Featured Product

Score Power^®

FICO^® is the score lenders use most to learn your credit worthiness, and it often determines both the credit amount and the interest rate you are likely to receive. With Score Power, you will receive information on your score, what it means and how it may impact your life, including:

• Instant online access to your FICO^® credit score and Equifax Credit Report™^†
• An explanation of what your score means, comparison with national averages, and a graph of how lenders view you
• Interactive Score Simulator to show you how certain actions may change your score
• Specific tips for understanding your score

Spring Housing Market ‒ Time to Buy?

You’ve heard a lot about the housing market recently, but what do all the changes mean for you? Spring is traditionally the peak home buying season, which typically results in a market only slightly favoring the buyer.  However, the recent housing downturn means this year is a particularly strong buyer’s market. A buyer’s market means that there are more homes for sale, those homes tend to be selling slowly, and therefore many prices are reduced.

While this might seem like the perfect time to buy, it’s key to know where you stand in terms of your creditworthiness, and its impact on the mortgage interest rate you are likely to receive.

In simple terms, your credit score indicates your risk factor to lenders. That means that the higher your credit score — and the less of a risk you appear to lenders — the lower interest rates you’re likely to receive. Conversely, if you have a low credit score, you may pose a greater risk to the lender, so your interest rates might be higher. Even little changes can make a big difference; a mere 1% increase in interest rates could cost you thousands of dollars per year.

Whether you’re buying a home or trying to get your financial health in order, monitoring your credit score with Score Watch™ keeps you up-to-date on where you stand in the eyes of lenders. You’ll receive alerts of key changes to your score and the potential interest rates you could receive. Factors that impact your score include:

• Whether you pay your bills in full and on time
• What percentage of your available credit you use
• Your employment history
• Your outstanding debt
• How long you’ve been building credit
• The number of inquiries on your credit report

Along with building a good credit history, selecting the right mortgage is an essential step toward buying a home.  It’s a good idea to research the two types of mortgages – adjustable rate (ARM) and fixed rate – to determine which one best suits your financial needs.  Not sure which kind of mortgage is best for you? Try out this month’s interactive tool, “ARM vs. Fixed-Rate Mortgage,” to find the best fit.

The sooner you learn about your credit score and the effect it has on the home buying process, the sooner you’ll understand its impact on saving money over the course of your mortgage.

Tip of the Month: Learn More About Equifax Mortgage Match^™

Equifax Mortgage Match™ is a brand new service designed to help you find the best lender and rates for your mortgage, home equity, or refinance loan. It’s 100% free with no obligations or commitments. And, with Equifax you can rest easy knowing your information is kept confidential and secure.

Simply choose the type of loan you’re interested in and enter some basic information about your property, your personal finances, and your contact information. Then, at the click of a button, you may be matched with up to four lenders who will work with you to offer competitive loan rates based on your needs. It’s up to you to choose the lender, loan type and rate that you feel are best for you.

Let Equifax help empower you to better manage your financial needs with our easy and helpful Mortgage Match service.

Interactive Tool: ARM vs. Fixed Rate Mortgage

Find the right mortgage for you! A fixed-rate mortgage has the same payment for the entire term of the loan. An adjustable-rate mortgage (ARM) has a rate that can change, causing your monthly payment to increase or decrease. Use this calculator to compare a fixed-rate mortgage to two types of ARMs: a Fully Amortizing ARM and an Interest-Only ARM.

Equifax and BBB Identity Theft Alerts: Foreclosure 'Rescue' Scams on the Rise

Across the U.S., homeowners facing mortgage foreclosure are being scammed by foreclosure “rescue” companies that promise to save their houses but that only take their money. In light of this emerging trend, the Better Business Bureau (BBB) warns that gloomy forecasts for the housing and financial markets means that increasingly more people could fall prey to mortgage foreclosure scams in the coming months and years.

“According to estimates, as many as 1.7 million homeowners could lose their houses to foreclosure in the next couple of years,” said Steve Cox, spokesperson for the Better Business Bureau. “These people will be in the desperate position of trying to save their homes, and they’ll look for someone to trust. Unfortunately, con artists are seeing their chance to step in and make a fast buck off of troubled homeowners from Palm Springs to Pittsburgh.”

In recent months, the BBB has heard from victims of foreclosure rescue schemes in almost all 50 states. Not surprisingly, states with the highest foreclosure rates — such as Georgia, Colorado and Ohio — have an exceptionally high number of complaints for companies offering foreclosure rescue.

BBBs nationwide have received hundreds of complaints from homeowners who enlisted the help of unscrupulous mortgage foreclosure rescue companies, and they all tell a similar story.

Typically, homeowners report that they were either contacted directly by a mortgage foreclosure rescue company or came across a Web site while searching for help to stop foreclosure on their homes. The companies claimed they would renegotiate the terms of their mortgages and stop foreclosure actions, or the homeowners would get their money back. Victims, who were desperate to keep their homes, paid as much as $1,300. In the end, the companies did very little work or often nothing at all. Most victims not only lost their homes but also have not been able to get the promised refunds.

“BBBs across the nation are hearing the same story from victims over and over again,” added Cox. “Desperate homeowners are duped into a false sense of security by crooked companies and think their prayers have been answered and their homes will be saved. Unfortunately, many people are losing a lot of money and their houses through untrustworthy foreclosure
rescue operations.”

The BBB offers the following advice for homeowners facing mortgage foreclosure:

• Contact your BBB or go to www.us.bbb.org to request a free Reliability Report before paying any “rescue” company. You can also check with your state Attorney General and state Real Estate Commission.
• Beware of the personal approach. Some less-than-ethical businesses will stuff a handwritten note in your front door or mailbox that implies that “help” is available from someone who has your best interests in mind.
• Talk to your lender. The first thing you should do is talk to your mortgage company about how to restructure your loan payment or refinance.
• Never sign a contract under pressure, and never sign away ownership of your property. Ask a trusted family member, your attorney or a financial professional to review any paperwork you may be asked to sign.
• If you feel you have been taken advantage of by an unethical mortgage foreclosure “rescue” company, file a complaint with your BBB at www.us.bbb.org.

For more trustworthy advice and tips for troubled homeowners, go to www.us.bbb.org.

© 2008 by the Council of Better Business Bureaus, Inc. Arlington, VA
Used by permission. The name Better Business Bureau is a registered service mark of the Council of Better Business Bureaus, Inc.