Credit Repair

Your financial life after a short sale is far from ruined. Yes, you did take a little hit, but it’s nothing compared to foreclosure or bankruptcy.

Let Manny Lindo Help You To Repair Your Credit Today

Typically, a short sale is reported as “Settled for Less Than Full.” Once you receive the short sale approval letter and attach it to the bank 1099c that the lender sent to discharge the debt, you then send both of these documents to the

reporting agencies and they typically can change the reporting on your credit to “Settled in Full” because the bank has written off the remaining debt.

When negotiating a short sale, we always request the lender to report your short sale on the credit as “Paid as Agreed” by all lenders involved. However, actual results depend on the lender. Some banks never issue a full release.

NOTE: A 1099c is issued to a debtor and to the IRS when a debt has been canceled (or forgiven). Once a debt has been canceled (or forgiven) and a 1099c issued to the debtor and IRS, no further collection attempts will be made. If they are, the debt has not been canceled (or forgiven) and no 1099c should have been issued to the debtor or to the IRS.  Financial institutions can collect the debt or issue a 1099c, but they cannot do both.

Tips for rebuilding credit

• Monitor your credit score.
• Make sure you are only requesting your credit score from credible entities such as TransUnion, Equifax, and Experian. Certain agencies that routinely pull credit may give you a false credit standing. Pulling your credit score from the wrong source, may affect your credit.  Monitoring your credit is important to catch early errors that could affect your buying power in the future.
• Pay Bills that are in Collections. Make sure that you are negotiating not only the payment plan to repay the debt, but to start reporting it as a positive mark as well as getting it deleted from your credit once it has been paid in full. This can also apply to promissory notes.
• To limit risk exposure and risk-protection, apply for credit individually. (Including friends, family, spouse, etc.) You always risk the unforeseen credit activities of the other person.
• Maintain at least 3 revolving credit lines open and in good standing at all times.
• If you have credit cards that are paid off, it’s a good idea to use them to make some payments to other cards to show that you know how to budget and handle credit responsibly
• Keep your credit card balances under 30% of your credit limit. This is a huge tip in the credit reporting world.
• Always verify the accuracy of your reported credit lines and remove high-priority errors from your credit report.
• Have at least one active or paid installment loan on your credit.
• Useful links (government or government-approved agencies only)
• Credit repair: How to Help Yourself
• Building a Better Credit Report
• Credit and Your Consumer Rights
• Know how to Dispute Credit Report Errors
• Mortgage Assistance Relief Scams
• Approved Credit Counseling Agencies
• Settling Your Credit Card Debt
• Fair Credit Billing

• For information on our Credit Repair Service Visit: www.badcreditcleaner.com