How to Qualify For More Than a Bad Credit Home Equity Loan

If you need money quickly but have bad creditstatute of limitations but less than seven years of
then a bad credit home equity loan may be yourage. Start by writing a letter to dispute the debt
only choice to get the money you need. Manywith the collection agency that has reported them
lenders look at loaning money to persons with badto the credit reporting agency. They only have
credit based on the equity in their home. Thethirty days in which to complete their
interest rates are higher than most other peopleinvestigation, If they do not respond to you within
pay for a home equity loan, however.that time frame they must have the report
If you have a little time, it is possible that youremoved from your report. Once it is beyond the
may find you can improve your credit rating andstatute of limitations, they will often just let it
qualify for a better loan. You will have to begin bydrop because it's too much trouble and they have
getting a copy of each of your credit reports.plenty of other people to harass about bad debts.
In the United States, the laws require that creditIn this case the derogatory remarks will fall off of
reporting agencies furnish you a free copy ofyour credit report.
your credit report every year at your request.When you send the letter to the collection
You will also be able to request a free report ifagency, also send one to the credit reporting
you have been turned down for a loan. You needagency. Ask for an investigation of the same
a copy from all three of the major creditdebts. They must by law contact the collector
reporting agencies.and investigate the debt. If the creditor does not
After receiving these reports check them closelyreturn the inquiry, then the debt must be dropped
and dispute any accounts that are being reportedfrom your report. This often works to your
inaccurately. In addition you need to find theadvantage.
statute of limitations for debt in your home state.Do all of your correspondence about debt by
While the bad debts can be reported for sevencertified mail requesting a return receipt. This will
years on your credit report, many states onlycost about five dollars but will save you money in
allow collectors a certain number of years tothe end if you improve your credit score.
collect a bad debt. In some states it is as little asThese two letters may go far to repair a poor
four years. If there are debts that are overcredit score and allow you to qualify for a better
seven years old, request that they be removedinterest rate over time. If you do not have the
out of your credit report by sending antime to wait for your credit score to improve,
appropriate letter to the agency.then you may need to look further into how to
Next work on those debts that are older than theobtain a bad credit home equity loan.