Can You Boost Your Credit Score By Paying Your Utility Bills On Time?
Watching your debts get bigger every month, even though you spend every waking moment on work and gigs is incredibly stressful and frustrating, but just breaking even each month brings its own kind of discouragement. Just barely being able to pay your bills each month is a lot better than not being able to pay them at all, but it can leave you with the feeling that you are going nowhere fast. There are probably things you have been trying to save up to buy for years, but to no avail. The reason that the upper middle class lives so well is not that they have money in the bank to buy anything they want. Rather, when they want something, they charge it on a credit card, and they can easily afford the installments until it is paid off. If you are steadily employed but have a low credit score, access to credit can feel painfully out of reach. One of the many problems with the current credit reporting system is that it does not give consumers credit for many of the purchases that they make on time. If you keep getting denied for loans because credit reporting bureaus paint an unfairly negative picture of your finances, contact a Boca Raton credit repair lawyer.
No Good Deed Goes Unpunished
The current credit reporting system employed by the major credit bureaus Experian, Equifax, and TransUnion has attracted criticism because it is structured so that the rich get richer while everyone else is stuck living paycheck to paycheck with little or no access to credit. For example, personal finance journalists have pointed out that many working adults have kept up with installment payments on Buy Now Pay Later (BNPL) purchases for a year or more without seeing an improvement in their credit score.
Perhaps an even bigger problem is the way that credit reporting bureaus deal with utility payments, or rather, the way that they do not deal with them. Not everyone has a credit card, and not everyone makes BNPL purchases, but almost everyone pays for utilities, such as water, electricity, phone service, and Internet. Unfortunately, the credit reporting bureaus do not receive reports about utility payments, because utility companies do not report to them. Utilities count for a large portion of many consumers’ monthly budgets, and yet they do not help their credit scores. The good news is that missing a utility payment also does not lower your credit score. It is possible to get your utility payments to appear on your Experian credit report, but only if you use a service called Experian Boost, which requires you to let Experian get too close for comfort to your bank account.
Contact a South Florida Debt Lawyer About Credit Repair for Frugal People
A South Florida debt lawyer can help you improve your credit score, especially if you have recently established a good track record of paying your household bills on time. Contact Nowack & Olson, PLLC in Boca Raton, Florida to discuss your case.