could prevent you from obtaining a good rate on your next loan.

Paying off your credit cards, loans, car payments, etc. on time is the best way to increase your score significantly.

Get a Credit Booster Card

This is a smart way to boost your score long term. Get a credit card on your account and start making smaller monthly payments on it. Some good examples include things like rent, electric bills, etc. that can be paid monthly without much hassle.

You may not qualify for a regular card with a low score. However, you can easily obtain a prepaid credit card if you’re willing to make a small financial investment.

Let the experts at Go Clean Credit help you increase your score by more than 200 points! Our credit repair programs puts you back on the path to financial success.  Contact Go Clean Credit today!

How Much Does a Missed Payment Affect Credit Score?

How much does a missed payment affect credit score?

A missed payment as a one-time affair won’t destroy your credit. In fact, most places would consider it a normal part of your credit history. However, if you have a history of missed payments, it could cause real trouble for your score.

No one wants to ignore their financial responsibilities, but life happens. Unemployment throws off your income, unexpected emergencies tap into your savings… The list could go on and on.

The truth is, it doesn’t matter much whether you miss payments several times in a row, or in dispersed accounts over time. Too much of them will indicate that you’re an unreliable and inconsistent investment―not exactly the type of reputation you want while seeking access to more credit.

Financial institutions use your credit history to determine whether you’re a risky investment or not. If you can’t keep up with simple payments on the things you already owe, why would someone give you even more money?

The real question is, how much does a missed payment affect credit score?

A Tip To Prevent Missing Payments

It’s easy to think that someone offering you a line of credit is the same thing as someone giving you money. It’s really not. In fact, whether it’s credit cards or a loan, these types of things are financial obligations. Not gifts.

That’s why it’s important to contemplate the financial load of any credit card you’re taking into consideration.

If you aren’t ready for the burden, you’ll inevitably fall behind on payments. This becomes a vicious cycle that could put you in a bad situation.

Everyone Falls on Bad Times

Everyone knows that unexpected financial emergencies happen. You could fall into a health crisis, you may lose your job, or there might be a home improvement emergency at home.

But bad times aren’t a reason to shirk your financial obligations.

If you miss a payment on one or more of your credit lines, lenders will see you as a risky prospect. They may stop issuing you a loan or increase the rate if it hasn’t been locked in yet.

So, How Many Times is TOO Many?

Honestly, even one time is too many. If you have been more than 30 days late on your payment, your creditor may report it to the credit reporting agencies (CRA). After it is reported, it will show up on your credit report.

When it comes to FICO, a late payment will be evaluated on the basis of ‘how late’ it was. If you were 30 days late, it may not be that big of a deal. But anything more than that can add up incrementally. The problem gets exponentially worse the more you delay it.

According to FICO data, a 30-day late payment can cause a 90 to 100-point drop on a score of a consumer who’s leading around 780. This is why it’s so important to make payments on time so that your score can be ahead of the curve.

For someone who’s hovering at a 680, a 90-day credit card account could see a dip of 80 points if they’ve been late and hit with back to back delinquency issuances.

Late payments do add up over time, but it depends on the case. Don’t take someone’s advice on the matter and take it from the experts.  Contact us today if you’d like support repairing your credit score.

Tax Relief: Cancelled Debt and Mortgage Forgiveness Extension 2018

By now, you’ve probably heard of the Cancelled Debt and Mortgage Forgiveness extension, a new tax bill passed by Congress in February. This tax rule provides relief to those who have faced foreclosure or canceled debts.

Essentially, it means you can exclude that ‘income’ from being taxed.

Canceled Debt Income

When a lender forgives or cancels your debt, the IRS considers it income. As such, it’s taxed as income. This can put prior homeowners in a precarious financial situation.

“Generally, if a debt you owe is canceled or forgiven, other than as a gift or bequest, you must include the canceled amount in your income.” (source)

When you accept money which you were required to repay to an institution, the law says that you kept the money instead of repaying.  

So, you owe taxes. Even if you never had the money on hand.

That taxable income needs to be disclosed in your tax filing. Since the income goes to your household, you have to withhold the appropriate amount of taxes.

The IRS is clear about the rule – you must include the canceled amount in your income.

How to report it?

Lenders must report this act of debt forgiveness to the IRS by filling out form 1099-C. This alerts the government of the income, which will hold the taxpayer responsible for it.

It notes your debt has been waived and should be included in the filing of the taxes at the end of the year. You would enter it as “other income” in line 21 of form 1040, to be exact.

Mortgage Restructuring & Foreclosures

For people who experienced foreclosures or mortgage restructuring from 2007 to December 2016, this extension is for you.

According to the Cancelled Debt and Mortgage Debt Relief Act, you don’t have to report the forgiven debt to the IRS. So, that means you also get a pass on paying the income tax bill you’d normally receive for such income.

What is it all about?

It was first issued in 2007 and scheduled to sunset on January 1, 2018. Thankfully, Bill H.R. 2543 was introduced to Congress in May to extend it through 2018. Now, anyone who faced mortgage restructurings or foreclosures prior to January 1, 2017, can qualify for the extension.

It’s an interesting move in the ongoing efforts of Congress to ensure proper taxation.

If you qualified before that date and didn’t take the opportunity at hand, you may have little time left over to file an amended tax return. You have about 3 years from the date you filed a return to amend it, so you might be able to take advantage of that now.

The Act allows taxpayers to exclude about $2 Million of debt forgiven or canceled by mortgage lenders on their main home.

You can claim it now by filling out the form IRS 982 with your amended tax return.

If you need more assistance, contact us today. We’d be happy to answer any questions you may have, and help you strengthen your financial situation.

What is a Credit Builder Loan – 3 Things to Watch For

So, you’ve been researching ways to repair bad credit. Along the way, you’ve heard of several different tactics. Perhaps you’ve even tried a few of them. But now you need something more efficient, which leaves you with a pressing question: “what is a credit builder loan, anyway?”

Well, when done through a reputable company, a credit builder loan is an effective way to rebuild your credit. It’s a simple loan. You won’t find it widely advertised or even offered by smaller financial companies such as credit unions or banks.

Financial companies look for reliable people. That means, when someone gives you a loan, you pay it.  Show this reliability enough over time and banking institutions will begin to trust you. This type of loan supports you throughout the process.

However, it’s important to keep an eye out for loans. As with any type of interest-based income stream, you’ll likely come in contact with plenty of unreputable places. Run.

It’s important for banking institutions to trust you, but trust extends both ways. Not all institutions care about what’s best for you; they’re just in it for a profit. So, when choosing a company for your credit building loan, make sure to keep an eye out for a few red flags.

The Ever-Present Scam Artist

Credit builder loans also go by names like ‘fresh loans’ or ‘restart loans’. They come with their own set of payment schemes and fulfillment obligations. This is a trap for many people as they don’t read the fine print, and say yes to anything that gets the ball rolling.

They’re so desperate to get their credit back, they’ll do anything to get some relief.

Unfortunately, sharks smell fear. This type of desperation attracts the wrong type of business person. If you want to survive in shark-infested waters, you need to watch out.

Don’t see someone who isn’t officially accredited.

Ask to see proof. If they become defensive or evasive, this is a clear sign to look elsewhere.

Only meet with someone who does this as their full-time income.

Don’t settle for a person who offers loans as a side hustle. Chances are, they’re just looking for a quick buck.

Avoid places that have received poor ratings and reviews.

Check Yelp, Google, and Facebook for feedback from previous customers. This often gives a good idea of who they are.

A Lack of Improvement in 3-4 Months

Aside from the initial scam, you should also watch out for how things are progressing. If your credit score hasn’t improved within 3-4 months of taking the loan, then something is wrong here. This is a key indicator that something is not working.

You should watch out for these types of schemes. Some warning signs include:

  • They don’t offer any direct solutions. Only intangibles like time.
  • They only promise. No results.
  • They don’t answer your questions. Only evade and change the subject.

Want to make sure your credit builder loan is working? Ask the staff direct questions. Inquire about how your score is improving, along with what steps they’re taking to do even better.

Requesting You Take Out a Large Loan

Sketch financial firms will often push you to take out too large of a loan. You know how much more of a debt burden you can handle — and so do they. Be wary of any company pushing you beyond your limits.

Not only is it bad business, it could end up hurting your credit instead of helping it.

For many people, taking out small loans over time makes more sense than taking a giant loan that you pull off after a few years of financing. A good financial institution wants to keep you financially healthy. Pressuring you beyond your limits is a huge red flag.

Would you like to work with a reputable credit repair company? Contact us today!

How to Increase Credit Score by 100 Points

Following the path to increase credit score by 100 points isn’t as hard as it sounds. It might sound daunting now, but with the right skills and knowledge, it is doable.

When applying for a car, home loan or even a new job, a 100 point credit increase could mean the answer between a definite YES and a resounding NO. It’ll take a bit of effort, but it’ll be worth it once you start getting accepted for the loans and jobs you’ve been trying to apply for.

There are plenty of ways to raise your score. If you follow this advice within a short amount of time, you can get that much-needed boost.

Always Pay Your Bills on Time

You need to make sure that your bills are paid and there are no delays on your side.

Don’t get left behind because of a lack of diligence. In finances, this starts with paying all your bills on time. If you do have missed payments, it can significantly impact your score negatively.

Get Positive Information on Your Report, ASAP

You also need to make sure that you get a detailed credit report as soon as possible.

Don’t delay any further! Obtain more information about the things that are negatively affecting your score. The goal is to get as much information as possible in order to have a more detailed approach to creating good credit.

Reduce Credit Card Debt Completely

When you reduce your credit card debt, you have a better shot at competing for better rates and quicker loan approval processes. When working with a lot of debt on your shoulder, your credit score reflects poorly for a longer period of time.

It takes longer to get more loans, and it keeps creditors away from your profile.

Loan companies don’t want to take a risk and you might be wrongly termed as a risky prospect.

Scour Your Report for Inaccuracies

Want to know the quickest way to increase credit score by 100 points?

Do a thorough analysis of your credit score. When you conduct a check-up on your score, you may be able to spot inaccuracies that may be damning your score.

If you can fix them now, before they snowball into something worse, then you’re in a better position to build your credit up again.

Conclusion

No matter the issue, Go Clean Credit provides the solution. Our credit repair programs puts you back on the path of financial success. While each situation is different, most people can get started for just $99 per month.

It’s a small price to pay since we could save you from stressful situations and financial inconvenience once implemented.

You can get on track in as little as 5 months. We also have solutions for debt resolution, as well as programs for those who went through a foreclosure or short sale. All this help, and more, is just a phone call or appointment request away!

Contact us today for a FREE consultation.

Quickly Increase Credit Score by 30 Points

Quickly Increase Credit Score by 30 Points

Although it may seem difficult at first, quickly increasing credit score by 30 points isn’t too difficult. It just requires hard work and patience. Doing the right things can make a big difference in your credit score.

Apply for an apartment, purchase a car or a land a new job… These huge upgrades are just a few of the things you can do. Ready to create more value for yourself and your loved ones by increasing your credit score by 30 points or more?

Here is a guide to potentially increase your credit score by 30 points:

1. Timely Recurring Payments

Do everything you can to avoid late payments to creditors. Setting up recurring payments ensures you always get the bill paid on time. Choose a format and schedule that best suits your needs. You can negotiate your automatic payments to get a better rate.

If you faced repayment issues in the past, don’t worry. The poor credit marks fade away after a while. However, it’s never too early to start rebuilding. Use the tips you find in this article to start your journey back to creditworthiness. It is not as hard as it seems right now.

2. Make Sure Your Credit Portfolio Looks Stable

It is very important to appear dependable and stable when it comes to your payments and credit. Use a dedicated credit card for your utility bills so that you can build your credit score over time. You do not want to wait until the end of the month to pay off your dues, as that might not reflect over time.

Also, you want to pay off whatever you owe a week prior so that you can show that you are dependable income-wise. Lastly, you want to have a card dedicated to paying rent, which shows that you can handle multiple responsibilities.

3. Reduce Your Overall Debt

If you have a lot of debt recurring over time, find strategies to reduce it.  Negotiate rates and stop carrying forward unstructured debt into the next month. About 20-30% of your score is due to the amount of debt you carry forward.

When restructuring debt, your credit score will likely increase after a month or two. Another way to show that you are a safe bet is by paying off your debt before applying for new ones. This shows that you are a safe investment to bet on. Creditors like borrowers who pay off their debt.

4. Check for Errors and Discrepancies

You want to be on top of all things related to your credit score. There may be times where you feel like your score doesn’t reflect your existing credit standing. You want to report any discrepancies that you find and ensure that you talk with your financial institutions to work with them in enhancing your score.

If you see any problems in the way that your score is being reflected, take action immediately. You should also keep an annual check on how your score has performed over time and talk to consultants on methods for improving it.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a one size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

How to Report Good Credit to the Credit Bureau

how to report good credit to the credit bureau

How to Report Good Credit to the Credit Bureau

When collecting credit information from you the three credit reporting agencies Equifax, Experian, and TransUnion, receive their data from companies that do business with you. Each agency has data on you and your credit accounts in order to create a full report at the end of each year. Even though they get their information from the companies that do business with you there are a few occasions where you can add your own information directly.

Here are a few tips on how to report good credit to the credit bureau:

Positive information

As you earn positive information regarding stability and account history it is imperative to add that to your account. The most important task when creating good credit is to pay your bills on time. This will have a positive impact on your score and also show you can handle your current situation. If you have enough money at the time you receive your bills you can even pay them before the statement date. This can reduce your balances that are being reported and you can still use your credit cards for the remainder of the month. Additionally, if you keep old accounts open for a long period of time you can enhance your score. This will also show the bureau that you are capable of maintaining your bills.

Negative Information

In contrast, if you find yourself with negative information on your credit report you have a few options to dismiss it. Everyone has the right to add a 100-word statement to explain why this negative information occurred. It is important to note that this information has zero influence on your credit score, but it might help explain why you have negative reports in the first place. This will help when lenders or employers are asking questions about bad credit when reviewing your report.

Personal Information

Furthermore, lenders like to see personal information that proves you are a stable person. This information includes your address, telephone number, your current employer, your previous employer, and your social security number. These items do not affect your credit score, but lenders will like to see them when creating your report. It is fairly common that you have to send a letter that includes proof to document this information to the credit agency so they can verify who you are. Sensitive information will have to be sent, so make sure you take the right steps to secure the package. 

Even though there are a few occasions where you can add your own information directly you should always make sure your account information is correct. You should take the time to review each report to compare all information on each account. If you do not get one of the three reports from each bureau you have the right to request reports by calling and informing them which one you need. If you find flaws make sure you take care of them sooner than later because it may impact your credit score.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a one size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

Top Money Saving Apps – Build Your Credit

money saving apps

Saving money can be a difficult task when you don’t have a plan. Luckily, technology has made the money saving process incredibly easier. We have compiled a list of money saving apps to help you save money, as well as build good credit.

Here are our top money saving apps:

Acorns

Acorns is an investment app that squirrels away leftover change for your savings. It is an automated savings tool that utilizes a technique called “micro investing.” You first connect your credit card, so every time you make a purchase, Acorns automatically invests your spare change. Additionally, every dollar you invest is diversified across 7,000 different stocks and bonds to risk while still improving returns.

Chime

If you’re seeking a new way to save money altogether, Chime is a bank that also operates as a money-saving service. In order to use the app, you will have to open a savings and checking account with Chime. There are many benefits to using Chime, such as the option to automatically transferring 10% of your paycheck to your savings. Chime is free with no monthly fees, foreign transaction fees, or overdraft fees. There is only a 0.01% interest rate.

Digit

This money savings app goes above and beyond with a formula that calculates how much to save based on your income and spending habits. This app typically stores away money 2-3 times a week, and the amount is tailored to activity on your bank account. Digit offers a free 100-day trial, and then is $2.99 a month afterwards. You can transfer your savings from Digit back to your bank account any time you want, and can set a limit on how much money can be withdrawn.

Long Game

Long Game turns bad habits into a money management plan. You can set goals and choose missions to help save money. If you are struggling with gambling problems, you can play games and collect coins to actually SAVE your money. It is a game with different levels to unlock, but ultimately also helps you succeed in the real world while kicking a bad habit.

Qapital

The beauty of Qapital is that it lets you set your own rules. Qapital’s team is made up of a diverse team that will create a plan tailored for your money management. Qapital offers checking accounts to store your money, as well as a Qapital card, eChecks, and interest on your accounts. The card automatically saves spare change to your account, and transfers occur within seconds. You can set financial goals for yourself, and you get instant access to funds when you complete a goal.

 

Hopefully now that you have this list, you are one step closer to reaching your credit goal. Did you like any of these? Contact us today and let us know.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

Top Credit Repair Companies in Chandler, Arizona

Do you want to raise your credit score? Do you not know where to turn? We have compiled a list of the top credit repair companies in Chandler, Arizona, to make the process easier!

Top Credit Repair Companies in Chandler, Arizona

Go Clean Credit

Since 2003, Go Clean Credit has helped people around the valley repair their credit. Repairing your credit can be difficult on your own. Thankfully, Go Clean Credit is a reliable and trusted source ready to repair your credit. Go Clean Credit utilizes a client-centered approach that keeps you at the focus. Go Clean Credit is also financially-friendly, meaning you don’t have to spend big bucks to repair your credit. For these reasons and more, Go Clean Credit is the top credit repair company in Chandler.

Credit Absolute

If you are looking for a financially-friendly option, Credit Absolute allows a pay per performance option. This plan allows you to remove bad credit little by little with your financial situation in mind. Many of their clients have increased their score by over 80 points. With an increased score, you can also have better access to refinancing mortgages and decreasing car monthly payments.

The Credit Repair Agents

Unlike many companies, The Credit Repair Agents offer a free credit report analysis. Additionally, they examine your credit reports from Experian, Equifax, and TransUnion. On their website, they detail a step-by-step process to keep you up-to-date. They challenge your credit directly with the credit bureaus.

Arizona Financial Plan

Arizona Financial Plan thinks in the long-term. They see every person as a partnership, and value clear communication and comprehensive financial planning. They work mainly as a financial advisor, but also look to see how they can repair your credit. Their individualized attention ensures you understand everything they are doing with your finances. Arizona Financial Plan’s thoroughness is what makes them one of the top credit repair companies in Chandler.

Ovation Credit Services, Inc.

Finding a credit repair company can be difficult, but Ovation Credit Services, Inc. prides itself on making the process efficient. Their credit expertise goes hand-in-hand with their guaranteed customer satisfaction, making them one of the top credit companies in Chandler. They also feature customizable programs, and offer a free credit consultation.

To learn more about the top credit repair companies in Chandler, Arizona, contact Go Clean Credit! We can help you achieve your financial goals. Call Go Clean Credit now to schedule a free consultation!


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.