Whether you are applying for the first time or working to build a better rating, the below list of our Top 6 warnings to anyone in the process of investigating, shopping around, or filling out applications.
- Never provide incorrect information on a credit application
Doing so has serious criminal and civil consequences. It is generally a crime to submit false information to a financial institution. The resulting extension of credit may be non-dischargeable in bankruptcy.
- Oral promises from creditors are worth the paper they are written on
- The consumer should never pay money in advance for arranging a loan, other than a modest application fee and fees for credit reports or appraisals for a mortgage or business loan.
Advance-fee schemes are generally illegal scams. Under no circumstances should a consumer ever agree to provide false information or documents in connection with an application for credit.
- Review carefully any loan or other credit documentation you receive and make sure that it accurately states the terms of the intended transaction and contains all promises made to you.
- Remember, if it isn’t in the documents, it is not enforceable.
Review any credit application you fill out to make sure it is accurate and complete. If any blanks do not apply to you, do not leave them blank; instead, insert “N/A” or “not applicable.”
Contact us any time for a free consultation if you have any questions or would like more information.
