Payment Reporting Builds Credit (“PRBC”): A Way To Supplement Negative Credit Reports

Having negative credit can affect your entire life. Not only are banks, lenders and credit card issuers pulling your credit file, employers are now using credit history as a determinant in hiring. It is getting harder to escape the consequences of having bad credit. Not everyone with bad credit is late paying all of their financial obligations. You may be timely with your rent, utility, cable, cell phone, child support and even daycare obligations. Now you have an alternative way to prove your creditworthiness. Payment Reporting Builds Credit (“PRBC”) is a national consumer reporting agency and credit bureau which collects, stores and reports bill payment information.nnPayment Reporting Builds Credit (“PRBC”)nnSince 2002, PRBC has been collecting, storing, scoring and reporting data for consumers and small businesses in accordance with Fair Credit Reporting Act. PRBC gives the consumer and small business owner a way to build a credit file and demonstrate creditworthiness that is different from the traditional credit reporting agencies. Payment Reporting Builds Credit produces a PRBC credit report and bill payment score based upon your payment history with non-reporting rent and recurring bills which are not traditionally reported to Experian, Equifax and Transunion credit reporting agencies. A PRBC credit report can show you have paid your bills on time. They maintain your bill payment history in your file for up to seven years and this information will only be shared with your permission.nnTypes of information contained in PRBC credit reportnnThe information contained in a PRBC Report include rent, utility, cable, telephone, insurance, cell phone, loans from friends and family members, child support and even daycare provider payments. nnHow it worksnnConsumers or small business owners sign-up for enrollment and once enrolled, you will be able to document positive payment history in a PRBC credit file by reporting your payments for these types of bills. You will be able to view your report for free at any time. When applying for credit you can request the credit issuer pull your PRBC report and the credit issuer will pay a fee to PRBC to view your report. Not all credit issuers will agree to pull your PRBC report.nnHow much does it cost to create a PRBC reportnnWhile there is no fee for creating a PRBC credit file, there is a fee to the consumer for PRBC to verify the timely payments you report to your file. Credit issuers requesting your PRBC credit file also pay a fee to view your file. If you choose to use one of PRBC’s online bill payment partners, you can request your payments be reported to PRBC automatically as you pay your bills and no verification fee will be charged.nnThe cost for verification of your credit filennThere is a six (6) month minimum payment history requirement in order to have your payments verified. After the six-month payment history requirement has ended, the cost of verification will vary depending on the type of information you request verified. For instance, rent payment history verification may be $20.00 while utility payment verification may be $15.00. You can request package deals for verifications which include cable, phone and electric bills.nnWho views PRBC credit files?nnUpon your consent PRBC sells credit reports to lenders, banks, employers and other companies when you apply for housing, a mortgage loan, credit, insurance, or employment. PRBC does not sell your information to telemarketers or other marketing firms. Unlike the three major credit bureaus, you can view your PRBC report as often as you like, free of charge. You maintain control over who will view your PRBC report.nnNot all credit issuers, lenders and employers accept PRBC reports. You will have to inquire and request this type of report supplement your traditional credit information. Recently, Fannie Mae and Freddie Mac began accepting PRBC Credit Reports for underwriting purposes. A PRBC credit report may be an excellent way to increase your chances of getting approved with good rates when you apply for credit. For more information visit their website at www.prbc.comnnFor tips on improving your credit score visit: Rebuild Credit Scores nn