Broadly defined, consumer credit is any type of loan provided to individuals in order to buy consumer goods. Many people in Cuero, Texas deal with at least one common type of consumer credit on a regular basis: credit cards. Credit card debt is one of the largest sources of individual debt in the U.S.
Why can't I Get Credit in Cuero, Texas?
If you can't get credit in Cuero, Texas, it could be because you have a poor credit score, or simply don't have any credit history. Credit scores in Cuero, Texas are calculated by private companies known as "credit bureaus." These entities gather all the available information about your finances, look at how much debt you have, if you've paid it back in a timely manner, and other factors, and calculate a numerical score. This number provides potential lenders with a quick determination of how risky it is to lend money to a person. The exact formulas that these companies employ to create credit scores are trade secrets.
Under U.S. law, you have a right to view your own credit report once a year, for free (you can, of course, view it more times than that, but you'll likely have to pay a credit bureau. You should be cautious, however. Many websites claim to offer "free" credit reports, but require a credit card number in order to register. If you do not explicitly cancel your membership (which can usually only be done over the phone, and not online), they will start charging you a monthly fee.
How Can I Improve My Credit Score in Cuero, Texas?
To improve your credit rating, there are many things you can do. First, you should check your credit report for errors and report them to the credit bureau. These companies can make mistakes like anyone else, and sometimes these errors can damage your rating. Also, it's good to show that you know how to use credit responsibly. For example, a person in Cuero with no credit history can quickly build up a good credit rating by getting a credit card, making a few small purchases with it, and then paying the whole balance at the end of each billing cycle.
Because credit reports are generally meant to make it easier for potential lenders to assess your risk as a borrower, showing that you pay back your debts in a timely manner can go a long way in creating a good credit score.
How Can a Cuero, Texas Lawyer Help?
A good Cuero, Texas lawyer knowledgeable in consumer finance issues can help you address the more complicated problems that might arise in this area, such as a credit bureau's refusal to remove an error from a credit report, identity theft, or a third party attempting to maliciously harm your credit score.