Maxed out credit Cards? Read this before calling Credit Associates, National Debt Relief and others first!



A blog for you to read with a solution FINALLY that i found for those of you smart enough to read this.


** let me start by of course pointing the standard disclaimer that these blogs are my opinion and my opinion only. I ALWAYS point out tell me your situation and I will tell you what I would do if I was in your specific situation given the knowledge I have accumulated over the last 14 years in the credit and finance industry.


Earlier in the year I saw a credit associates commercial one too many times and snapped. Being in the credit industry for almost a decade and a half it drove me nuts that they lie with literally the first sentence.

I called them twice acting like a possible customer to see what they tell people calling them for help and do they lie as much on the phone as they do in their commercials. As for all the details you can look back into my archive blogs in 2018.

I was bombarded with email responses….

Many were people who saw an ad about either the two companies above or many similar ones and read what my seasoned opinion was as PERSONALLY I do not care if you hired them or not I was pointing out what I did not like them doing as certain things they were saying were manipulating them and taking advantage of people who were in a tough spot for a variety of reasons and their whole point was there to help them not trick them into hiring them WITHOUT giving them the full story or what will happen OR not fully painting the exact picture of what they are doing.

PLUS I found out that most of these companies charge 20% of their services so if they get you a 50% discount its really 70% you’re paying which is only a 30% and you could do that yourself.

So there were basically 4 groups people were in that emailed or called me looking for help or calling for nonpartisan advice on their SPECIFIC situation.

NOTE: I have classified everyone into 4 groups that everyone should fit into to help you put together what I need to best direct you below and at the end of this blog.


Group 1:

ALL or most credit cards are maxed out, they are only able to pay the minimum and the statements show it will take 15-30+ years to pay off. The credit score is still above 660 + so it’s only the debt that is killing them and their credit score and they do not need credit repair

Some make very good income, others make good income.


Group 2:

Most or all credit cards are maxed out, the monthly bills coming up they are not able to pay them or pay a part of them or all of them (or very soon). The credit score is still above 660 + so it’s only the debt that is killing them and their credit score and do not need credit repair.

Some make good income or very good income.


Group 3:

Payments are at least over 30 days since paid, credit score has taken a major hit and unable to see any daylight to get out of this.

Income can be good but just too much month and the end of the money with all that credit card interest being paid. If late payments are the start of their problem then paying someone for credit repair is a waste of money.


Group 4:

Have not paid any of the credit cards from 4 months plus, Credit score is destroyed and just not sure what to do and exploring if debt settlement can help them. They definitely need credit repair but they also have several other immediate issues that need to be addressed that they are unaware of.

Income varies.


*** the one thing all groups have in common was they were smart enough to be hesitant when talking to these types of companies and realizing that they are making it seem like all their problems will go away once they are hired.


As with most people, If they could just get all of these bills consolidated into one payment and not get killed with the monthly interest they could get back on track (group 4 is excluded from this part).


The first thought by all groups is to get a debt consolidation loan. The problem is they are going to get declined. This was recently mentioned to me last week. The gentleman who I did find an avenue for ( will share in next blog “Debt Consolidation Loans” has a 740 credit score. He Is 95% maxed out on most if not all credit cards (I can’t remember exactly) and the bank told him no.

The reason: His credit cards are too maxed out…..




Isn’t that the darn (not word I wanted to use) point? To consolidate all the credit card debt into one loan.

It’s the typical B.S that we all know about the banks and the banking system, they want to lend money to the people who don’t need it and not the ones who need it and could make the most use of it.


Thus began my research into this oh so fun world to help those reading this find a path that’s best for them and not the sales persons company that they are talking to.

Below is a mini chart to help you classify possible options based on the way I grouped people and their situations.

My email is listed below so when you email me please include the answers to the questions needed to best direct you.

I do this because just like a thumb print every credit report is different and thus there is no clear cut if this is the problem then this is the solution as a full financial snapshot is needed to properly give you solid advice that can become a game plan/way out for your situation.

Group 1 info needed:

  • A breakdown of how many credit cards you have, total amount owed and minimum payment and the monthly finance charge.
  • Yearly income ( if 1099 then what is claimed to government)


Group 2 info needed:

  • A breakdown of how many credit cards you have, total amount owed and minimum payment and the monthly finance charge.
  • Yearly income ( if 1099 then what is claimed to government)
  • Do you own a home, if so what is owed and value.


  • As you can see group # 1 & 2 are similar just like groups 3 & 4 are very similar but there are differences based on other aspects of financial snapshot.


Group 3 info needed:

  • A breakdown of how many credit cards you have, total amount owed and minimum payment and the monthly finance charge.
  • Do you have any money saved in order to pay these if you had to (we know you do not want to but we have to ask).


Group 4 info needed:

  • What is total amount you owe and how many credit cards are there.
  • When was the last time you paid on them?
  • Have you been sued on any of them? (Listed on credit report as a judgment under public records).
  • If you had to do you have any money saved to pay/settle them IF you had to.



If you are in groups 1 or 2 I will be discussing what I will be posting about debt consolidation loans and the problems as to why the banks will not give you that loan so you will be able to get ahead start to see a light at the end of the tunnel.

The reason… I finally found a solution to benefit you

(And man it was not easy..)



* Want to learn more about how the credit system works?

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Wayne @ wayne the credit    (REMOVE ALL THE SPACES)



FCRA Section 609 “B.S” Letter

FCRA Section 609 “B.S” Letter

You may have heard about this letter using a specific part of the Fair Credit Reporting Act called “Section 609”.

Before I start let me state a few words on my thoughts on this section people try to sell letters on:

  • Scam
  • Bull &%$#
  • Lies
  • Deceptive

Every once in a while I get annoyed enough to roll up the sleeves and start ripping to shreds certain things like Credit Associates & National Debt Relief (Debt Settlement Companies) to name a few.

I do some research then tell everyone reading this what my experience was with it and that experience is now based on 14 years in the credit industry and in the trenches, looking at case law, seeing how credit bureaus response to consumer letters. Those 14 years and allowed me to review over 17,000 credit file and analyze them and diagnose them to see what can be done to put that file in a position to obtain future lenders from a variety of lenders, mortgages, car loan, credit cards etc.

So I was asked about the “magical” Section 609 FCRA letters floating around. Of course everywhere you look practically you have to buy them. I found a site that had a discussion on them and then they started quoting the sections of law which allowed me to look into it.

There were people swearing by the letters and others saying it didn’t work. Of course the ones who swore by them didn’t give any specifics on the account which is the most important part of the story.

They quoted 609(a)(1)9a) to start and one idiot actually said they “vaguely refer to the credit bureaus having to have copies of original contract signed for proof”.


People, NO WHERE does it even closely say that let alone refer to that……. I really think that the rumor gets spread, some people post a cheap web site and then sell the letters for $10.00 or so and the get a check in the mail.

A little more research as I read the section before writing this and there was some more B.S from a guy back in 1999 that quoted a different section of Section 609 (c)(2)(E) so I read that and AGAIN……. L I E S !!!

What I love when reading this was it talks about how the guy has copyrighted his letters, while I’m not a lawyer I’m pretty sure you can’t copyright sections of a law that consumers could use. BUT I could be wrong…. But doubt it.

Now this is what I know and understand as I even saw a credit repair company write a blog about it and I’m convinced they are idiots as they talked about and then they discussed “Debt Validation”… that will be the next blog about that which drives me nots so stay tuned!

So these knuckleheads say:

Section (609) of the Fair Credit Reporting Act is a Consumers Disclosure section which is to provide for the protection of consumers against false and erroneous reporting. This section of the FCRA places the burden upon the Credit Bureaus and the Creditor to prove an account is yours. To positively prove an account is yours, the creditor must provide the Credit Bureau a copy of the original creditor’s documentation (whatever you filled out and signed upon opening the account with the reporting creditor)”.

This is literally word for word that I found on several site touting the magic of the 609 letters.

The scary part is people hire bozos like this to help them trusting they have a clue about what they are doing. Further looking at their site they only sell letters to consumer for Do it yourself so “selling” the magic bullet is good for their business.

Totally unethical and they should go to hell because while I don’t know what they are charging the false hope they are dangling is just not cool.

Just reading more of this gets my blood boiling, the term creating a mountain out of a mole hill comes to mind when I read some of the “things” they claim.

I truly think they embellish on things then have some people (companies actually do this) post positive responses which gets you hooked and then say what the heck its only $10.00 (a money example)

Section 609 is rather an easy read and while there is a little bit of legal language in it it’s fairly cut and dry so a consumer with little knowledge should be able to understand majority of it.

UNDERSTAND the credit bureaus are like file cabinets of information on you, you have your folder and all the sub sections within it on all different accounts and the information on those accounts.

The credit bureaus sell our information and we willingly give (most of the time) to lenders in exchange of credit of some sort. They only report what is provided to them that we allow in our lender contracts

It is an automated system which has tons of problems and the law (FCRA) like all laws had to be sponsored and someone had to pay for that and you know a consumer group did not pay for that.

Folks, I understand that when your credit is bad you are looking for that “magic pill” to make all the problems go away…. It doesn’t exist, sorry it just doesn’t.

That is why one of the things I always promise before speaking to someone is I’m going to tell you the truth whether you like the answer or not.

It doesn’t mean I can’t help but you need to be aware of what the situation is and not let someone prey upon you to take your money and make it seem like once you pay them all the problems go away, it doesn’t work like that.

Designing a specific plan for your specific issues can always be done it then becomes a timeline issue for you.

I hope I stopped some of you reading this or thinking of spending your money but more importantly your hope and emotions on a joke of a claim of hope, and a mini news flash for the crazies who maybe tried it and got some things deleted.

Did you ever think that maybe the reporting company didn’t respond to the credit bureaus in the allotted time or cared to respond for company internal reasons and that why the accounts were deleted or it fell past the statute of limitations??

That’s it for this posting, hope it sheds some light on some things and feel free to google the FCRA and read section 609 for yourself, you will then see that all the claims they make are not remotely mentioned in the sections they claim. you cant even create an argument that they do, at least not without a straight face.



*** Want to learn more about how the credit system works? Buy my book for easy to understand concepts of how credit works and how lenders look at you at you.

Contact me at wayne @ wayne the credit

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Too much Month at the End of the Money

Too much Month at the End of the Money

This week’s educational blog covers two areas, one is about the recent horrible natural disaster known as Hurricane Harvey (and now IRAA), the other while a part of it talks about what happens when there is too much month at the end of the money.

While I will not go into over the top great detail on both and may at a later date what is needed now is an overview and solid understanding of what has happened what can happen and hopefully how to get you to start doing something now to prepare.

In 95 % of the American population this is a typical issue. Studies have shown that almost 80% of families are one paycheck away from considering bankruptcy and that is a scary thought.

With the natural disaster of Hurricane Harvey looming over America’s heads as well as for the victims going through it as we speak and will continue to go through it for at least the next year trying to recover just like from Katrina.

Now is a time to stop and think, how many of those people in Houston and the surrounding cities & most of the State of Florida were paycheck to paycheck? And now throw this into the mix, imagine what they are going though and what future problems they have in front of them, especially with their credit and finances? And for most that is the LEAST of their problems but will soon become the biggest issues.

I remember seeing the results from the hurricane Katrina problems, what did these lenders (car, credit card & mortgage) do to help?
NOTHING of course, they continued to post late payments and all they did to “help” was post in the comments section “Affected by natural disaster”.

It talks about how you “MAY” be able to arrange for deferred payments. MAY?? Really, how about you CAN.

Now to understand what a deferred payment is as many people I have spoken to do not know what it is. It typically applies to finance only NOT leases. Think of deferred payments as skipping a few (depending on what lender tells you) and put it on the back end. But watch out for additional penalties.

You typically have to do that immediately and with what’s going on people have more important things to be concerned about. As once your behind then you have to “catch up “in order to qualify for a deferment. But with what’s going on now in 2 major states, eating is a tad more important and seeing if your house is still there.

Now… I could be wrong and lenders may have adjusted the way they handle these natural disaster issues but I doubt it as they are good at paying for commercials stating they care but it’s all about the dollar.
Now the link below from Experian’s site explains how these codes “help” But if you read it it’s just like the credit bureaus to have many loop holes in these “explanations”.

And remember the credit bureaus can only suggest the lender do that as it’s ultimately the lender that has to report it.

After all this let’s talk about the reality of the world you are living in and its relationship to credit scores, your personal credit file and your funds.
Just recently I have had several high net worth clients hire me and the way out brain works is if you make 400k a year (individually or as a couple) you create a lifestyle that supports that income.

And that’s when we call life for what it is, and you all know the saying about how “things” happen.

Once couple took over 180k from their 401k to pay for credit card debt (within 2 years’ time) and such and while I hope the best for them like I do will all clients my concern is the reality of how they don’t seem concerned with having a budget has hit them yet.

Many reading this most likely do not make that kind of money. And quite possibly live paycheck to paycheck or a little ahead of that number.

When you get tight on money you typically look for a loan to get you by.
NOW, one of the worst things I will say are Payday Loans… BUT I will explain both sides after you read this next part.

Had a client send us the paper work received from lender show a $700 loan with a 640% interest rate!!!

No, I did not mistype that…. State’s do not regulate or cap out the interested allowed by payday loans like they do car loans (24% in TX).

Now how can someone bring themselves to agree to that you ask, typically desperation and not knowing if there may be another way.
No one wants to sit down and create a budget or cut or limit what they can or cannot do, but ask yourself after watching the news… what if that happened to me?

So other than the standard check out other phone companies like metro pcs to cut a possible $150 monthly bill to $100 and start saving that for a year but did you know:
There are things called focus groups where you can get paid anywhere from $50-$125 for your opinion? That’s right; companies if you’re in the demographic they are looking for will pay you.

Try checking out to start to start, there are many other companies like these so you could alone make $200 or more monthly.

Go to google and also put in your local city to see what’s available.
How about doing good and getting paid? Donate blood or plasma monthly and that could pay an extra $50 a month and have ability to possibly save a life?

Now imagine cutting your phone bill down by switching carriers (ONLY IF YOU ARE NOT UNDER CONTRACT), participating in focus groups twice a month and donating lifesaving plasma and do that for one year and put money into a savings account.That could add up to over $3,600 in one year. That’s just one way to save a little extra for a future budget in case disaster strikes.

If you can just start that and then commit for one year you will mentally get yourself to a place where you look at somethings and say I don’t need it but do I want it really or just want it on an impulse.

That’s it for this week’s blog, remember when it comes to credit and your credit score paying bills on time is all it takes but as life happens on in this week’s blog when mother nature happens you need to know the ramifications of what it will do to that perfect credit score.

In the 12 years of doing this and being in the trenches of the credit industry there are so many other things that are linked to your credit when you are trying to get things that without a good credit repair person to help you and guide you are obstacles to make sure you are doing what’s best for YOU!

You would be surprised how what seems logical may not be the best thing for you.

Want to learn more about the credit system? Email me about getting my book as currently having an issue with the website page.

Talk with you all soon!

My credit cards are paid off so that’s not a problem… or is it?

My credit cards are paid off so that’s not a problem… or is it?

My credit cards are paid off so that’s not a problem… or is it?

As a credit expert I always get clients telling me exactly what their credit issues are. Now for a small portion of them who do not have many issues a portion of them are correct. After all if you’re currently a 680 credit score then you may only have one or two issues that are hurting you.

However many times there are many other factors affecting their score so I will always tell them what you look at is most likely not what I am going to be looking at.

This is a huge advantage when you have been doing this for over 12 years and have analyzed over 16,000 credit reports in that time frame. Dissecting them, analyzing how the underwriting process behind the scenes looks at them and approves or denies them.

All of this behind the scenes underwriting reviewing is all for your benefit to help you achieve your goals for you and your family.

Many times I have clients that have made recent late payments on their credit cards or car loans, mortgage etc.. (basically recent late payments).
And then if it was a credit card for example which majority of the time it is, they tell me I don’t have to worry about it as its been paid off so it’s no longer a problem.

This is where the education portion of my program begins and I start explaining to them it does not matter that the car is paid off and it is a problem. Explaining the issue to them during the conversation as why it is an issue they will understand it but many times the information leaves them once the conversation is over.

So what I like to do is create a visual picture as most people are visual so painting a picture helps them retain the information for the future.
Think of your credit score in the same way as a crystal ball “works”. The concept is to predict the future. So if a credit score operates along the same lines then a recent late payment gives the lender an indication there may be a financial problem as they are looking at lending you money in the hopes of you paying it on time for the next few years or even the next 30 years if it’s a mortgage.

It’s a math equation, granted a very complicated one but still a math equation. So if you were delinquent in making an arranged payment on time they have no clue if that was a one-time slip up of a foreshadowing of future issues.

They see it two different ways, the first is there is some financial challenges you are going through which of course would give anyone pause on lending you money or lending you money at a low interest rate as those loans are for people who don’t make late payments.

The 2nd you are not going to like a may even take it personally but you can’t argue with a mathematical equation so it’s looked at as if your financially incapable of paying your own bills on-time. Another way it can be called is you’re financially incompetent (at least at this time).

An excuse I hear people say is they never got a bill. The answer which I try to say with a good deal of tact is the credit scoring system reads it as:
“But you know you owe that bank money and that you make payments every month so why didn’t you call them”. It’s not their responsibility to remind you of your financial obligations.

Is it harsh? Yes it is, Realistic in how the world works, yes it is also. What you need to understand is these banks do not know you, they look at how past bills are paid in order to identify if you will pay future bills on time.

I also get people saying they have had excellent credit for 10 even 30 years. And then I have to inform them “that’s great and I will guess that if you even needed to get something during that time you benefited from that great score but you do not have that score now and then lender thinks there could be a future issue now that you did not pay something”.

The hardest thing in credit repair is removing late payments or what is nicknamed “slow pays”, ESPECIALLY when it’s on a current open account as it’s very easy to prove.

So many times I have heard clients tell them that other credit repair companies said it’s not a problem at all so they signed up and paid them money only to later find out months later they were lied to.

UNDERSTAND, when it comes to your credit report and your credit score when it relates to qualifying for a loan and even when credit repair is added to the mix that even if you paid the credit card (for example) down or off does not mean the problem has been fixed.

The RECORD of you not paying that bill on time for that particular month is marked in your credit report and depending on how recent it is will reflect as to how damaging it is to your credit score.

The older it is, the less it affects your credit score as how you pay your bills today counts a lot more than how you paid them 5 years ago.
I hope this helps to increase your credit knowledge when it comes to how the credit system works and the issue with this situation in relationship to credit repair.

But if the late payment is an honest mistake on the banks part while you may get incredibly frustrated to how little help you get to rectify the late payment on your credit if that’s the only issue then the credit repair company should only charge you a small fee after going through a series of questions to create an investigation on the matter.

Want to learn more about how the world of credit works? Contact me today and get my book in full blown color. No nonsense direct answers and easy to understand.

How the “Real world of credit” works:

And of course if you need some credit work to increase your credit score then call me today to discuss!

Late Payment forgiveness in Credit Repair Books

DISCLAIMER: you are not going to like reading this blog ( just a forewarning)

You may have seen an internet advertisement on this, you may have seen this statement in a Facebook ad. Many times its labeled as “the Hidden Secret the creditors don’t want you to know about!”.

I even saw this “technique” listed in a “Legal credit repair” book written by “attorneys. What it basically says is that if you have good history with a bank/creditor then you can ask them for a one-time late payment forgiveness since you have been such a good client prior to the one little mishap.

They may tell you to say you were out of town during this or had a family emergency and have been out of town.

I checked several credit repair books in the stores before writing this blog and it seems they are all in there.



Perhaps about 10-20 years ago it worked and companies allowed it but now and for quite a while now they do not. This is the problem with the “credit repair” books out there. So much of it is what is called “fluff” or “filler content”. Designed to make the book bigger and give the impression there is more to it.

HOWEVER, there is a simple test for this. I assume if you’re reading this you are doing some research on credit due to you having some credit challenges currently or have in the past.


You’re another credit repair company/agent trying to learn how credit actually works (actually got a call one time from a credit sales person who said their boss said to read my site and info on my website). While im not crazy about that part I commend you on wanting to do the right thing by your clients.

Contact the lenders if you do not believe I am correct in this statement about this blog.

Most likely what will happen is the late payment will not be removed and you will get a letter from the creditor stating that after careful research it has been identified that the current reporting is correct and the Fair Credit Reporting Act Law will not allow them to change that information as it would be incorrect and thus against the law.

And then most likely in 30 days the late payment will still be there is you have a credit monitoring service but then get notified that your credit score increased!

Again…however this is what would or can be called a false positive in the credit world.

Check to see if the lender/bank now has your account marked as disputed.

Now for people out there thinking where there is a will there is a way there unfortunately isn’t.

So I do not mean to burst your bubble with this blog but more so I do not want you to waste your valuable time.

NOW, if you are reading this and you have a relationship with your bank and it is one of the really small/very local banks then there is a possibility of them doing that favor for you.

HERE is the little trick (so to speak) there is no law that requires the people reporting to the credit bureaus to actually report to them. They can choose not to report they just can’t report something that is incorrect.

Now if you are dealing with a really small lender or as mentioned before a really small community bank where you are on a first named basis with the president of the bank. You can sit down with them and ask them to omit the data for a few months that correlates to the bad reporting on your credit file.

Ex: A late payment in 4/2016 ask them to post no data from 1/2016 thru 6/2016.

Now they are in compliance with the law as well as you problem is solved.

The issue is this will work for maybe 2% of people who are lucky enough to be in the position I described above.

So while you can always try just understand that a good 98% of the time it will not work and the “secrets” in the books and advertisements are designed to get you to buy the product. It never hurts to try just be ready to undo the problem to your credit file that you caused by trying it.

And as a recap the problem it will cause is the bank marking their credit account with you as “disputed” which you will need to then go through the steps of having it removed.

Want to learn more about how the world of credit works? Contact me today and get my book in full blown color. No nonsense direct and easy to understand how the “Real world of credit” works.