Free credit reports weekly through April 2021

The three national credit reporting bureaus, Experian, Transunion, and Equifax are all offering everyone free weekly credit reports through April 2021. 

There are 3 ways you can request your reports: online, by phone, or by mail. You can request and access your reports online at www.annualcreditreport.com. You can get your reports mailed to you by either calling 1-877-322-8228 or by mailing a completed request form which you can download from here www.annualcreditreport.com/manualRequestForm.action

For security purposes you will have to go through a verification process if you make your request online or by telephone. You'll be asked a few questions about some specific credit accounts in your report and you'll get multiple choice answers to choose from. For example, they may ask you which finance company your car payment is through, or how much is your monthly mortgage payment. 

Reviewing your credit reports is a good way to catch identity theft and fraud. The same old fraudsters are pulling new tricks related to the pandemic, so it's as important as ever to keep vigilant about your credit and financial accounts.

If you see suspicious or confusing information on your credit reports you can get help figuring out what to do next. If you are at least 60 yrs old and a West Virginia resident you can all WV Senior Legal Aid at 1.800.228.5068 for help in any part of this process.

Struggling with mortgage? Deadline to apply for help 12/31/20

The federal CARES Act creates some help for people who are struggling to pay their mortgages because of COVID-related issues. The deadline to request the help is 12/31/2020.

Who is eligible? People who have federally-backed mortgages (like FHA, USDA, VA mortgages, for example) who are having trouble making the payments because of the pandemic.

What if my mortgage isn't federally backed? Many private mortgage lenders are offering pandemic-related relief, too. 

What kind of relief is available? A forebearance, meaning a temporary reduction or pause in your obligation to make your mortgage payments for up to 180 days with a possible extension of another 180 days.

Do I have to prove my financial hardship? No. If you qualify for the CARES Act relief the mortgage servicer can not legally require you to produce evidence of your financial hardship.

What happens after the forebearance period, if I get one? You'll still be required to pay back the missed mortgage payments, but you can not be required to pay it in a lump sum if you qualify for the CARES Act relief. You'll have a repayment plan, so that is something you and the mortgage servicer should work out before your forebearance is up.

Do I have to pay application fees or other fees to get the relief? No. Under the CARES Act you can not be charged fees for the relief. If anyone asks you to pay upfront fees to get the relief it is likely a scam, report it to consumer protection authorities like the Federal Trade Commission https://www.ftccomplaintassistant.gov/ and be careful.

The deadline for this relief is just a couple weeks away! If you are struggling to meet your mortgage payments, or you are already behind, you can call your mortgage servicer to ask about what relief you might be eligible for. You might get the break you need.

For more information see https://www.consumerfinance.gov/coronavirus/mortgage-and-housing-assistance/mortgage-forbearance-during-covid-19-what-know-what-do/ and http://cfpb.gov/housing

Social Security and SSI benefits COLA increase 1.3% starting January 2021

 

You probably already got a letter from the federal Social Security Administration about your 2021 benefits increase. But in case you didn't, starting in January you'll be getting a 1.3% Cost of Living Allowance (COLA) increase on your Social Security or Supplemental Security Income (SSI) benefits. 

The COLA by law is calculated using a formula based on the Consumer Price Index (CPI) from the previous year's third quarter. So in years when there is more consumer price inflation the COLA is likely to be higher for the following year. This 1.3% increase is one of the lowest since the COLA was implemented in 1975, though there have been 3 years where there was no increase at all.

You don't have to do anything to receive the increase, it will come automatically in your benefits starting with your January disbursement. Strangely enough, SS and SSI pay benefits for the previous month, so technically the COLA applies to your December benefits, but you receive them in the January disbursement. 

The average monthly Social Security benefit amount in 2020 was $1503, so the average increase from this COLA will be $19.53. Might get you a few bottles of your favorite caramel-colored beverage.

For more information see the Social Security Administration's website page about the COLA .