Author: Philip Tirone

A Dirty Reputation, by 720 Credit Score

Posted on October 20, 2021 by - CREDIT BLOG

Listen to the interview here:

This blog post is about something near and dear to my heart…
Sales.
No, that’s not a joke. See, sales has a dirty reputation—our culture says it is a bad thing.
But the truth is that a salesperson should give the buyer something he or she really needs—and that’s a good thing.
Plus, what most people don’t realize is that even if they aren’t in a sales position, they are still in sales.
If you ever apply for a loan, you will need to sell yourself to the loan officer. If you ever apply for a job, you will need to sell your talents to the employer.
If you ever want to woo a significant other, you have to highlight your positive qualities.
So I’m a big fan of improving the sales process.
This is why I interviewed my friend Eric Lofholm, a master sales trainer (in fact, he once trained Tony Robbins’ people).
If your job is sales-related (real-estate, insurance, pharmaceutical, service-providers, etc.), you must listen to this recording and learn how you can tweak three systems to massively improve your results.
The recording is at the end of this blog post.
And remember … even if you aren’t in the sales business, you are in sales, so I encourage everyone to listen to this recording below!
Philip Tirone
P.S. Ever wanted to be a better communicator? Master sellers learn excellent communication skills, so be sure you listen to this recording if you want to improve your relationship with your spouse, friends, or family members.

Listen to the interview here:

To learn more about Eric’s Selling System, click here for more information.
To purchase Eric’s system at a special discounted price for all of my followers, click here to purchase.

Your Bank’s Big Lie About How Credit Scores Affect You

Posted on October 17, 2021 by - CREDIT BLOG, CREDIT SCORING

I recently conducted a private class for the parishioners of a church about how credit scores affect you. After the class ended, one of the participants, Lori P., sent an email that shows how banks lie to their customers.
‘I am involved in an entrepreneurial program that helps people become business and home-loan ready, as well as get them ready for business start-up. Four of us in the program had attended a meeting with a founder of a minority bank here in Los Angeles that explained to us how to become loan-ready for his bank. He mentioned that all we needed was a 630 credit score along with other criteria.

‘I thought, “Wow, only 630? That seems easy.”

‘Then when I listened to your program, it made sense why we only needed a 630: It would be money in the bank’s pocket.
-Lori P.”

I was livid when I received this email. Lori is helping people from her community take control of their financial future, and the banker is thrilled to charge them higher fees because of a lower credit score. How are hardworking Americans ever supposed to get back on their feet when their banks are ripping them off?
And this happens all of the time. Every single day—every single hour and probably every single minute—a banker neglects to tell a customer about the easy steps people can take to fix a bad credit score.
Instead of telling the truth about how credit scores affect you, banks across the country are letting their customers pay an arm and a leg in interest rates.
For instance, the banker Lori met with isn’t telling her that the difference between a 630 credit score and a 720 credit score is $63,720 over the course of a 30-year loan on a $216,000 mortgage.
The bank is deceiving its customers to the tune of $63,720!
I wrote 7 Steps to a 720 Credit Score because I wanted to help my mortgage clients learn how to build credit and lower their interest payments. Then I decided I wanted to spread the word about how credit scores affect you. I went to bank after bank, telling them I would give them access to my book so that their clients could how to raise their credit scores and negotiate lower interest rates.
Guess how many banks signed up.
Not one. Why would they do the right thing when they could pocket $63,720?
This is so typical of what happens every day.  While the “little guy” struggles to get his head above water, the government is busy bailing out big business because they are “too big to fail.” And these very same businesses turn around and lie to their customers. This is flat-out unfair and wrong.
Learn how credit scores affect you, and stop the banks from stealing more of your hard-earned money. Download The 35 Things Your Bank Doesn’t Want You to Know About Credit.

Lily Tirone (my wife), told me something, by 720 Credit Score

Posted on October 12, 2021 by - CREDIT BLOG

My wife, Lily Tirone, and I just welcomed Baby #4 into the world (read about it here: “Thank You, Mrs. Lily Tirone”).
Little Emma is about six weeks old.
Suffice it to say, we aren’t getting a ton of sleep in my household.
The other morning, I was mulling over the fact that sleep-deprivation is used as a torture device when Lily reminded me of something …
I’m not really going to remember this.
So much life has happened between now and when my other kids were born, that those first few months are a fog. I look at my older kids, and I just remember the good stuff.
This reminder helps me make it through the tough times. Some much life is going to happen between now and six months from now. I can do it. I can wake up for all those midnight feedings.
… and 2:30 a.m. feedings.
… and 5:00 a.m. feedings.
In fact, not only can I do it, but it won’t even be important in six months. I’ll barely remember what it was like. So I can do it.
And so can you. If you are in a financial mess, it might seem unbearable—at times even torturous.
But if you do what you are supposed to do—take the tough steps now—you will work your way out of the mess. And so much living will happen that eventually … it won’t seem to bad.
You know what you have to do: Start rebuilding your credit. Cut wayyyy back on your expenses—downsize if you have to. And if it’s really, really bad, maybe you even need to declare bankruptcy and give yourself a fresh start.
Whatever it is, take that step now. You can do it!
That Lily Tirone is a smart cookie, isn’t she? If you want to comment on her wisdom, leave a message below.
Philip Tirone

Divorce and Credit … Read this NOW!

Posted on October 10, 2021 by - CREDIT BLOG

The other week, I got an email that made me cringe.
The email was from a man had just been through a divorce. He explained that he lost 94 percent of everything when he and his wife divorced.
“She got the properties, and I got the mortgages.”
Per the terms of their divorce decree, his monthly spousal support check was to include the cost of the mortgages.
When I read that, I just knew what he was going to say next, and that’s when I cringed…
His ex-wife was cashing the checks, but she wasn’t paying the mortgages on time… the very same mortgages in his name.

This Happens All the Time
This situation is common, so if you ever go through a divorce, make sure you protect your credit.
In short, here’s my advice:
1. Refinance the mortgage in your ex’s name only. In the case of the man who emailed me, he should keep paying spousal support. If his ex fails to pay the mortgage, she will be the only one who suffers. He cannot do anything about the past, but in the future, refinancing in her name will protect his credit.
2. If she cannot qualify for a refinance, he should renegotiate the terms of his spousal support so that he pays the mortgage directly, sending his ex a spousal support check for the remainder.
Click here to read a longer article about divorce and credit.

How to Fix a Bad Credit Score the Easy Way

Posted on October 6, 2021 by - CREDIT BLOG, CREDIT SCORING

People who have fallen onto tough financial times always want to know how to fix a bad credit score. In their attempt to learn how to build credit, they will spend thousands of dollars on credit repair services that promise to wipe their credit reports clean of all errors. Some people even try to create a new credit identity, as if they can sweep past errors under the rug.
The big secret, though, is that most of these services do not work. At best, these credit “repair” services will only temporarily suppress credit problems by using illegal methods to briefly suspend errors from your report—errors that will resurface only after the company has walked away with your dollars. At worst, they will expose you to lawsuits by using illegal methods of attempting to remove delinquent information from your credit report.
The good news is that there are tons of ways to fix your credit score that are both effective and legal.  If you want to learn how to fix a bad credit score, keep these two components in mind:
How to Fix a Bad Credit Score, Rule #1: Be strategic.
As you can tell, I am not a fan of credit repair strategies that purport to increase your credit score by surreptitious methods. However, there are legal and effective strategies you can use to raise your credit score fast:
1. Build your credit score fast by adding yourself as an authorized user to a family member’s credit card, so long as it is in good standing.
2. One of the fastest ways to build credit is to transfer your credit card balances to your spouse.
How to Fix a Bad Credit Score, Rule #2: Focus on current behavior.
Think of it from the credit bureaus’ perspective. Wouldn’t you be much more impressed with someone who positively changed his behavior than someone who tried to weasel out of past mistakes? Instead of arguing with the credit-scoring bureaus about all of your late payments, try taking a few simple but effective ways to let the credit-scoring bureaus know you have changed your habits.
This strategy works because credit-scoring bureaus place more weight on current behavior than on past behavior. If you made a mess of your credit score two years ago, the credit-scoring bureaus will pay less attention to this if you are making smart decisions today. This means that you should:

  • Pay your bills on time.
  • Keep your credit card balances as low as you can – preferably below 30 percent.
  • Keep three to five credit cards active. Use them at least once a month, but pay your balances as much as possible each month.
  • Open new lines of credit after a financial disaster, like bankruptcy or foreclosure. The credit-scoring bureaus need proof that you can manage several lines of credit. If you wipe your hands of credit, they will not have this proof, and your credit score will not increase. Your bad credit score will increase if you have between three and five credit cards, as well as an installment loan, all in good standing. Bear in mind that your credit score will initially drop upon opening a new line of credit. But after six months of timely payments, it will begin to increase.

So here’s the big secret: If you want to know how to fix a bad credit score, don’t turn to credit repair companies that make promises that seem too good to be true. Repairing a credit score is simple, but it cannot be achieved with the wave of a wand.

Credit Score = Your Financial Reputation, How Much Are You Losing?

Posted on October 6, 2021 by - CREDIT BLOG

Whenever I was in basic training, each recruit, each private was assigned their own roster number. That roster number was our identifier. We had to put it on all our gear. I had to have it strapped across a tape on my Kevlar, which is our helmet. It dictated as far as when we would eat chow and what order we would fall in. It also would designate when we would draw our weapon from the arms room when we had to go to the different ranges. Our roster number was our second name. First name was Private, and the second name was our roster number. Every time you heard your roster number yelled by a drill sergeant or a captain, you always knew either you were called to do something, or you got caught doing something you shouldn’t have been doing.

Do you have a gripe? by 720 Credit Score

Posted on October 5, 2021 by - CREDIT BLOG

A few weeks ago, I wrote a blog about the importance of family meetings in building a strong family unit.
One of my readers posted a blog about how her family used the family meetings to resolve problems.
It’s a wonderful idea, and I wanted to pass it along because I think a family can use this to resolve internal conflicts (like a fight between siblings), as well as external problems (like a bill that needs to be paid).
A lot of siblings never develop close bonds with each other, so even as adults, they aren’t very close. Some even carry their rivalry into adulthood.
It seems to me that if a family member presents a problem, and then the rest of the family works together to come up with a solution that works for everyone, each member of the family will feel honored, respected, and a valuable member of the family.
And then, the family will work together to execute a solution as a team, making the family grow closer together.
My kids are still young, so I am ironing out the kinks, but here are some of my thoughts on how families can solve problems together and build an atmosphere where family members work together:

  • When a family member presents a problem, make sure that each person in the family has a chance to add to the context.

Explain that the family meeting isn’t a time for fighting, but rather to state the problem as everyone sees it.

  • Then, explain that because you are a family, it is important that you find a solution together. Explain that the family is not going to focus on the problem; instead, it is going to come up with a way to make the problem go away.

Tell your kids that you all love each other and want to get along, and that resolving conflict by looking for solutions together is an important part of this.

  • Then let everyone brainstorm for solutions.

Write everything down, and don’t criticize people’s ideas, even if they are absurd. After all, your children need to know that you respect their opinions.

  • Then, ask the family members to discuss the solutions that seem the most fair.
  • Then talk it out, and try to come up with a solution that works for everyone.

Like I said, I think this works for internal conflicts as well as external problems. If Suzy is mad at her brother because he didn’t help with the chores, this can be resolved during family meetings.
And if Suzy really want to go to soccer camp but she doesn’t have the money, this is a great time to problem-solve and teach your children about goals, savings, and “opportunity costs.”
Suzy might say, “I want to go to soccer camp, but I need $500 and I don’t have it.”
Then the family can throw out solutions.
“You can start saving your allowance. That will get you a little bit of money.”
“You could sell your bike.”
“How about a part-time job?”
“Could we look for a cheaper soccer camp? If so, maybe Mom and Dad could pay for your soccer camp as an early birthday present.”
I love this idea because it reinforces the idea that a family is a unit—a team that supports each other, cheers each other on, and looks for solutions together. (Thanks to my reader, Andy, for the idea!)
What do you think? Let me know if you have any other ideas, particularly if they have to do with solving financial problems.
Philip Tirone

The best way to pay off credit cards, by 720 Credit Score

Posted on October 4, 2021 by - CREDIT BLOG

A few weeks ago, I told you about my friend with $68,000 in credit card debt. For most of it, that feeling of being in debt is crippling. We feel like our lives are out-of-control—like all the balls could drop at once.
So I reminded you to be strategic, to push the emotions out of the way and really examine the opportunities. Well, one of my readers asked me about a specific strategy for paying off credit card debt.  Roger, thanks for taking my advice and running with it. I’m thrilled to help you find a strategy.
A lot of people are confused about paying down credit cards because there is so much contradictory advice out there. And the conversation can be even more complicated because sometimes your short-term financial interests are at odds with your long-term goals regarding your credit score.
For instance, if you consider your financial interests only, the smart move is paying offer the credit cards with the highest interest rate first because this one will cost you the most money. But from a credit-scoring perspective, you should pay off cards with the highest balance first (and/or transfer high balances to cards with lower balances) because the closer you get to a 30 percent utilization rate, the better.
So Roger, here’s my answer:

  1. Figure out when you are next going to need to rely on a high credit score. Are you buying a car soon? A house? Getting a new job? If so, protect your credit score by first getting all your balances below 30 percent of the limit. Once this goal is accomplished, start paying the card with the highest interest rate.
  2. If you are several years away from needing a high credit score, but you have that out-of-control feeling and want to get your finances in order, then you might need to sacrifice your credit score by transferring as much debt from cards with high interest rates to cards with lower interest rates, even if this means exceeding a 30 percent utilization rate rule—by a lot.

I know that what I just said might be controversial, especially coming from a credit expert, but the truth is that sometimes you have to sacrifice your credit score to make your life work. A credit score by itself is totally meaningless. It’s how you use it to enhance your life. And sometimes letting it take a nosedive is the best thing for your life. (In fact, even though it’s terrible for your credit score, I’m a proponent of bankruptcy sometimes because I think it can make people’s lives a heck of a lot easier.)
The good thing about the world of credit-scoring is that if you know what you are doing, it won’t take all that long to rebuild your credit score, so even if you do sacrifice your score, you can take the right corrective steps to see your score transform in a year or two.
I hope this helps Roger, and everyone else, too.
Philip Tirone
P.S. I’m sure this sparks some questions, so be sure to comment below. Depending on my schedule, I don’t always answer every question, but as you can see, I do read each comment!

The important part of improving your score fast, by 720 Credit Score

Posted on October 4, 2021 by - Bankruptcy, CREDIT BLOG, Credit Score, CREDIT SCORING

If I had to choose one thing as the most important aspect for raising your score after a financial meltdown, it would be this: Apply for new credit.
The problem is: How can you qualify when your score is low?
We generally refer people to secured cards, but even then: If you are already having financial problems, how can you afford the deposit required by secured cards?
Fortunately, our researcher, Natalie, found a new card that accepts applications for people with a score as low as 580. It’s not a secured card, so you don’t have to put any money down to qualify.
If you don’t have three cards in your name and cannot afford secured cards, you should apply for this card right away. Don’t wait, even for a day since we don’t know how long the guarantee will last.
Of course, we’ve done the research, and we believe this is one of the best subprime cards out there. It isn’t one of the 46% of cards that will hurt your score, so as long as you keep your balance low and pay your bills on time, this card will help your score increase.
Click here to apply.

Your Identity Theft Stories….

Posted on October 4, 2021 by - CREDIT BLOG

Please post them here… so we can all learn from each other!
Include as much information as possible:
1) What happened?
2) How did you find out you were a victim?
3) What did you do?
4) How did it all work out?
5) Was your credit impacted?
Thank you.
– Philip Tirone