MMI offers a wide variety of financial services to help improve your financial life. No matter what your financial situation, we can help you to establish an plan of action for achieving your financial goals.
Knowledge is the key to successful money management. Our resources are designed to inspire and assist you as you begin to make positive changes in your financial life.
Interact with MMI in a variety of formats including email, videos, tweets, blog posts, and pictures.
Since 1958, MMI has been a leading provider of financial counseling and education services. We invite you to learn more about the organization and its leadership.
I just finished reading the Consumer Financial Protection Bureau report on credit scores. This report was published on July 19, 2011 to meet a requirement of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The Dodd-Frank Act also made amendments to the Fair Credit Reporting Act related to credit scoring that became effective on July 21, 2011. While there is a lot of information to digest in the report and the Acts, following are some take-aways regarding credit scores that you need to know now.
Consumers may find it frustrating that they receive a score that is different then the one used by lenders. In fact, the Consumer Financial Protection Bureau's report identifies some potential harms that may result from this, particularly if the consumer believes that they are more or less creditworthy than the lender believes them to be.
The best thing a consumer can do is to stop focusing on a specific score, but instead concentrate on using credit responsibly and to understand the major factors that contribute to a credit score. These factors include payment history, length of credit history, new accounts, types of accounts held, available credit, and credit utilization.
This is obviously a game without any standardization. If companies evaluating credit information & scores receive different information than the consumer has access to, then the Dodd-Frank bill missed the boat. The credit applicant and the creditor should be looking at the same report and score, not apples and oranges.
Very informative article. I didn't realize that their was that much discrepancy on credit scores. I agree that the consumer should just focus on being responsible and not so much on what their score is.
Very informative! While it IS troublesome that lenders have a different view of our credit history I agree that our efforts to clean up our credit is most important. When we reach our individual goal we won't have to worry as our credit score/record should reflect all of our hard work.
Thank you for this article, Linda
I did short sale of my own resident because of my financial and health could not keep the house, my lawyer said my bank will not persiue me because they accept but the bank web say they may persiue me, it happen about 2 yrs still in record of credit bureaues can you tell me what is the story and where l can contact to fix my credit problem? thanks
Loans & Credit,
Auto Loan Resources,
Financial Literacy Month,
Kids & Money,
Debt Management Program
Student Loan Counseling
Foreclosure Prevention Counseling
Reverse Mortgage Counseling
Pre Purchase Housing Counseling
How To Manage Your Money
Money Management For Kids
How To Budget
Blogging for Change
Ask the Experts
Share Your Stories
© 2016 Money Management International, 14141 Southwest Freeway, Suite 1000, Sugar Land, TX.