25/02/2023
YES, YOU ARE BLACKLISTED BECAUSE YOU DID NOT PAY.
BUT WHY DID YOU NOT PAY?
On February 17, 2023, we discussed the first step of solving a problem of poor credit score.
We said that, if you have been blacklisted on credit bureaus, the first step towards clearing your name is to REALIZE AND ACKNOWLEDGE THAT YOU HAVE A PROBLEM. In essence, you must (1) be fully aware of the existence of the problem, (2) be fully aware of the extent and gravity of the problem, and 3) admit that you have a problem.
Hiding your head in the sand will not miraculously get your name cleared.
In this post, we discuss the second step of solving the problem of poor credit record, which you (or your neighbor) has: THIS SECOND STEP IS TO IDENTIFY THE CAUSE OR ROOT OF THE PROBLEM.
What Is important to remember here is that, as a problem, your low credit score is nothing more than an obstacle that you have to overcome in order to achieve your goal (e.g. clearing your name and ultimately qualifying to buy a house). IT IS CRUCIAL NOT TO TAKE ANY PROBLEM ON A FACE OR SURFACE VALUE.
As part of a strategy towards identifying essential elements of the problem you are facing and therefore identifying its root cause, here are a few questions you are encouraged to ask yourself:
1) What makes me think I have a problem?
2) Why is it a problem?
3) For whom is it a problem (in essence, what or who is being affected by this problem)?
4) What is problematic (i.e. what is happening or NOT happening that may be causing the problem)?
5) What are the implications?
When defining the problem of poor personal credit score, you need to deal with the real problem and NOT only the symptoms (e.g. you may have to change your buying or spending habits and stop running away from your creditors).
The other thing you have to do is identify and specify advantages or benefits (if any) that may have anything to do with the problem at hand. In essence, is there a way in which your poor credit history has benefited or is benefiting you? (Remember this: a problem well-stated is a problem half-solved).
Sometimes the root of poor credit record can be,
(a) Loss of income
(b) Lack of financial skills and competencies.
(c) Lack of self-discipline to live within one's means.
(d) Lack of integrity to honour payments even when there is enough money to pay (i.e. feeling like paying your creditors is equivalent to being robbed of your money).
NB: When you don't pay your debts, you are not saving yourself from being robbed of your money. Instead, you are robbing your creditors of their deserved money. (Bitter truth. But remember, we are busy solving the problem here. We are not out to make you feel bad).
There are people who think of creditors as these evil people or institutions who reap where they did not sow. As a result, not only do people who think that way about thier creditors fail to pay interest on what they were given, they also fail to pay the same principal or capital amount which the creditor gave to them in good faith.
So, if you have a bad name in the credit bureau circles, you must notice that NOT paying creditors is a secondary problem. The real problem (i.e. the primary source of the secondary problem is an attitude of lack of discipline and integrity. In other words, people may be blacklisted because they did not pay. However, the root of their problems (i.e. the reason they failed to pay) is often one of those listed above).
Be willing to make due payments - even when you don't feel like paying sometimed. Be willing to go talk to your creditors and make arrangements.
Here is a question for you: What is the root of your problem? (Thst problem of poor credit history)? Yes, you know you got blacklisted because you did not pay. BUT, why did you NOT pay when you were supposed to pay. If you can address that, you will have solved the big chunk of your problem.
It is important to solve any problem at the root level. Don't waste time with either the "stem", "branches", leaves, or "fruit". Whatever the root of your poor credit record is, you can neutralize it, clear your name and, once again, become a preferred candidate for credit.
The next step - third step - you have to take towards clearing your name is to transform your problem into a smart goal. See being blacklisted on the credit bureau as an opportunity to do things right and change your life. Don't see the situation as eternal condemnation into a painful state that is a direct repercussion of your financial mishaps. (Perception is everything when it comes to your credit status).
Remember to like our page (if you haven't done do already) and encourage a friend to check it out and like it as well.
Nathanael Phamotse
Principal Property Practitioner: HourGlass Properties and Investments
