how to negotiate credit card debt
by Anthony Leads Marketing Specialist
Many Americans complain about the lack of scoring consistency they receive for their credit scores. All three of the credit bureaus have designed a model called “VantageScore” in order to obtain a more consistent standard of credit scoring across the board. When you use a credit card debt payoff calculator you’ll be able to see how to get debt better managed and financed.
A VantageScore has three scoring models. They calculate your scores based on:
- Your payment history – They will look at the consistency of payments made and look for any late payments in your history. They will look to see how many lines of credit you have open and have had open in the past.
- How long you’ve had credit – They will look at the duration of the lines of credit you currently have open.
- Which types of credit lines you have – the different types of credit lines can be anything from home loans, auto loans, student loans, refinances, home improvement loans, etc.
- Current credit limits – The limit of credit on your credit cards, which is contingent upon several factors including your credit score.
- The amount of debt – The amounts owed for purchases. This is often coined “debt-to-income” ratio, or how much money are you bringing in (gross annual income) compared to how much you owe in debt.
- Any hard inquiries on your credit report – This is the act of “pulling” credit when you visit a lender. This is particularly scrutinized when applying for an auto or home loan.
Created on Jul 29th 2019 16:05. Viewed 234 times.