Welcome to Power Credit Scores

Are you controlling your credit, or is your credit controlling you?

The primary purpose of this site is to:

• provide practical education regarding credit
• help you formulate short-term and long-term credit strategies
• offer suggestions regarding the wise use of credit

The strategies and tools offered through this site show you how to:

• use tools to help you improve your credit
• correct errors in your credit report
• dispute false statements in your report
• build and maintain good credit
• work with creditors to resolve credit problems

This is a free site and you are welcomed to use all of the tools and strategies included herein.
Optional services and reports are also available for purchase.  Please review the "terms of use" and "privacy policy" at the bottom of this page.

There are no overnight tricks to improve your credit score by a hundred points.  However, there are steps you can probably take to make immediate improvements.  The first thing to do is to know your credit as it stands today, and understand your credit picture as viewed by credit providers.  Then, you can use the tools provided here effectively to implement strategies to improve your overall credit picture.

What is your existing credit picture?  Do you have any credit?  If so, you probably have a credit history with one of the credit file repositories (bureaus).  Is it beneficial or derogatory?

When you go to purchase an item using credit (a TV, a vehicle, acquire a credit card, or buy a house for example), the lender looks at your credit report for specific items, such as your payment history, open credit account balances, maximum credit line (to determine your maximum ability to go into debt), collection actions, your public records (to see if you have any tax liens and judgments, bankruptcies or foreclosures), and other items (discussed later).

For certain types of credit, the lender looks at a credit report called a "tri-merge".

What is a "tri-merge" credit report?

A tri-merge credit report, or "tri-merge", is a comprehensive blend of three credit reports.  In the USA, there are three primary credit rating companies (credit bureaus) that almost all lenders rely on; TransUnion, Equifax-Beacon, and Experian.  These three companies (referred to as repositories or bureaus) are warehouses for credit information.  Generally, unless the borrower gets out the cattle-prod, the "big three" bureaus don't investigate your credit for accuracy (more on that later); they only receive, store, and score the information that is reported to them by lenders, the courts, and other institutions.  (Actually, as we'll find out later, it's not hard to dispute incorrect information in your report and get good results.)

For example, if you have a credit card, the name of the credit card company, the account number, the date you opened the account, the high balance, the maximum credit line, the minimum payment, the number of months reported to the credit bureau, the payment history for those months, any 30, 60, or 90-day late payments, and a credit rating are generally provided.  As well, any late payments will be indicated for the month they were late.  (Click here for a sample.)

Folks usually have two basic thoughts regarding their credit; get more or fix what they have.  If you don't have any, getting some can be important -- actually VITAL -- to your financial future.  For a person in their teens or early twenties, good credit is more important than you can imagine...even if you have a huge salary, big help from a rich uncle, or your last name is Hilton.

So, the first thing to learn is what the bureaus are reporting about you.  The way to do this is through a free credit report.  Yes, the three bureaus are required to give you a free report once per year, or within 60 days if a lender has declined to approve your application for credit.  However, there is a part of the credit report that they withhold for money; your credit score (FICO score).  They each charge between $6 and $8 for your score (more on this later).  Results can be delivered on-line, or via mail.  Some bureau scores can be read to you over the phone using an automated system.  You can choose the delivery method from each bureau.

What is a "FICO score"?

A FICO score (FICO) is a rating system that has been developed by Fair Isaac Corporation.  Engineer Bill Fair and mathematician Earl Isaac found Fair Isaac in 1956.  For 50 years (as of this writing), the software from Fair Isaac has been the premier credit decision making tool for lenders of all types...starting with Sir Conrad Hilton who hired Fair Isaac to design, program, and install a complete billing system for one of the first credit cards -- Carte Blanche.

If the three bureaus use the FICO system, how come there are three (sometimes very) different scores?  Not all bureaus have the same information, or the information may not be as current from one to the other.  Therefore, your scores can be very different from the three bureaus.  Also, the implementation of the FICO scoring system varies for each installation.  This is why some lenders use the lowest score of three, or the middle score (mid-score) of three, or, if you only have two scores, the lower of the two, in their decision-making processes.

Let's get your three FREE (really?) credit reports...

Please allow us to present a couple of options...  To get your three free credit reports, you can go to annualcreditreport and go through their authorization system four times, or, you can purchase your tri-merge report here.  Remember, the "free" credit reports don't provide your scores, and, to get them, you pay from $6 to $8 from each of the bureaus.  And, you have go through four separate websites, three credit card authorizations, and read through three separate reports with different formats. 

Or, our tri-merge report (available below) delivers all of the information from the three bureaus in one easy-to-read report, with scores.  Our tri-merge is the same type of report that is used by mortgage companies for big-dollar credit decisions.

It's not clear why the legislation excluded scores from the "right-to-know" policy on free credit reports.  The "annualcreditreport" website is run by Central Source LLC, which is a joint venture between Equifax Information Services, LLC, Experian Information Solutions, Inc., and TransUnion LLC.  (Maybe that has something to do with it.)  Central Source's primary purpose is to accept and process requests for free credit file disclosures in compliance with the Fair and Accurate Credit Transactions Act of 2003.

Three "Free" credit reports through annualcreditreport.

Our tri-merge for $16.

Now that you have your credit report in hand, what's in it and what can you do with it?

The information on your credit report is one of the most important keys to your financial success, now and in the future.  This information greatly influences lenders' decisions.  Every time you want to rent an apartment, borrow money, purchase real estate, buy a car or a TV, open a credit card at Wally's Wicker World, or apply for a job beyond the local fast-food fry cook, someone will review a credit rating based in whole, or in part, on this information.  The sooner you grasp the concepts, apply these strategies, and take charge of your credit information, the better off financially you will likely be.

Now that you realize the importance of the contents, let's take a look at your existing picture.  First things first...get your credit information organized.  You will need four files.  Mark each file as follows; Credit-Experian, Credit-TransUnion, Credit-Equifax, Credit-Originals.  If you purchased our tri-merge report, make three copies of it.  Put the original in the file marked as such and one copy in each of the remaining files.  If you downloaded three separate reports through the "annualcreditreport" website, make one copy of each.  Put the originals in the file marked as such and one copy in each of their respective files.

You may want to do both; purchase the $16 report from us, and download your free reports from the bureaus...if you are really curious!

Grab three additional blank pieces of letter-size paper.  Label them at the top for each bureau and place them in their respective files.  Or, grab this note sheet.  This is a good place to keep your notes regarding communications with each of the bureaus.

Next, as uninteresting as it may seem (right now), it's time to read your report(s).  Unfortunately, if you downloaded the three separate reports, you will have to read all three.  DON'T SKIP ANYTHING!  Most reports have the same general information.  However, you want to review the entire pile and verify all of the contents.  Grab a highlighter and mark the left margin next to anything you don't recognize, is incorrect, or items that just need clarification. 

You will find sections containing: (sample report)

• Report Information - Date report was requested, date report was delivered (usually the same), report number, etc.
• Personal Information - Name (alias and maiden names), Social Security Number (SSN), date of birth, etc.
• Residential Addresses - present and history.
• Score Model - and a list of factors that contribute to calculating the score by each bureau.
• Open and Closed Tradelines - these are the reported accounts that have had activity in the last seven years.
• Public Records - lists bankruptcies, foreclosures, liens, judgments, with most important details.
• Inquiries - lists the names of companies that have recently pulled credit file reports for the purpose of granting credit
• Sources of Information - lists the source for various data in the report.
• Remarks - may list alias names, fraud alerts, etc.
• Trade Summary - pulls together a list of data from the creditors.
• Creditors - list the contact information of creditors reporting data to the file.

We will discuss each of these areas briefly paying more attention to the common problems.  For help with specific items, please contact one of the partners (on the link page) that can provide direct assistance.

• A - I don't have a job or any credit, but I do have income and/or savings.
• B - I don't have any credit, but I do have a job.
• C - I have a job and my first debit/credit card, but I live at home.
• D - I have a job, some credit, and my own apartment.
• E - A job, credit cards, car loan, and a mortgage.
• F - Same as D with some investment property, and/or a growing retirement fund.
• G - Same as E, but close to the retirement years.
• H - I have a job, some investment income and/or a pension, and am collecting Social Security.
• I - My investments and/or pension, and Social Security are my only income.

Are you "Pre-Approved" every time you open your mail box?  Would you like to reduce the number of inquiries on your credit report?  Would you like to stop the "big three" credit bureaus from sharing information about you with all manner of solicitors?

Here's what you can do:

You may request that consumer credit reporting companies exclude your name from lists for pre-approved, unsolicited credit and insurance offers. To find out more, please call 1–888–5OPTOUT (1–888–567–8688).

Terms of use and privacy policy: The information offered on these pages is the opinion of the owner or owners (owners) of this website.  The services, tools and strategies have been used by the owners and countless thousands of consumers.  No claims, directly or indirectly, to assist a potential borrower are made.  No responsibility is taken by the owners of this website for actions resulting from, or remotely related to, directly or indirectly, using the information offered.  All users of this information bear sole responsibility for their own credit, credit disclosure report, and any use of credit-related information.  Our strict privacy policy is simple.  No personal user information that is gathered at this website is shared for marketing in any way.  For the purchase of a credit report, personal information may be shared with the reporting agency for identification purposes.  It is not in the control of the owner of this website as to the use of the personal information by other sites linked herein.  However, the owners seek partners who share the same strict privacy guidelines.