Because of the lagging economy, credit card companies have been hit hard. High unemployment has lead to a large decrease in borrowing, as well as increasing the number of borrowers unable to make their monthly payments. As unemployment hovers at 10%, the near future for these companies is bleak. Delinquencies and late payments have skyrocketed as borrowers struggle to make ends meet, and while the threat of credit score dings is ever present, getting food on the table and staying under a roof has taken precedence.
Posts Tagged ‘credit’
Economy Hits Credit Card Companies Where it Hurts
Friday, December 11th, 2009How Loan Modification Affect Credit Report
Tuesday, November 3rd, 2009How Does a Loan Modification Affect Your Credit Report?
There are several ways a loan modification may impact your credit report. Getting a loan modification does not automatically mean your credit score will be affected, however, many people think that it is automatically impacted negatively and that is just not correct.
Homeowners who are current on their mortgage payments and have negotiated a permanent loan modification, without first going through a trial loan modification will see no adverse affects on their credit reports. Â Remember that in order for your credit to receive a derogatory mark, you as the homeowner either have to be late on the mortgage payment or have not paid the mortgage payment in full based on the original loan agreement.
