Frequent Questions

What affects my credit score?

? This is a complicated question. As a member you will learn how to analyze your financial situation to identify what may be affecting your credit and how to best fix it. Once this is determined you will be able to develop a customized plan to fix your credit and get on the path to financial freedom. In general, there are several factors that impact the credit score you have. These factors include: Payment History, Length of Credit History, Utilization of Credit Compared to the Limit, Inquiries and the consideration of previous negative events such as foreclosures, bankruptcies, repossessions, charged off debts and collections. Each person’s credit score is a complicated calculation but in general is designed to represent their financial habits and responsibility to determine creditworthiness and ability to pay back a debt.

Will NOOCredit pull my credit report when I become a member?

? NO. Unlike the majority of services that are available online NOOCredit will never charge you or ask for information to pull your credit. Anyone who does so is not affiliated with NOOCredit. NOOCredit is a 100% free service and will only have access to the information that you choose to provide.

Do I need a credit report before I sign up?

? NO. Unlike most credit repair companies and lenders who pull credit immediately no matter what, we reach out directly to gather information and discuss your situation and goals. Even taking a look at your credit report for improvement purposes could have a short-term negative impact on your scores. At NOOCredit we make sure that we are approaching your situation carefully, as a mistake with something as serious as your credit and finances is not acceptable. If we believe action can be taken to improve your scores prior to having a credit inquiry we may suggest you take action and can educate you as to the appropriate steps.

Why do I have more than one credit score?

? Firstly one must understand that there are 3 different credit bureaus that establish a consumer’s credit scores. These bureaus are Equifax, Transunion and Experian. These 3 bureaus each have access to slightly different information and have slightly different scoring ranges. Each consumer will have a separate credit score with each bureau once they have established enough credit history for the bureaus to report. In some cases, lenders and businesses that look at your credit may only look at your score from one of these bureaus, leading to discrepancies between scores. The most complete credit reports get scores from all 3 bureaus. Lenders typically take the middle or lowest of the 3 scores and use that as the reference score when deciding qualifications. Different credit reports can lead to different scores and scores with the bureaus fluctuate as information is received. This leads to great complications for people who barely qualify for loans and other financial services because the smallest difference in their credit could cause them to lose out on any number of things. For instance, the ability to be able to buy or not buy a car. Qualifying for a mortgage and buying a home for your family and so many other things for which credit is essential. NOOCredit will guide you to higher credit scores in the short term and also set you up for success in the long term as you build your credit rating. Once you get into the highest category of scores (740 and higher) you will no longer be affected by minor fluctuations in your scores. If you have scores in the 800s and suddenly your credit declines by 40 points, you will still have access to the same things you did before. In addition, NOOCredit will help you to build credit durability which will lessen the impact negative marks in the future would have on your scores, preserving the work you put in to attain excellent credit. For more information on credit durability, read on.

What is Credit Durability

? Credit Durability is a concept that NOOCredit puts a unique focus on. This is because it is essential to building a strong foundation behind your credit as you improve your scores. Even consumers with high credit scores can see their credit ratings ruined quickly sometimes at no fault of their own if they have low credit durability. The concept of credit durability begins with opening or selectively managing credit accounts and using them in a way that optimizes your scores when those creditors report to the bureaus. If you have many tradelines reporting good information you will have more credit durability than someone who only has one or two tradelines reporting on their credit report. Take for example a young person who has no credit history named John. John opens his first credit card and uses it very responsibly. He has a $1,000 limit on it and spends about $200 per week on the card. Every week he pays the card down to a zero balance so he never pays interest. John only has that credit account open and since he has been responsible, once his scores are established with the bureaus, he already has scores in the high 600s despite the short length of time he has had credit. Suddenly a collection reflects on his account from an unpaid medical bill. His scores suddenly drop 100 points into the high 500s. This is because he went from having 1/1 account reporting positively to ½ reporting positively and the second reporting as a collection. He had low credit durability and went from having fair credit to very poor credit just from that one negative mark.

Now take Jane for example. Jane has 7 different credit cards which she pays every month to the best of her ability. She occasionally carries a balance over to the next month but does her best to keep her balances low and pay as little as possible in interest. Jane also has a mortgage which she has never been late on. She has credit scores in the low 700s and also has a sudden medical collection placed on her accounts. In addition to having far more positive accounts than John, she also has a three-year credit history. When the collection hits her credit report, she only sees her scores decline by about 20 points. This is because while she may have had similar scores to John, she had much higher credit durability. When one negative tradeline appeared on her credit report the other 7/8 were still reporting positively, so she was able maintain her scores. If she also had higher credit scores, the impact of such an event would have been even lower. NOOCredit will show you how to optimize the accounts you have open already and close the ones that are hurting your scores. We may also suggest looking into various types of products which will help you to build your credit durability while you increase your scores. You’ll take your first steps toward turning the tables on creditors to get the most out of rewards and start receiving money back from them.
Keep in mind that the same concept of credit durability also applies to negative items on your credit. If you have short credit history and few negative accounts, it can be easier to fix your credit. If you have many derogatory accounts, charge offs, collections and late payments for instance, it can be much more of a challenge to fix your credit. Nonetheless, NOOCredit will evaluate your situation and customize a plan for your no matter how daunting the situation may seem now. There is always a path to tremendous improvement in credit and expansion of financial opportunities regardless of where you’re starting out and we will help you to find it.

Which state has the highest average credit score?

? Minnesota, followed by Vermont and Massachusetts

Which state has the lowest average credit score?

? Mississippi, followed by Louisiana and Alabama

What kind of company is NOOCredit?

? NOOCredit is a 100% free service and financial social platform designed to educate and connect people for the benefit of all. NOOCredit has never received any compensation for it’s services from any of our members or from any third parties. NOOCredit does not receive compensation or any considerations from members, third parties or affiliates. NOOCredit was created with a vision to become a self-sustaining movement. Your membership will remain free.

Why do I have bad credit?

? The most typical cause of poor credit scores would be late payments reporting, high balances compared with credit limits, collections and charged off accounts. Many other factors come into play as well and a professional analysis is necessary to determine the fastest way to improve your credit scores. You also want to ensure that you are improving your credit scores in the most efficient way possible to make sure your money is working smart for you. At NOOCredit we will determine the cause of your low credit scores and customize a plan to set you on course for huge improvement.

Can you get rid of bad credit?

? Of Course! This is what we specialize in at NOOCredit. Getting out of bad credit is very much like getting into shape. It takes some time and discipline, but it can be done if the proper habits are followed. We will guide you step by step to find out what changes you need to make or what needs fixed to improve your credit. Then we will monitor your situation and help you maintain things over time as we guide you to keep your excellent credit rating. As your qualifications improve, we’ll show you how various types of products suited to your specific situation could help you save money, get access to cash and possibly benefit from many programs you didn’t realize existed that the financial elite have been using for decades.

Will NOOCredit help me dispute items on my credit?

? We may be able to make suggestions that will help you to take the proper steps to eliminate bad items from your credit and negotiate bad debts for significantly less than the amount owed. NOOCredit is not a law firm, credit bureau, attorney or affiliated entity. If assistance is needed to contact a credit bureau, depending on your situation, it may be in your best interest to speak to an attorney who can contact them on your behalf.

Can I stop making payments on my credit cards once I sign up with NOOCredit?

? NO. NOOCredit is not a creditor, government entity, legal organization, lender or credit bureau. We simply provide information to help our members make a plan to improve their credit and financial situation. NOOCredit will provide information that helps members learn how to connect with professionals who can help to eliminate debts and lower payments but ultimately the responsibility to make payments on time and repay debts as agreed between a borrower and creditor remains, and ultimately an individual’s credit rating is dependent mainly upon their financial decisions, payment history, and related factors. Failing to make your debt payments on time will have a negative impact on your credit score

Does my balance on my credit card matter?

? Yes, this is a frequently misunderstood issue for many consumers. One of the factors that contributes to a consumer’s credit score is “Utilization” This refers to how much of an available credit limit is currently being used. For example, if you have a credit card with a $1,000 limit and have a balance of $100 you have a 10% Utilization. Once per month each credit account will report to the credit bureaus on a certain day and whatever your balance is at that time will report on credit. Having high utilizations reporting month after month can have a negative impact on your credit scores. To ensure the very highest credit scores it is optimal to keep utilization under 9% on average over time. If your utilization exceeds 30% over time you will begin to see declines in your scores. Higher utilizations like 50-100% will have a very negative impact on your credit. Often consumers with no late payments are confused as to why their credit scores are low since they pay their bills one time. Sometimes these consumers have many accounts with high balances reporting, therefore they have high utilization. This can be a particular issue for borrowers with low credit scores who only qualify for credit cards with small limits, since even a balance of $100-200 could push someone into the category of high utilization. NOOCredit will be able to inform you as to how to optimize spending and strategize your payments to keep your utilization lower and increase your credit scores very fast.

If my credit card is charged off do I have to pay it?

? Technically a charged off account is still a debt that you owe. When a company charges off a debt, usually that means that they no longer expect to receive payments, so they write the debt off as a loss for tax purposes and sell the obligation you have at a discount to a debt collection company. These companies make their money by trying to get you to pay that debt back to them. For instance, If you owe $5,000 on a credit card and stop making payments for a long enough time, that debt will be charged off as a loss. A debt collection company may buy that debt for say $1,000. Since the credit card company does not expect to be paid, they are willing to accept that smaller amount in exchange for the debt. If the debt collection company is able to collect $1,000 from you then they break even but any amount over that is profit for them. The good news for you is that accounts like these can often be settled for significantly less than what you owe. NOOCredit can help to evaluate your situation and determine the steps you’d need to take to begin removing these items from your credit report for the lowest cost possible. In the future, these collections could become liens against your property, or lead to issues qualifying for other financial products like a mortgage. Eliminating items like this from your credit can lead to huge increases in your credit scores. It is not unusual to see members have a collection removed and see their credit scores go up by 100 points or more.

How many credit cards should I have?

? There is more than one correct answer to this question. The simplest answer is No More Than You Can Easily Manage. If you want to have the very best credit rating and high credit durability it is important to have multiple active credit accounts and keep them in good standing for a long period of time. However, many consumers can take this concept too far and end up with far more accounts than they can easily manage. Often, they have a few good credit cards that they like to use and many low limit store credit cards and similar cards that offer them limited benefit. Often these cards have the highest interest rates and least rewards when compared with more mainstream credit card offerings, and lead to wasted time paying bills and increased risk of an accidental late payment. The optimal number of cards for most consumers if managed well is 2-7 depending on financial goals and your individual situation. Once you become a member NOOCredit will be able to analyze your situation to see if you have too many accounts and if some of those accounts may be hurting your credit.

What do I do if I have No Credit?

? This is a common concern especially for young people. Having no credit is not as bad as it sounds. It is often much easier to establish good credit than to repair damaged credit. If you have no credit yet you can usually get a secured credit card through your bank by making a deposit toward the account. There are also many credit card offers that may be available specific to you, for instance if you are a student, and offers like these may be worth looking into further. Once you are able to establish your first credit account it is extremely important to use it responsibly to establish good credit since it is your only account. For the best results and fastest growth to your credit, use the card for very small purchases you would already make and then pay if off very frequently to keep the balance at zero and pay no interest. Once you have established this habit for a month or two you should have fair credit. At this point you can qualify for better accounts and begin to establish additional tradelines on your credit report to improve your credit scores and build your credit history while also increasing your credit durability. You can begin to open cards that offer better rewards you are interested in to start making the credit cards benefit you rather than cost you money like they do for most consumers.

Should I stop my membership once my credit is fixed?

? If you only want to use NOOCredit in the short term your membership can be cancelled at any time. Since NOOCredit is 100% free and will remain so there is no need to cancel. Members often find that fixing their credit is only the first step on the journey to financial freedom and are able to benefit from the suggestions and updates we give even more once they have high credit scores and qualifications. Building excellent credit is a marathon, not a sprint. While it is possible to see massive improvement in credit scores in a short time, the long term growth is what really counts. By maintaining your membership and keeping up to date with what NOOCredit has to offer you will get the updates you need to stay on top of your credit and finances and benefit for many years to come.

Why does having good credit scores matter?

? In today’s society credit scores seem to impact almost all financial decisions consumers make. With the rise in interest rates and higher prices due to inflation that we are experiencing now, this is more important than ever for consumers and families. Firstly, the credit score you have can make the difference between qualifying and not qualifying for a product or service. If you want to get a loan to buy a car for instance, you would need to have sufficient credit. If you wanted to get a mortgage to purchase a home, the same would be true. Secondly the credit score you have will affect the rate and payment on loans like this. The difference could mean hundreds to thousands per month and thousands to tens of thousands per year in cost to the consumer. Credit rating even has an impact on insurance rates, the ability to rent a home, the ability to work in certain industries, obtain certain licenses and so much more. Having good credit can allow a person to take advantage of creditors in a world where creditors take advantage of most people. It can help you to increase cash flows, save money, build wealth and achieve financial security and freedom. It is our goal to set you on the path to higher credit scores and help you improve your financial situation as quickly and efficiently as possible.

What is a credit report?

? A credit report is a formal document prepared for an individual or institution by one of the three credit bureaus: Equifax, Transunion and Experian. These reports can vary slightly depending on their purpose and which bureau provides them. Sometimes a combined report will include information and scores from all three of the credit bureaus.

Do inquiries on my credit hurt my score?

? Generally an inquiry on your credit will have some negative impact on your credit scores. While some inquiries have a very minimal impact, others may have a much more significant impact on your scores. For example, inquiries for a mortgage or refinance typically lower your credit scores very little due to the regulation surrounding them. Other inquires like those when you go to buy a car can have a much worse effect. Often this is because a dealership offering financing doesn’t actually finance your loan but sends your information to many banks who all pull your credit report separately leading to many individual inquiries that can sink your credit score. If you’re planning a large purchase or think you may have your credit looked at soon it may be sensible to take steps to mitigate any damage to your credit up front. For instance, if you were going to get a loan to buy a car, rather than have the dealership look into your financing and send your information to a dozen different banks… you could call your preferred bank and have them take a look at your credit to prequalify you. Then, when you go to buy the car you can have them contact your bank directly so that your credit only gets pulled one time. Small actions like this can make a big difference to the negative impact an event like this would have on your credit.

How long does it take to improve my credit?

? The timeframe to repair damaged credit can vary greatly depending on each person’s situation. The process of building excellent credit and high credit durability is a long process which takes time and discipline. Typically, members can see very significant increases to their credit scores withing the first month as a member with NOOCredit. It is not uncommon for scores to increase by 100 points or more in a month.

What score is a good credit score?

? The following categories are a general reference for your credit score, consider that scores seen on credit card apps may not accurately reflect your real credit scores on an actual credit report and are often overestimated.

300-579 Poor
580-669 Fair
670-739 Good
740-799 Very Good
800-850 Excellent

What is the average credit score in the United States?

? Approximately 698

When did credit scores become a thing?

? In 1989, the national credit bureaus coordinated with FICO to develop the first standardized model for credit scoring. This is when the first “Credit Score” originated. Prior to this credit reports from the bureaus were still used to evaluate a person’s creditworthiness and previously these sorts of qualifications were determined based on a person’s relationship and history with a particular institution. These evaluations have now been standardized and nationalized and are controlled mainly by the credit bureaus and the information they receive from companies and creditors.

Can NOOCredit help me if I don’t have credit yet?

? YES. We are a free service open to helping anyone with questions about their credit regardless of their current situation. NOOCredit can give you the information you need to make a plan to jumpstart your path to excellent credit and help you to strategize your spending and choose the best financial products to get ahead of the curve and start taking advantage of the same programs, products and loopholes the financial elite use to generate cash flow and build wealth faster.

Do I need to provide my social security number to sign up with NOOCredit?

? NO. NOOCredit only requires your name, email and phone number to sign up. All memberships are completely free. You may provide additional information about your financial situation to NOOCredit if you wish so that we can best understand your goals and what you would need to do to accomplish them.

How do I cancel my subscription?

? If for some reason you do not want to continue with your membership you can cancel under the account section of our website. A confirmation email for cancellation will be sent.