Can You Hide From Your Bad Credit Account?

After a while, non-payment may cause the account to become a bad credit account. While we may wish we could hide from our bad credit accounts, it isn't something we can do for long.

Why can't you hide from bad credit accounts?

Lenders, creditors, and banks make it very hard to hide for a long time. You can dodge them for a few months, maybe even a couple of years, by avoiding phone calls and moving without updating your address. The fact is, all the bad accounts have access to your social security number, which is tied to your paycheck, your taxes, and credit file. This means that debts can possibly be garnished from your paycheck or intercepted from your tax returns. By reporting the debts to the credit bureaus, these accounts may prohibit you from being able to get new credit accounts or loans.

How can you avoid hiding?

Rather than attempting to hide from bad credit accounts, it is best to speak to all creditors about the financial situation preventing you from paying. Negotiate something with them to keep the accounts in good standing. If the accounts are already in bad standing, see what it will take to get them into good standing again. For accounts in collections, consider using a debt settlement option to help cut the debt down. If debt settlement doesn't appeal to you, save money as you can to pay off each debt in collections on the credit report. You are entitled to a free copy of your credit report (but not the credit score) once a year, and any time you are denied credit. This will provide information any accounts and allow you to check for error.

What about bank accounts and bad credit?

If you have bad credit, you may have difficulty getting a bank account. In many cases, you'll be able to get a bank account without problem, provided you do not have any bank accounts on record with negative balances on record or in collections. If you have bounced checks in the past without resolving them, you will be in the TeleCheck systems, and unable to get a checking account. This will not stop you from being able to get a savings account.

Though it is possible to hide from bad accounts, there's no guarantee of how long you'll be able to hide. Hiding from the debt will make for a lower quality of life as you stress over the debt and what it means for you. Hiding from the debt may carry criminal punishment, and is actually much harder than acknowledging the existence of the debt and making arrangements to settle it. There are several options available for debt settlement to help people get rid of debt for less than they owe.

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