ExperianBoost and UltraFico are two new programs that take things outside of your credit report into account when calculating a credit score. Maybe you’re great with managing your deposit and savings accounts, for example – you don’t bounce checks and wish that could be taken into account when calculating your credit rating. UltraFico allows you to do just that.
UltraFico can even allow you to be approved for loans you otherwise might not be approved for if the lender works with UltraFico.
ExperianBoost, on the other hand, will look at things like phone bills and other utility payments. If you paid these on time, you can use them through ExperianBoost to boost your credit score.
FICO and Experian have claimed that this service is ideal for people who have credit ratings in the 500s or 600s.
Overall, ExperianBoost or UltraFico will only give you a small boost – while any kind of boost is a good thing when you’re trying to recover from a poor credit rating, the other factors in this post are more important.
Check Your Credit Report for Errors
You can (and should) request your credit report for free once a year through AnnualCreditReport.com. Reviewing your credit report is important not only to find out what’s positively and negatively affecting your credit score but also to check for errors. Errors can happen and, when they do, can unfairly lower your credit score.
For example, the credit bureau could confuse you for someone else with a similar name, or report accounts that have been closed as open. Perhaps they will even underestimate your credit limit.
Fortunately, the Fair Credit Reporting Act requires credit bureaus like Experian, Equifax, and TransUnion to correct erroneous information.
To ensure errors in your credit report are corrected, you’ll need to write a letter mentioning your dispute, explaining why the information in the credit report is incorrect, and attach corroborating evidence. You can also do this online at Experian, Equifax, and TransUnion.
You should also send a letter to the furnisher (i.e., the company that reported the misinformation to the credit bureau) with the same information.
Wait up to 45 days for either the credit bureau or the furnisher to respond. If your request is rejected, you may need to include more supporting evidence.