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FAQs /

Below, you will find some of our most Frequently Asked Questions. If you would like to know more, get in touch with us today! Fill out the form to your right, and we will be in contact with you shortly.

What is a credit score?

A credit score is a numeric indication of how likely you are to repay debts such as loans or lines of credit. Lenders use this number to determine how much of a credit risk you are. Credit scores also are designed to indicate your creditworthiness in comparison with other consumers. Each person has a few different credit scores, but your FICO scores are the most important.

 

Usually a credit score is between the numbers 300 to 850. The higher your score, the more “creditworthy” you are to lenders.

What is my credit score based on?

Credit scores are based on the data in your credit report and are generated by computers using artificial intelligence. Many factors contribute to your credit score including:

 

  • Amount of available credit
  • Payment history
  • Recent requests for credit
  • Amount of credit currently being used
  • Length of credit history

 

Your credit score broken down according to myFICO.com:

30% is your amount owed, or how low your balance is in comparison to your credit limit.

10% is your amount of new credit. Research shows opening several new accounts in a short period of time represents a high risk.

15% is your credit history length. Longer credit history showing on time payments is preferred.

10% is types of credit in use including mortgage accounts, installment loans, credit cards, and finance accounts.

35% is your payment history, which considers whether or not you’ve paid your past creditors on time.

 

Under the Equal Credit Opportunity Act, credit scoring may not use gender, marital status, national origin, race, or religion as factors.

How much does bad credit cost?

The cost of credit repair is small compared to the cost of living with bad credit. It affects insurance rates for both auto and home, interest rates, and even your ability to get a job. In the financial sector, you can’t hope to get a job in banking or finance with good credit. Below are a few examples of the cost of bad credit.

 

Auto/Car Loan

If you are making vehicle payments, you are most likely paying between $4,000 and $10,000 more over the course of the loan just for having credit score issues. This added interest shows up every month in a higher payment. Example:

 

$23,000 Vehicle Financed for 5 Years:

Credit Status Rate Payment Interest Paid
High Credit Score 3% $413 $1,796
Slightly Damaged 9% $477 $5,646
Damaged 18% $584 $12,042

 

Home Loan

Damaged credit on a vehicle is nothing compared to the effect of damaged credit on a home loan. If you are buying a home with damaged credit, a typical home can cost between $180,000 and $300,000 more in interest of the 30 year loan. Example:

 

$120,000 home paid over 30 years:

Credit Status Rate Payment Interest Paid
High Credit Score 7% $798 $167,410
Slightly Damaged 9% $966 $227,596
Damaged 13% $1,327 $357,878

 

$190,000 home paid over 30 years:

Credit Status Rate Payment Interest Paid
High Credit Score 7% $1,264 $265,066
Slightly Damaged 9% $1,529 $360,361
Damaged 13% $2,202 $566,640

 

Credit Cards

It is not unusual to be unable to obtain an unsecured credit card with damaged credit. The accounts you could be approved for will typically have higher rates, lower credit limits, and have higher than normal penalties and fees for things like late payments.

How can bad credit be deleted?

Negative credit listings are deleted from credit reports each and every day!

 

Freedom Credit Solutions is hard at work every day challenging damaging and questionable credit entries on behalf of our clients. Utilizing proprietary and absolutely legal methods, Freedom Credit Solutions is a professional organization working for you and your credit. We hold ourselves to incredibly high standards, which is why our process is fully transparent once we begin our partnership.

How long does it take?

At Freedom Credit Solutions, we want you to see results immediately. Although everyone’s credit history is different, most people will see progress within the first 30 to 50 days of their membership. The majority of that time is spent waiting for the credit bureaus to respond to requests. We take great effort in getting negative item challenges to the bureaus as fast as possible.

What if removed items reappear?

This happens occasionally, either by accident or when a creditor has verified a particular item. This is what’s known as a ‘soft delete’. The FCRA (Fair Credit Reporting Agency) has made it much more difficult for a creditor to replace an item once it has been removed. Freedom Credit Solutions will re-challenge the item with the full force of the prior removal in our favor. We guarantee our work, which means we offer this service absolutely free of charge.

Is this legal?

Yes. You are given the right under the Fair Credit Reporting Act (FCRA), including the right to challenge inaccurate, misleading, and obsolete items appearing on your credit report. Freedom Credit Solutions uses every venue available to you under the law to help you assert these rights.

How is this done legally?

Challenging items on your credit report is your legal right (see the Fair Credit Reporting Act). When you use Freedom Credit Solutions to help repair your credit, we are abiding by all federal and regional laws regulating third party credit repair assistance.

Will I get results?

Yes. We know from experience that, due to our one-on-one personal approach, our clients experience tremendous results. The ranges of success are as endless and unique as our clients. We partner with our clients, giving them every advantage they can have in the credit world. Achieving results requires that we work in partnership, and your results will reflect that partnership.

I'm ready to sign up right now. How do I do it?

It all starts with a credit assessment, which you can get by visiting the “Start Now” page or calling us toll-free at 855-893-7273. We’re different from our competition in that every one of our clients receives individual attention from Freedom Credit Solutions. We formulate a customized plan of action based on your specific needs. No two clients are alike!