Is Credit Repair a Scam?
Not all credit repair companies are created equal. There are dozens of companies out there that promise to scrub your credit report clean so you can get that car loan, mortgage approval, or just raise your credit score to a better level. Over-the-moon promises can sound very appealing to someone with bad credit, or someone who just wants a provider to help them navigate their credit report.
Credit repair, done right, is legitimate and above the law. However, not all providers are legitimate and some engage in shady practices or make untrue claims to get your business. When selecting a company to help you clean up your credit report, it is very important to choose one that is ethical and provides legitimate, legal credit repair services. Here are a few questions to ask yourself when researching the right provider.\
Does the company promise to remove all negative information, regardless of accuracy?
Illegitimate credit repair companies will claim that they can remove any negative information, regardless of accuracy. For instance, an unethical company could claim that they can have a late payment removed from your account, even if you truly did miss that payment. By disputing any and all negative items, the credit repair company can “jam” up the works of the credit bureaus, and temporarily you may see those items removed from your report. However, most lenders regularly report to the credit bureaus, and so in a month or so you can see those items added back on – after the credit repair company has already collected your money.
We can’t promise that we can get negative information removed, Instead, we research and review every item on your credit report to determine its legitimacy and accuracy. Inaccurate items can be removed, as can debts or judgments that cannot be backed up with hard evidence.
Does the company claim to be a gatekeeper to good credit?
Illegitimate credit repair companies want you to think that good credit is entirely out of your reach. However, DIY credit repair is possible. You do have access to a free annual credit report. You can dispute negative items on your credit report yourself. You can make wise financial decisions that will make your credit report healthier and increase your credit score.
If a company claims that it can work magic that you yourself cannot, they are lying. Federal law requires that you have the ability to repair your credit yourself.
That is not how we do business. Instead, we have positioned ourselves as experts on credit and as ambassadors that personalize our services to the needs of our clients. The industry and laws governing credit reports are complicated and tricky, and navigating these waters yourself can be a time-consuming process. We work to make this process as pain free and easy as possible. However, we will never claim that consumers are powerless to access and repair their own credit.
Does the company promise quick results with no follow-up?
Many credit repair companies promise fast results, demand money up front, and will not tell you your rights under federal law, which include the right to cancel your services or initiate complaints against them. Typically, companies that want to charge you a lot up front and provide no specifics into their process just want your money.
We provide total transparency into the credit repair process, and report to you any changes that have occurred as a result of our work. In addition, you get access to a personal dashboard, score tracker, and monthly alerts so you can track your progress month-to-month – that way, you know if your efforts are working.
When evaluating credit repair companies, look out for a few things:
- The company promises to remove all negative information, regardless of accuracy.
- The company neglects to inform you of your own power and rights when it comes to your credit.
- The company promises quick results, but is vague on the process, or simply wants to charge you a one-time fee with no follow-up.
- The company is vague on your rights.
If any of these red flags come up, you should reconsider doing business with this company. For a full overview of how we can help you improve your credit legally and ethically, give us a call at 888-708-9171 or Schedule a FREE Consultation.
We’ll be happy to answer your questions about how we can help you improve your credit- no pressure.