GRAND RAPIDS, Mich. – Starting this week credit scores could be going up for millions of Americans. The three major credit reporting companies are now excluding all tax liens from credit reports and that could mean a lot of savings for some consumers.
On Monday Equifax, Experian and Transunion have removed all tax liens from credit reports. Data that could have been damaging scores.
The changes mean some credit scores could go up as much as 30 points. If you got a bump up, it may be a good time to refinance a loan or transfer credit cards for lower interest rates.
“Maybe you bought a home a couple years ago and you were a 630 and you’ve been working really hard to get it up to 660 and now with the new bump you are 710, the likelihood that you are going to get a much better rate is greatly increased.” Says Jaime Westenbarger, a Financial Advisor.
A good score is generally above 700 and anything over 760 is considered excellent. This is a good reminder that it pays to be aware of what’s in our credit.
“Maybe this is the opportunity to get over the hump from moderate credit score to good credit score and to keep doing the things necessary to keep it there.” Says Westenbarger.
The ‘Consumer Financial Protection Bureau’ found the problems with the credit reporting and recommended the changes to help consumers.