“About 12 million people will get a lift in their credit scores next month as the national credit reporting agencies wipe from their records two major sources of negative information about borrowers: tax liens and civil judgments,” The New York Times reports.
“The change stems from a lengthy crusade by consumer advocates and government officials to force the credit bureaus to improve the accuracy of their reports, which are often speckled with errors and outdated information,” the report adds. “Those mistakes can limit borrowers’ access to credit cards, auto loans and mortgages, or saddle them with higher borrowing costs.”
The Times adds: “Starting July 1, the three major credit reporting companies — Equifax, Experian and TransUnion — will enforce stricter rules on the public records they collect, requiring each citation to include the subject’s name, address and either their Social Security number or date of birth. Nearly all civil judgments and at least half of the nation’s tax lien records do not meet the new standards, and will be eliminated from consumer credit reports.”
We all know that a credit history can be a major barrier to getting financial support, but that doesn’t mean you don’t stand a chance of success. Bad credit doesn’t have to be the end of your entrepreneurial dreams. There are some alternative ways and resources that can help you get a loan to grow your small business.
In general, a business credit line is a reliable and convenient financing solution. It provides flexibility in terms of repayment and helps to optimize costs, allowing businesses to manage their finances efficiently. However, before using a credit line, it is recommended to conduct a thorough analysis of your needs and consult with financial specialists in order to choose the most suitable option.