New changes are coming to your report; starting July 1, 2022.You may log into Credit karma or another credit reporting site and notice a jump in your credit score. Here’s why:
Medical Bills
- Paid medical debt that has been in collection(and you’ve finally settled/paid the debt) will no longer be on your reports. It will come off. This will be starting on July 1,2022.
- You’ll be given more time before new unpaid debt get reported( you’ll be given time to work out a payment plan. For years, I’ve paid $5 a month and no creditor has ever bothered me. Just pay something! Any unpaid medical debt, over 1 year can be reported.
- Starting in the first half of 2023, all 3 Bureaus: Transunion, Equifax, and Experian will no longer report on medical debt under $500. This mean any debt $500 and under will NEVER be reported. But this does not mean IGNORE your obligations. Set up a payment plan and knock out your debt.
Buy Now Pay Later
Buy Now and Pay Later will start reporting to your credit reports. I love options like After pay. I can order clothes and pay in installments. If you miss a payment(more than 30 days, it will hit your report as a LATE; knocking your score down at least 60-100 points. So make sure you have money to pay on time and cover the next due date.
Free weekly Credit Reports For All!
Free credit reports have been extended through the end of 2022. Websites like www.annualcreditreport.com will have weekly credit updates. Word of caution: These reports don’t provide a credit score but includes : financial activities, including payment history and balances for credit cards, mortgages, and car, personal, or student loans.
I hope some of these changes help you all in a positive way. Make sure to always communicate with creditors and work out payment plans. It will never be a good idea to neglect your obligations.
