Should you use a credit repair company? It depends on how much time you want to spend on fixing your credit, how desperate you are to increase your bad credit, or you just don’t know another way to fix your credit. Credit repair companies are always advertising on social media, radio, tv, and newspapers and they all offer similar claims to you:
‘’Having credit issues? Don’t worry about it’’
‘’ but we can certainly help you in canceling legal holds, decisions, insolvencies, and terrible advances from your credit files. We are the credit score fixer you have been looking for!’’
‘’ also make another credit identity lawfully by believing our real credit repair services’’
Don’t give in to these tricks of credit repair agencies that promise easy, overnight credit repair. If you are willing to fix your poor credit doing credit repair yourself is the best way.
The Federal Trade Commission says that no credit repair company can guarantee results for everybody. In fact, credit repair agencies have no special system that is only available to them and the average person could repair their credit on their own with a little bit of knowledge on what it takes. The real thing is that there is no such quick fix for approval by banks to get credit. If you need to improve your credit legally, it will require some hard work and sticking to a plan.
Some people hire credit repair companies because they don’t know how to access their credit report to find out all the information they need about their credit. Credit repair companies will pull your credit report for you and tell you what items they think they can get removed to improve your score. However, you can access this same information on your own.
You are allowed to check your credit report for free once a year. You also eligible for a free credit report if you are unemployed and plan to look for a job within 60 days, if you’re on welfare if a company takes adverse action against you such as denying you an application for credit, insurance, or employment and you ask for your report within 60 days of receiving the notice of action if your report is inaccurate because of fraud.
Review Your Credit Report
Once you receive your credit report it will include all your personal information such as name, address and social security number. It will also include any accounts you have such as credit cards, loans, mortgages and also any items that are not in good standing such as bankruptcies, foreclosures, or items in collections. You should review this information yourself and make sure everything that is reported to accurate. If you find items that are inaccurate you can dispute these items. This is the bread and butter of credit repair companies. They charge you to dispute items off of your credit report on your behalf. However, this is something you can easily do on your own. Download our free dispute letters and we tell you what you need to include in the letter when to send it our, and who to send it to. All of this can be done in minutes and it’s free.
Credit repair if your negative information is accurate
When your report is examined and if the negative information in your report turns to be correct then no credit repair agency can make it go away except with time.
The credit reporting company can report any correct negative information for seven years and bankruptcy information for ten years. The seven years reporting period starts from the event date that happened. There is no time limit for reporting criminal judgments of guilt in court and information reported. Only in your response to a job application that pays more than $75,000 per year. Also of the information reported because you have applied for more than $150,000 worth of life insurance or credit.
So in other words if you hire a credit repair company and they tell you they can remove items from your credit report that turn out to be accurate it won’t be removed from your credit report. However, there are items that can negatively effect your credit score but can be removed such as missed payments, collections, and credit inquiries. You can use our free dispute letters we mentioned above to remove these items yourself.
The credit repair organization act (CROA):
According to the Credit Repair Organization Act (CROA), it makes it illegal for the companies providing credit repair services to lie about what they can do for you or help you out. It is illegal for them to charge you before offering the types of help. The companies providing credit repair services are used by (CROA) to clear them up.
Rules by federal trade commission:
- In an agreement details of the management, they will perform and their lawful right is written.
- Three days option to drop with no sort of progress
- How long will it take to get the results
- The complete and total expense of the work
- Any secures/ make sure of
What if the credit repair service company is fake?
If a credit repair company you hired is fake or it does not live up to its promises and claims? Then in the situation, you have some options left that will help you out.
How can you claim for lawyer’s fees?
- In federal court sue them for your actual losses or even for whatever you have paid them
- Try to look for punitive damages like money to punish the company for violating the law
- In a class-action lawsuit against the company join other people. If you win, the lawyer’s fees have to be paid by the credit repair agency.
Always report credit repair fraud
If you want to report a credit repair fraud you can file a report to Federal Trade Commission. Although Federal Trade Commission cannot resolve individual credit arguments. It can take an action against the company if there is a pattern of a law violation.
The state lawyer general:
If you face any kind of problem you can report it to your local consumer affairs office or even you can report it to your state lawyer general (LG) related to it as there are many laws controlling companies givining credit repair services.
Where to get legal help for credit repair?
if you have a poor credit history:
If you have a poor credit history you can’t get a credit card then you are wrong. Every company that lends money has their standards and not all of them look at your credit history. Some of them may look at your last few years to figure out the worth of credit. If your bill-paying history has improved then they might give you the credit.
Contact credit counseling organization:
You need to contact any kind of credit counseling organization if you cannot make a fixed budget and make sure to stick to it. Many of them are nonprofit organizations for help. They will help you out to resolve the problem related to money. Also remember that non-profit organizations don’t guarantee free, low-priced, or sometimes even legal services.
Some legal credit guiding associations can help with causing you on dealing with your duties and cash. They also offer free educational material and even workshops. Trained and promised counselors are present in the customer credit areas for providing services to you. They will examine your whole money based situation and will help you with building up a customized plan.
Another organization that can help you get back on track is CuraDebt Debt Counseling services that can help you with unsecured debt such as credit cards, personal loans, private student loans, tax debts, medical bills, and more. You get a free consultation and no upfront fees or obligations.
What Are Good Credit Repair Companies?
Not all credit repair companies are bad, scams or don’t work. Some credit repair companies are actually really great and helpful if you don’t want to take the time to fix your credit on your own. One of the best credit repair companies is Credit Saint. They have great reviews, they are good at challenging inaccurate credit data, an A+ rating on BBB, excellent customer service, and a money-back guarantee for the first 90 days. The price is $79.99 to $119.99 per month.
Related: Best Credit Repair Companies
How to fix your credit yourself?
Instead of dealing with credit repair companies fix your credit yourself. As mentioned above, credit repair companies charge you hundreds or thousands of dollars to remove items from your credit, that not always work. Put your money towards educating yourself from credit repair experts, like The Credit Repair Blueprint, who teaches you the tips, and hacks that the credit repair companies don’t want you to know.
The Credit Repair Blueprint is the #1 DIY credit repair company for a reason! You will learn how to find and know your real credit score, how to calculate your credit score, what areas of your credit you need to work on, what tools you can use to improve your credit fast, how to dispute items off your credit report, the best credit card offers based on your credit score and your needs, how to build your business credit and so much more!
Learn how to fix your credit for life!
Do you have bad credit, no credit, or want to learn how to become a credit expert?
Check out our credit repair training and learn:
- What your actual credit score is
- How to get a copy of your free credit report
- How to get your credit back on track today
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- Learn how to fix your credit on your own with our expert advice.