Credit Debt Settlement
Credit Debt Settlement

Credit Debt Settlement
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Bad Debt Settlement - Personal Credit Report Connection

Bad Debt Settlement requires you know all of your financial situations before you try to negotiate a settlement. Your personal credit report is your financial profile and it so important to be aware of this profile. With the high tech world that we live in it is so very easy to have another person affect your credit rating. Identity theft continues to rise and is not always happening to other people, we are all at risk. One such couple had to handle a bad debt settlement that wasn't even their debt.

The couple had been married for three years and had purchased a home. They were thinking about getting a second vehicle and decided to get personal credit reports before trying to finance the vehicle, so they could secure the best loan. When they received their personal credit reports back the husband had several outstanding debts that had been incurred since they bought their home. There were two credit cards taken out in his name. Both cards had charges to the maximum level and cash advances had been taken out but NO PAYMENTS had ever been made on either card.


At this point they were no longer looking to buy a second vehicle but instead were afraid they would be held viable for these charges and then have to apply for credit card debt settlement or have to use a debt settlement services to workout affordable payments and spend years in rebuilding their credit rating. The couple contacted these credit card companies immediately to try to get this mess fixed and correct their credit profile.

The two different companies told them that the credit card applications had been made on the internet and that the husband's information was used to fill them out. The credit card companies assigned a fraud investigator to the case. He discovered that someone had accessed the husband's personal information by hacking into the bank records that carried the loan information. The thief did not access their accounts, but rather took their personal information to apply for credit cards.



This husband and wife were both business professionals and were aware that the identity thief problem was a real situation; so they had always tried to be very careful about letting their personal information get out. They now have personal credit reports completed twice a year to be safe. They use only a reputable company that secures their information. Their bank agreed to pay for the personal credit reports for two years. This seems only fair since it was the bank's system that was breached. They were also lucky that the investigator was able to locate the fraud so they did not have to have the help of debt settlement services nor did they have to do a credit card debt settlement. But, it took months to get this all sorted out and their good credit restored.

You might be wondering what this story has to do with bad debt settlement since this couple had good credit to begin with. Anyone having to confront and apply for bad debt settlement had good credit and may also have been the victim of some identity thief or some fraudulent charges on their credit accounts. The only way they might ever know about it. is to get a copy of their credit report. It is scary to think that a few strokes on a key board can wipe you out financially. It is important to use a company that has a good reputation when requesting a report on your credit rating. There are many companies that advertise that they will do your credit rating for free, but in fact they are just trying to get your personal information. Before you start your bad debt settlement get a copy of your credit report and clean up any errors and incorrect charges.