Is it possible to improve my own credit report?

September 9, 2009 1:47 PM

Credit report question. Is it possible to add positive information to my report? My lender tried but was told a 3rd party can't do it. Does that mean that I can't? And is there anything I can do to raise my score quickly?

I'm still dealing with a pay for delete with Verizon but in the meantime I'd like to see what else I can get going. My score right now is a 612 (though I thought it was 619 last checked) and I need to get my points raised quickly. I'm working with a downpayment program in Houston who does not require a minimum score. I figure it would be hard to find a lender who would work with me with this score so my best bet is to raise it somehow. Everything else lines up wonderfully and I'm running out of time to get into my own place before I have to be out of this one.

A loan officer I spoke with tried to get my car added on my credit but was told a 3rd party can't do it but beforehand she made it sound like it was possible. I'd like to try it for myself.

The situation may not make it likely though. The car dealership doesn't have the ability to report. They would have to have a certain amount of accounts open in order to be able to report (or so I'm told) so adding it myself is my only option. I'd like to know its possible but hearing no, it's not is better than wondering over it daily.

Also, what other ways can I improve my credit. I only really have two negatives on my credit and the main one is Verizon that I'm trying to pay off and get deleted and they aren't budging. I don't own credit cards, have been a member of a credit union for years if that helps, but I don't have much time at all, like not even 3 months. I pay monthly bills since December but they aren't in my name. I'm in a pretty stuck situation now with my credit and with the living situation but I would appreciate any answers as always.

Thanks.

posted by grablife365 to work & money (14 answers total)

....How is it that your car dealership can't add something to your credit report? Something is odd about that.

And why are the bills you're paying not in your name? And what is the other negative on your credit you mention?

As for the Verizon situation, is there a letter you could attach to your credit report until Verizon gets on the stick, which would explain the situation and the lengths you're going to to rectify things? A lot of people do accept that; your score doesn't change, but an accompanying explanatory letter can help.
posted by EmpressCallipygos at 1:55 PM on September 9, 2009

FYI, Verizon is pretty notorious for refusing PFDs, so good luck with that one.

I'm confused, are you financing your car through the dealership? If you have a legitimate loan through some sort of bank, they will automatically add the account to whichever of the three credit reporting bureaus. If it's a dealer-financing type of thing where they don't actually go through a bank, you may be SOL. The main thing that is probably going to affect your score is letting the bad things age off of your reports, which simply takes time if you're not able to remove them. That doesn't help you at this point.
posted by scarykarrey at 1:58 PM on September 9, 2009

I would recommend visiting the Credit Boards forums and reading up on how all of it works. There are crazy people over there with 9027348739 credit cards and FICO scores over 800, but there is a lot of information for those of us who simply want to dig ourselves out of credit holes. I'm not affiliated with the site in any way, but I was able to raise my credit score by more than 150 points in less than a year with information I found there. YMMV.
posted by scarykarrey at 2:01 PM on September 9, 2009

I do think its odd that they don't report but that was the bit of information I was given which is why I'm wondering about doing it on my own.

I live with a relative/ roommate. The bills are in her name cause it is her house at the moment. I moved in after and now I just pay some of them.

The only other item on my credit is a paid Citi charge off. I'm also trying to get that removed.

I actually need the score improved so a letter probably wont help much.

They may be notorious but it is not impossible. Thanks for that.

I'm on credit boards and while they are helpful, its not doing much good on this end beyond the PFD. At least not right now. I do like all their info though.
posted by grablife365 at 2:14 PM on September 9, 2009

Are you already working with any lenders? It doesn't hurt to go to some (maybe try some credit unions first) so that they can look over your report and tell you how likely you are to get a mortgage and what you may need to do in order to improve your chances.
posted by scarykarrey at 2:17 PM on September 9, 2009

I am with a lender now though I am thinking about getting with a few others since score isn't exactly required with the program. Its just that most lenders require the certain score.
The only thing I need to do is raise my score to at least a 620 (8 points) which is only possible with adding the car however unlikely and removing the collections accounts. That's it. Everything else lines up.
posted by grablife365 at 2:27 PM on September 9, 2009

It may take a couple months, but one way to improve your score is to get a couple of the utility bills transferred to your name. This should be easy to do.
posted by EmpressCallipygos at 2:35 PM on September 9, 2009

Generally, utilities do not report to the credit bureaus unless they have to send you to collections, so that won't do anything for the OP's score. It still might be a good idea to do that in order to use documentation of steady payments for lenders, if they need some supporting information to justify awarding them a mortgage since their score is low, though.

Your best bet is to discuss it with lenders, though. For instance, opening a credit card or two is great for your score, because it increases your available credit ratio (which you usually want under 30% of your limits), but most mortgage lenders don't want to see you opening new lines of credit when you're trying to get an account with them. In that case, the increase in score points is counterintuitive. Some special lenders, like with first time buyer programs, don't care about the score itself, as long as old collections accounts are showing as paid off. Paying them off isn't going to increase your score, but it's just further documentation for the lender showing that you make good on your debts.

As far as your car loan, no, you cannot add it to your reports yourself. The only thing you can explicitly do to your reports is correct incorrect information (like addresses or adverse items being reported incorrectly) and add a personal statement, which pretty much does nothing. If you're financing a car through a regular bank, you're just going to have to wait until they start reporting it, which can take 30-90 days after the account is opened.
posted by scarykarrey at 2:44 PM on September 9, 2009

Counterproductive above, not counterintuitive.
posted by scarykarrey at 2:45 PM on September 9, 2009

Probably, your car loan is not from the dealer anymore, but with a bank like JP Morgan Chase. I find it strange that whoever financed this doesn't report credit. If you own the car outright, then it's not credit.

It may relieve your sense of urgency to spend some time shopping for places to rent; having a backup plan to rely on can reshape your perception of how important financing a home purchase or your credit score is.
posted by pwnguin at 4:52 PM on September 9, 2009

thanks pwnguin, but it hasn't helped to shop for an apartment as a back up. Just makes me want my own place and a better credit score that much more.

scarykarrey, I asked about cards and the answer is that the hit to my credit would initially bring it down which I cannot afford to take. She doesn't recommend adding anything.
posted by grablife365 at 5:21 PM on September 9, 2009

I'm confused about your car. Is it financed through the dealership? My car loan is on my credit report - and I didn't have to do anything to add it there. But it's not the Honda dealership where I bought the car that shows up on the credit report, rather it's the "American Honda Finance Corp." that holds the loan. Even if the dealership itself can't help you, they probably aren't holding the actual loan - check to see if the actual lender is someone different, and try contacting them directly.
posted by gemmy at 5:37 PM on September 9, 2009

It's in house financing. Should I still hunt someone down or does their word stand on the matter of not being able to report?
posted by grablife365 at 6:15 PM on September 9, 2009

They are telling the truth about not reporting. Ask the dealership for a letter stating your account is in good standing to provide to the bank. But be careful. If there is a question of affordablility (i.e. your pmt is 500 you make 1800) it could hurt the whole picture when deciding to provide financing. Banks don't look at just your score. You might be better off without it on your report when considering debt to income ratio. Aside from all that do not cancel any credit cards. Reduce your balances to no more than 30% of available credit. Do not pay up with a verbal pfd get it in writing and act fast.
posted by bravowhiskey at 1:30 PM on September 10, 2009