Helpful Tip:

If your credit history, or lack of one, is getting in your way of homeownership, then non-traditional or alternative credit scoring may be an option. Non-traditional credit references include things like rental history, utility payments (gas, electric, water, cell phone, internet, satellite television, insurance (non-payroll deducted medical, life, auto, renters) and child care payments made to a business. Usually, you must have at least three instances of non-traditional credit and a history of at least twelve months of on time payments.

Lenders can access FICO Expansion Scores (if traditional credit scores aren’t available) and will help predict the likelihood that a consumer will be a good candidate for lending. For more information, visit www.myFICO.com.

Experian Boost can improve your FICO score by allowing you to add rent and other bills to your credit report to “boost” your score.

You can create a free account with Payment Reporting Builds Credit (PRBC) and start establishing a nontraditional credit score. Visit www.PRBC.com for more information.

Myths and Facts about Credit

Myth:

There is only one credit score model used by lenders.

Fact:

Actually, there are many scoring models being used by lenders. FICO and Vantage are the two most common score generators. Additionally, many lenders internally develop “custom” scoring models to suit their specific lending strategies. This leads to different interpretations of your score from lender to lender. One lender might consider your score to be “good” while another might see it as “excellent”.

Myth:

Credit scores are used by employers.

Fact:

Credit scores are not used by employers, however in some states employers may use information in a prospective employee’s credit report. Employers use a special form of credit reports that hide social security numbers, account numbers, and other personal information that is not pertinent or allowable in the employment screening process. Many states, including Colorado, have additional limitations regarding use of credit for hiring.

Myth:

Anyone can submit information to credit reporting companies about me.

Fact:

There is a rigorous process that data furnishers go through in order to be able to report data to the credit bureaus. Data furnishers are audited in order to be sure information is as accurate as possible.

Identity Theft

Identity theft happens when someone uses your Social Security number or other personal information to open new accounts, make purchases, or get a tax refund. Most people who experience identity theft must take several steps to recover. IdentityTheft.gov is the federal government’s one-stop resource to help you report and recover from identity theft. The site provides step-by-step advice and helpful resources like easyto-print checklists and sample letters.

If you believe that someone is using your personal information, visit IdentityTheft.gov.

83% IN 2021, DATA BREACHES involving the compromise of Social Security numbers increased to

There’s a new victim of identity theft every 34% OF PEOPLE have reported losing money due to fraud in 2020

7% employment or tax-related fraud

In 2020, identity theft by 73% INCREASED

22 SECONDS

229 MILLION individuals encountered a fraud attempt in 2021

Most Common Types of Identity theft in 2022

23% credit card fraud

5% phone or utilities fraud

7% bank fraud

Source: https://www.experian.com/blogs/ask-experian/identity-theft-statistics/

12% loan or lease fraud

23% government documents fraud

Helpful Tip: Opting out can help to reduce the risk of identity theft. Opt out at www.OptOutPrescreen.com

If you’RE a victim of identity theft, you should:

» Contact the FEDERAL TRADE COMMISSION.

» Contact the CREDIT REPORTING AGENCIES and place a Fraud Alert.

» File a POLICE REPORT.

» Contact any INVOLVED CREDITORS.

» Keep RECORDS of all my communications in the process.