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HOW TO ESTABLISH A NEW CREDIT FILE

Disclaimer

There are several ways to higher credit scores. We all know the traditional ways, but we shall still review those, just to cover the basics. By continuing to read this E-book you affirm that you have read the disclaimer and will not use the information in this booklet to commit any accounts of fraud. The purpose of this book does not serve to encourage but only to inform, and we will not be held liable for illegal use of this information.

Table of Contents.

Traditional Credit Building Methods..5 How to Obtain an EIN/TIN (AKA) CPN Number..8 Validating Your TIN/EIN#...........................................................................11 Credit Bureaus...13

Links..14

Introduction:

You are not alone in your journey of building better credit. Many people are suffering from bad credit. Its almost a shame that in this life, in this time we are all considered nothing but numbers. If you have high numbers, the red carpets are rolled out for you, if you have low numbers, well you can almost forget about the finer things in life. Its so sad that it is like this. You're not the first person to decide to put food on the table or keep the electricity on rather than paying a credit card bill. All people protect their family and their loved ones first, and then pay their creditors last. Even the collection agents, bankers and brokers, would certainly protect themselves first if faced with the same choice. Remember one very important thing: Credit bureaus have no legal authority; they are not apart of the government. They are simply private companies who are in the business of selling credit information.

Traditional Credit Building Methods Please do not bypass this section as it is very essential to credit maintenance. Great credit comes with time, and once you have established wonderful credit, credit maintenance is a continually process. First, in order to build good credit you have to obtain credit. There are other sections in this e-book that will direct you with links or credits sources to establish and build your credit. Also, there are links and information that will direct you to wonderful sources to go to get loans, even for BAD Credit, and also some of the dos and donts when looking. Tips when using your credit: 1. Never charge anymore than you can afford- if you know that you cant afford it, pay cash, or borrow. Do not put yourself into a future bind; because once you make it a habit to only borrow what you can pay back, lenders will be able to look at you as a responsible candidate for credit.

2. You do not need more than two credit Cards. (In fact, the ideal candidate will have 2 revolving accounts, 2 installments accounts and 1 mortgage account) 3. Only use 30 percent of the credit that is available if you have a revolving account. 4. When you can, always pay more than the minimum amount due. It is not enough to simply make timely payments when you can pay in full. 5. Never use your credit cards for all purchases- these can lead to many bad habits. 6. Do not close a credit card account, even if the account balance is ZERO. 7. If you cannot afford to make a payment, its okay, things happen, but remember that communication is the KEY. Let your creditors know what your situations are. Even if the item has been moved to collections, let your creditors know. 8. Remember that collections are only a last attempt to collect a debt, which means, when you call them, negotiate with them. Do not give into them, especially if they have already placed the item on your credit. Try to negotiate the balance to half.

9. Know credit language- DO YOU DELETE. When you are placed in collections, ask the creditor this question, you are now talking creditors language. Some do delete, and some charge for deletions. 10. When given a line of credit or loan, negotiate your interest rates. 11. Also when choosing a Credit Card Company and or creditors make sure you do your research. This is a very imperative step that is often over looked. I can not express this enough. NOT ALL CREDITORS ARE GOOD. Some companies are completely heartless, if you forget payment, they will try and stick it to you. Companies such as Dell and First Premier Bank; please do not be late with them. Dell interest rates are through the roof, if you do apply with them (which are not my recommendations,) make sure that you pay more than twice the minimum amount due, or your will wind up owing them more than what you originally borrowed. (You can tell I am speaking from my own experience.) 12. You can stop creditors from calling you: The Fair Debt Collection Practices Act contains an empowering tool for the consumer. By law, a collection agency must stop contacting you after they receive a letter telling them to. Make sure that you put Fair Debt Collection Practices Act in your letter. These are very powerful words as you will later see.

How to Obtain an EIN/TIN (AKA) CPN Number: First you must understand that the Government and Credit Bureaus have nothing to do with each other. The sole purpose of your social security number is for tax and social security use. Title 5, Section 7 of Pub.L. 93-579 of Government Organization and Employees act reads: (a) (1) It shall be unlawful for any Federal, State or local government agency to deny to any individual any right, benefit, or privilege provided by law because of such individual's refusal to disclose his social security account number. What does this mean to you? You are under no obligation to disclose your social security number. You have a right to refuse to give it to any persons requesting for it. Why do organizations insists on this information, because you give them this power. In fact, turn over your Social Security Card and I guarantee that you will find the following: Some private organizations use Social Security numbers for record keeping purposes. Such use is neither required nor prohibited by Federal Law. The use of a person's social security number by such an organization is

for its own records are purely a private matter between the organization and the person." "Any Federal, State, or local government agency that asks for your number must tell you whether giving it is mandatory or voluntary, tell you it's authority for the requesting the number, and tell you how the number will be used. How to create a new Identification? Many people do this, from entertainment artists to government officials. It is not illegal to create a new ID number, but is illegal if you are using it to commit fraud. Do not obtain more than one; otherwise it would be viewed as fraudulent. Instead of SS #, the IRS can issue you a 9 digit Taxpayer Identification Number or a 9 digit Employer Identification Number which can be used legally instead of a SS#. TIN/EIN numbers have the same number of digits (nine digits). Each set of nine numbers is unique, which means, just as your Social Security number belongs to you, these numbers can also function as a set of your private finger prints. IMPORTANT: When you use a TIN/EIN number in place of your social security number, you must write TIN or EIN after the number. These numbers look like this: 12-345999. Social Security numbers look like this:

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123-45-7689. Please remember that these numbers just as Social Security numbers are issued once in a lifetime. How do you obtain a new identification number? The following are steps that should be taken before applying for a new number.

1) A second or new residence address/mailing address 2) A phone number obtained from an answering service that provides voicemail Steps need to be taken AFTER applying for TIN/EIN #: 3) Change the address on your drivers license to your new address. 4) Have your SSN# taken off your license. Request another number or ask to use your new TIN/EIN# 5) Open a bank account within the area of your new mailing address There are several ways in obtaining a new number and we will discuss a few of them. Creating your number: 1. First you need to find which number is not in use. Go to www.ssnvalidator.com Type in the numbers 295-69-****, make up the last four digits. Repeat this until it says that this number has no record 2. Go to: https://sa2.www4.irs.gov/modiein/individual/index.jsp

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3. Click on the Start Application. 4. Select Sole Proprietor 5. Choose Banking Purpose 6. Fill in your Name, and real Social Security Number 7. Now here is where you get creative. After clicking continue, you enter an address that you have no ties to. Do not put an address that is showing or affiliated with your current credit reports. (No P.O Boxes) 8. The rest of the application is self explanatory; just remember you click at the end to receive the information online. Or: Get an SS-4 form to apply for a TIN/EIN#. To get an SS-4 form you can either stop by your local IRS office or call 800- 829-3676 and request an SS-4 form to be sent to you, and fill it out accordingly.

Validating Your TIN/EIN# At this point, you have no credit on your number, and you must start from scratch. Further on you will learn more credit building secrets. At this point you must validate the number. The best way is to apply for a loan, go

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online and apply for an auto loan. You will be declined, but your credit will be accessed by all of the Credit Bureaus. Others ways include mailing a letter to the credit bureaus requesting for a copy of the file to be mailed to you. The other way is to go to the credit bureau to get your file. If you write to the credit bureau requesting a copy of your credit report remember to use the name and personal information that you used to create your new credit file with. When the agency receives the request they will enter it into the system. They might send you something back saying that the credit was not located. Dont let this bother you, congratulations, you have credit a file. Another way: when you obtain a valid temporary driver's license or Id slip that they give you until the picture Id comes; go to the credit agency and request your credit file. Once you fill the application with the new information, they will go to their computer pulling your credit, thus creating a new credit file. Another way: go to a jewelry dealer that reports to all three Credit bureaus. Apply for an inexpensive piece of jewelry, and fill out the credit application. Then they will go to their credit bureau's computer terminal in their office and run a credit check. They will place your name and personal

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information into the system in order to pull your file; by doing this they are in fact creating a new credit file

Credit Bureaus 1. Equifax P.O. Box 740241 Atlanta, GA 30374- 0241 1-800-525-6285; www.equifax.com

2. 1. Experian: P.O. Box 9532 Allen, TX 75013 1-888-EXPERIAN (397-3742); www.experian.com

3. TransUnion Fraud Victim Assistance Division P.O. Box 6790 Fullerton, CA 92834-6790 1-800-680-7289; www.transunion.com

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Valuable Links: 1. www.Addpositvecredit.com 2. www.Truecredit.com 3. www.bbb.com 4. www.ftc.gov 5. www.ftc.gov/ftc/consumer.htm 6. www.ripoffreports.com 7. http://www.credit-wizard.com Looking For Loans with Bad Credit: 1. www.prosper.com 2. www.Citifinanical.com 3. http://www.nationalcreditandloans.com/z/fr_agf.htm 4. https://www.wellsfargo.com/credit_cards/education/establish New Credit Lenders: 1.https://www.hsbcapply.com/start/orchardbank?media=O1AG029AA_200804 31-093e642844125f2d7b32

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2.https://www.cfcapply.com/classic1mc/index.php?hid=h74612556h&aid=4092 9&pid=340&src=s202 3. www.CitiCards.com (Perfect for College Students)