Credit Report Accuracy Holds Back Housing Recovery

Posted by Joel pate in Credit Repair. Tagged: , , , , , , , , ,

According to Ben Bernanke, Federal Reserve Chairman, in a speech at the National Association of Homebuilders International Builders Show in Orlando, Florida “The state of the housing sector has been a key impediment to a faster recovery.”

If the state of the housing market is the problem, what are some of the solutions?

Take into account a few facts:

“Millions of consumers are at risk of being penalized by inaccurate credit report information and inaccurate credit scores,” according to study cited by the General Accounting Office of the United States.

National Association of State Public Research Group report concludes “…79% of credit reports contain some type of error and that about 25 % of all consumer credit reports may contain errors that can result in the denial of access to credit.”

The Federal Reserve Board Bulletin reports that “KEY aspects of the (credit report) data were ambiguous, duplicative, or incomplete.” The details of this report outline the following systemic issues:

  • Ambiguous Status of State of Accounts
  • Failure to report Credit Account Information
  • Unreported Credit Limits
  • Problems with Collection Agency Accounts, Public Records and Credit Inquiries-Duplications of accounts
  • ETC

Bernanke went on to say. “The Federal Reserve, in its supervisory capacity, continues to encourage lenders to find ways to maintain prudent lending standards while serving creditworthy borrowers, but the slow recovery of the housing market and the economy and other factors are keeping lenders cautious.”

So what can or should we do about this problem?

Encourage your customers that have problems on their credit report to contact the credit bureaus directly and if they cannot resolve the problems themselves to immediately seek the assistance of a credit repair professional. While credit problems are not the only problem with the housing recovery it is a substantial impediment to the recovery of our economy.

If you are not familiar with a credit repair professional in your local area, contact me for a referral.

REPRINT FROM ORIGNATION NEWS

To your Success

Joel S. Pate

Joel Pate is an entrepreneur and founder of multiple successful companies in the mortgage, real estate, and marketing space. For more information on Joel, contact him at joel.pate@scoreinc.com

 

PS: Plan to join Joel for his Jump Start Business Building webinar held each Thursday at 3 PM CST by clicking on this link: https://www3.gotomeeting.com/register/393936198