True or False? Your purchases are not interest free, even if your card offers a grace period, when you carry a balance from month to month.

True. If you carry a balance, the issuer will charge interest from the date of posting or purchase on all new purchases. Generally, your purchases (except cash advances) are interest-free ONLY when your card offers a grace period, you start the billing cycle with a zero balance, AND you pay all new purchases in full by the due date.

True or False? A creditor cannot turn your account over to a collection agency if you are paying something, even $1 on the account.

False. A creditor can turn your account over to a collection agency if you do not meet the terms of the account even if you make a partial payment.

True or False? Your credit will look better after bankruptcy since you no longer owe any debts.

True. However, bankruptcy is one of the most serious negative marks on a credit report and can remain on the report for up to 10 years. BK is a two edged sword where the BK wipes out your debts which may actually help your credit rating although you will most likely be charged higher fees and interest on future loans due to the BK on your credit report.

True or False? If you accept a pre-approved credit card offer you are guaranteed to receive the card.

False. Card issuers are allowed to conduct a second screening when you accept the offer. If you do not meet the criteria you may be offered different terms (higher interest, lower availability, etc.) or you may be turned down.

True or False? If your insurance company does not pay your medical bills you can refuse to pay the bill yourself and force the medical provider to collect from the insurance company.

False. When you accept medical services, you agree to pay the bill even if your insurance company does not. To protect your credit, make alternative arrangements to pay the bill and then try to collect from your insurance company.

True or False? Most credit card issuers use some form of average daily balance method to calculate interest. If you carry a balance from month to month you will save the most money by sending in your payment early rather than waiting until the due date.

True. Interest is calculated on the daily balancethe sooner you send your payment in, the less interest you will have to pay.

True or False? Seeking debt consolidation through a counseling agency will harm you credit.

True. Even though credit-counseling agencies work to lower your interest rates and your monthly payments, in reality, they work for the creditor to collect your money. They are compensated by the creditor with a percentage of how much they collect and they report to the credit reporting agencies that you are enrolled in the program. This shows on your credit report as a major negative item.

Which of the following are good ways to protect yourself from identity theft-where someone uses your personal information to apply for credit in your name?

A. Check your credit report at least once per year. Investigate if you find any accounts that aren't yours.
B. Rip-up or shred any credit card statements or applications and all other sensitive documents.
C. If you don't receive a statement from one of your credit card companies in any given month, call that company and notify them. Don't assume you're off the hook for that month.
D. Use a locked mailbox for all incoming and outgoing mail.
E. All of the above

True or False? Insurance providers for auto insurance can raise your insurance rates if your credit report shows negative items.

True. Sadly, your car insurance rates are not only dependent upon your driving record. Your premiums are also adjusted based on your ability to pay the bill. With poor credit you are judged less willing to pay the bill on time.

True or False? Your ability to secure a good job may depend upon the information on your credit report.

True. Employers are now checking your credit worthiness as a major item on your job application. If your job entails the handling of money or requires your proximity to money you may not be approved for that job if you have poor credit. The employer feels that you have excessive debts or spending habits and you just might be enticed to pocket some of that cash.

True or False? When I pay off my debt it will no longer show up on my credit report.

False. All items on your credit report will remain for SEVEN YEARS FROM THE DATE OF LAST ACTIVITY. Even if you pay the debt in full that item will stay on the report for a minimum of 7 years.

True or False? If I succeed in deleting an item from my credit report it will come right back on.

False. The credit reporting agencies input more than 2 BILLION items of information into their systems MONTHLY. Plus, they must maintain some 280 MILLION existing files. Once properly challenged, if the CRA fails to respond properly within 30-45 days that item may be deleted permanently.

True or False? Bankruptcy's and public records cannot be deleted from my credit report.

False. Even though an item is a matter of public record, the CRA's must adhere to the same rules as any other item and respond with verification to any challenge. If they fail to respond that item must be removed.

True or False? It is illegal to take negative items off my credit report.

False. Any item that is either obsolete, erroneous or inaccurate MUST be deleted from your credit report.

True or False? It will cost $3000 to $5000 to challenge negative items on my credit report.

False. Although some companies charge that amount, Credit Logic only charges few hundred dollars for our very successful (4 POINT CREDIT OPTIMIZER PROGRAM), no matter how many items on your reports.

True or False? I can have my credit cleaned within 30 days.

True. It is possible to experience a substantial improvement within 30 days or less (SEE OUR CREDIT EXPRESS PROGRAM) However, be careful, any company that promises cleaned credit in less time may be doing something illegal such as establishing a new social security number which is a federal offense (fraud).

True or False? Anyone who sells something can look at my credit report.

False. The only people that can access your credit report are the following:

Any creditor to whom you have applied for credit.
A prospective employer.
A mortgage lender.
Any current employer on a need to know basis.
Any person to whom you have given written permission
Any person or firm with a legitimate need to know.
An insurance company where you have applied for insurance.
YOU anytime.

True or False? I know everything there is to know about my credit and my credit scores are great!