Learn,the,Most,Common,Credit,S finance, share, loan Learn the Most Common Credit Scams and How to Avoid Them

If your financial problems have reached the point where you do not see a way out and you feel as though you are drowning in debt, your best way out is through declaring bankruptcy. Filing may well allow you to get your finances back on track Thankfully, there are now several web sites that are there to help people like you with bad credit to find the fast personal loans that you need. When you have bad credit, the first thing that you should be looking for is a loan company that

Nothing is worse than finding out that someone has stolen your identity and maxed out your credit.  In this article we will discuss the most common scams to watch out for and how to arm yourself so this does not happen to you. The worst of the scammers are the ones posing as credit repair companies.  These guys are not looking to repair your credit, they just want to take the money and run. Be wary when a credit repair company tells you that: ·                     All you have to do is get and EIN (employer identification number) and you can wipe your credit record clean!  This is possible to do; however, it is HIGHLY illegal.  This is not a civil matter.  It is credit fraud and a criminal matter.  EINs exist for companies to use ONLY.  Any individual claiming an EIN is committing a felony.  Worse yet, as long as the file has the same personal information as your old one (i.e. name, address, social security number, etc.) the information will eventually migrate to your new file.  Be careful. ·                     File Segregation.  This is closely related to (in fact, it includes) the EIN scam.  But it also covers other ground.  Not only do they encourage you to get an EIN number, they also offer to help you attain new taxpayer identification to hide your true credit score.  This also is HIGHLY illegal.  If you have been a victim, whatever you do, do not hide it.  When the truth comes out, and it will, you will look like a criminal.  When you realize what has happened, contact the Federal Trade Commission, www.ftc.gov , and report the fraud.  Protect yourself. ·                     Many companies will offer over-the-phone advice with no obligation to meet!  Many companies offer over-the-phone advice, after you call their 900 number, which bills you by the minute.  The longer they keep you on the phone, the better for them.  They talk fast and are very unclear so you have to keep asking questions for clarification.  This could be very costly for your FREE information. ·                     Your bank telephones and asks for the three-digit security number on the reverse of your card.  In this scam, the thief already has access to some of your personal information.  Enough to put you at ease.  He may correctly rattle off your name, address, and some banking information.  He will claim to be from your bank and ask for your three-digit number.  At that point, even though you have not given him your actual credit card number, he has what he needs to gain access to credit in your name.  By then, it is too late.  Don’t give it out. ·                     Everyone qualifies for an advance fee loan!  You pay an advance fee in exchange for a loan.  This scam targets people with poor credit ratings.  There are two ways these crooks make money:  900 numbers you have to call to get the information and through the actual fee for the loan.  By the way, you will never see the actual loan. ·                     Anytime someone wants to access your credit or personal information without proper authorization.  With identity theft on the rise, banks are taking special steps to confirm your identity.  They have “secret” questions and code words to help to determine your identity.  If you are at all suspicious of someone claiming to be from your bank or other credit agency, take their name and number and tell them you have an emergency and will call right back.  Then call the bank directly to find out if that person really does work for the bank or agency.  If so, contact them directly.  If not, you just avoided a very costly scam. In order to avoid these scams, you need to take steps to protect yourself.  The police can only do so much.  The rest is up to you.  Here are some tips. ·                     Learn, learn and learn some more.  It is very important to keep up with the latest credit card scams and know them when you see them.  A quick check with a site like Snopes, www.snopes.com , will help avoid a lot of stress and worry. ·                     Take steps to protect yourself by shredding confidential information.  You can get a personal shredder for about fifty dollars at any office supply store. ·                     Be suspicious.  Think things through.  Whenever someone it proposing credit, a method of increasing your credit, or a means of fixing your credit, ask yourself these questions. 1.            Who is this person/company?  Do I trust them?  Have I looked into their history? 2.            Has this person/company had any legal problem? 3.            Did I contact them or did they seek me out? 4.            Do I know anyone who has successfully used their service? 5.            Is there any reason I should pay these people?  Are they really doing anything that I could not do on my own? The key is to find a balance between healthy suspicion and paranoia.  Your credit history is an integral part of your financial history and you should be very careful who you trust with your future.  Always be aware and you will not end up at the costly end of a scam. KimberlyAnn