Debt consolidation poor credit rating

Rising wealth and income inequality is casting a pall over the American economy, according to Moody's Investors Service.  Although growing disparity between the country's richest and poorest citizens has been tracked by everyone from economists to politicians, the research firm's analysis examines how the trend might impact the country's financial flexibility and creditworthiness. Moody's stark take: The widening gulf could sap the country's ability to repay its debts because of weaker economic growth and ineffective government institutions.  "Over the past two decades, income and wealth inequality have increased in the U.S. as high- and very high-income households have commanded rising shares of income and wealth," Moody's analysts wrote in the research report. "The top 10 percent of income earners have seen their overall median net worth increase by almost 200 percent since 1995, while the bottom 40 percent of income earners have experienced a decline in median net worth … [Read more...] about Inequality is worsening and could hit U.S. credit rating: Moody’s

If you've checked your credit report recently, you might have noticed a pleasant surprise -- an increase in your credit score. Overall, nearly 70 percent of Americans have seen their credit rating improve over the last year, according to an analysis by the Federal Reserve Bank of New York.  The reason: The impact of the National Consumer Assistance Plan, an initiative launched by the big three credit reporting agencies – Equifax, Experian and TransUnion -- in 2017 to address complaints about credit reporting errors. To placate state regulators, the firms changed their standards and tightened their reporting requirements. Ironically, the change won't mean much to most people. According to the New York Fed, the average credit score rose only 11 points. But you can take comfort in knowing that some types of debt, including traffic tickets, unreturned library books, certain tax liens and recent medical liabilities will no longer be included in your score. Unexpected medical … [Read more...] about Your credit rating suddenly jumped? Here’s why