debt consolidation

Hi Natasha,

Welcome to the forums. I am sure that you must be convinced with the repair works that debt consolidation does for re-shaping your credit report. However, there are some other decisive factors also which are actually noticed by the creditors for extending the lines of credit. The creditors do a complete scan of your credit report before they give credit to you. Apart from the repair that debt consolidation program does, the consumers are denied credit because of the following reasons which actually hurt your credit score:

• It is necessary for an individual to fix any possible errors which are shown in the credit report.
  
  
• Sometimes, the credit report show an account which does not belong to him.
  
  
• Some sort of late payments that have been paid on time.
  
  
• The credit report shows an outstanding debt but it was paid in full by the consumer.
  
  
• Negative entries are supposed to be deleted after 7 years and bankruptcies stay for as long as 10 years. They actually hurt the credit score but what if they don't actually belong to you or you have repaired the damage. In that case, these errors are necessarily required to be fixed.
  

If these errors are reported in your credit report without your knowledge, the creditors will not show interest towards you and hence the lines of credit are hurt.

Conclusively, debt consolidation does the required work from its side and the creditors appreciate this move as they find the person taking this responsibility of paying off his debt. But analyzing the complete picture of the credit report, a person may be denied credit because of some errors reported by the credit report agencies. Therefore, it is the first and foremost duty of an individual to check his credit report and fix any possible errors before acquiring credit. Your credit report is one of the most prestigious financial documents in your lifetime and every step should be taken to keep it clean.

Hope to hear your feedback soon.

Regards
Roxette