Using a Credit Repair Company to Repair Your Credit
How to Find a Good Credit Repair Company
Last Updated: July 21, 2016
Based on the fact you are reading this article, we can surmise you have come to this site to find information on credit repair. Money may be tight and you may not have a lot of extra money to pay someone to fix your credit. You have seen the credit repair ads on TV or in local papers telling you to sign up with a credit repair company, but you are on the fence about whether or not to go it alone or hire a credit repair firm. There are credit repair firms out there that are scammers and there are a lot that are legitimate. This article should help point you in the right direction of finding a good credit repair company.
Why Use a Credit Repair Company?
So, you have tried your hand at fixing your credit and maybe you have had some success or maybe you are hitting dead ends and roadblocks. We can relate - it takes a lot of patience and perseverance to get the results you may be shooting for. Your patience may be running out and you are now looking to hire a credit repair company to handle this mess for you. The following are some of the benefits of handing this over to a credit repair expert.
- A credit repair firm has more resources to handle your disputes.
- They know the ins and outs of the rules and regulations governing credit repair procedures.
- They are getting paid for results.
- You don't have the time to dedicate to fixing your credit and would rather have someone do it for you.
Finding a Reputable Credit Repair Company
Now that you have decided to have someone else repair your credit, how do you go about finding the right company? There are hundreds of companies on the Internet and you have probably seen some of them claim - "Bad credit? We can help!" But how do you separate the good from the bad? Here are a few tips.
- Contact the BBB to see if the firm has had any consumer complaints filed against them.
- Check with your state attorney general's office to see if there are any pending legal investigation against this firm.
- Know your rights and be familiar with the guidelines from the Credit Repair Organization Act.
- You should receive a contract specifically spelling out their fees, details of service, guarantees they offer, and their physical address and phone number.
Avoid These Credit Repair Companies
Let's say for arguments sake, you did not follow our advice in the above section and you just closed your eyes and randomly picked a name out of the phonebook. If any of the following circumstances happen, run away from this firm as fast as you can.
- You aren't given a copy of the the "Consumer Credit File Rights Under State and Federal Law."
- You aren't given a contract to view prior to signing it.
- You are asked for payment upfront before any services are performed.
- This company promises to remove "accurately" reported information from your report.
- They want to create a "new" identity for you.
Benefits of Using a Good Credit Repair Company
We sincerely hope you have taken our advice to heart and now you have made an informed choice on which credit repair company to use. This particular firm checks out with BBB, attorney general's office, and you have talked with this firm on numerous occasions and are comfortable with their business practices. If they are local, you may have even gone to their office to check things out.
Now it is time for the process to begin. What exactly can you expect from this firm and what type of benefits will you reap from using them to fix your credit? Here are some benefits.
- You will get copies of your credit reports and you will go over them with a credit expert who can explain the good and the bad aspects.
- You will get a detailed plan of what can be disputed and what other means they may use to remove negative items on your report.
- You will get monthly reports on items that have been removed.
- You will see an increase in your credit score as these negative items begin to be removed.
During this process of removing these negative items, this credit repair firm should be giving you suggestions on how to build up positive credit via using secured credit cards or taking out a small loan to establish an on-time payment history.
Credit repair is something you can do yourself, but sometimes life gets in the way. There are a lot of good credit repair companies out there and using one of them can be very beneficial to your financial future. The bottom line, fixing your credit can be a daunting task and it is nice to know there are good firms out there you can trust. A little homework in the beginning will reap rich rewards in the end.