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There's so many different credit repair firms that I don't know who is reputable or not and if they actually make a difference or not. Does any one know of or had a positive experience with a credit repair firm. If so, can you please let me know who they are. THANKS!
First of all, be very careful with credit repair firms. They are literally coming out of the woodwork in the financial environment that we are in. Many are not compliant with the Credit Repair Organizations Act (CROA) and a large number do nothing more than you can do yourself with a little knowledge and legwork.
We have had very good luck with US Consumer Credit Restoration Association. Not only do they help get the improper negative items off, they will help you build positive credit which is extremely important! And, since they are an association, there are a number of other benefits that go along with membership.
You have to repair all 3 credit bureaus. Transunion, Equafax, and Experian. You are entitled to one free report from each one, every 12 months. So call them and they will tell you what is required to do this. This is the law and they have to give you the one report. It will not have your score on it just a list of all accounts and the status etc. You can do your own repair this way. There is a dispute process mostly done over the phone but they will tell you what you need to prove your points against any entry on the report. You can put a fraud alert on your account for free and some other things that may help your credit score too! Ask them they will be happy to help. You have to pay a fee to see your score in my experience but you don't have to know that, the bank can tell you that when you go for a loan, again if you ask. Asking questions as many and often as possible is they way you really learn about all kinds of stuff.Quote:
Originally Posted by killbill
Do it yourself you will have more control, you will learn a lot and it will save you lots of money and you can rely on yourself to get it done quickly.Quote:
Originally Posted by killbill
Just a couple comments here...
First, unless it is something simple, such as an incorrect middle initial or wrong street address, you should never dispute online or via telephone. You always want to have proof that you sent a dispute and that the creditor / collection agency / credit bureau received it and when. Sent it Certified Mail, Return Receipt Requested.
Next, although you CAN dispute all the items on the report yourself, if there is more than just simple items on your report, leave it to a professional. By professional, I mean someone who does this type of work everyday and does it well, not just someone who owns a company that does credit repair and is probably not in compliance with the Credit Repair Organizations Act.
Adding to that, you CAN fix your own credit; just as you CAN build your own house, rebuild your own transmission and even amputate a limb. It's just better to leave some things to professionals.
Here's why (from a brochure):
If your scores are below 720, you could be paying anywhere from $400 to $1400 MORE per month on your mortgage payment!
And with the new Loan Level Price Adjustments that have recently been implemented by Fannie Mae and Freddie Mac, carrying a FICO score of less than 680 could cost you an extra 2% up front on a loan. That's an additional $3,000 on a $150,000 mortgage amount.
Every year, consumers are bullied into paying millions of dollars to unethical collection companies who don't have the right to collect any longer, but because they use threats of a lawsuit, garnishment, or lien, consumers feel they have no other option than to pay.
You really need to know and understand the laws to be effective with the credit reporting agencies. Ask yourself this: if the CRAs are being paid by your creditors to report information, who's side do you think they are on?
I'm not here to solicit, but if anyone is interested in what company I have found to be the best, just reply and I'll post.
LG
Well first be careful so called "credit repair" companies are even illegal in some states
The honest truth is that if the information is correct it can not be removed, only incorrect things can be removed.
What happens companies merely contest all negative info on the reports and hope the company that reported you does not respond, nothing you can't do yourself for free.
So basically these companies merely take advantage and money from people who already don't have much
Fr_Chuck,
Let's be careful with blanket comments about credit repair, as it is much better to look at your statements individually.
Well first be careful so called "credit repair" companies are even illegal in some states
Although some states have rules about how a business operates, the Feds regulate it through the Credit Repair Organizations Act. There are a lot of them that do not conform to the guidelines of the CROA, and they are in all states.
The honest truth is that if the information is correct it can not be removed, only incorrect things can be removed.
While "technically" true, the information has to be 100% correct AND the company has to have the ability to collect in that particular state (as well as several other items that they need to provide to validate the debt). Sometimes they will remove a debt because they do not want to go through the trouble of providing all that the law says they must. The laws are really on our side on this.
What happens companies merley contest all negitive info on the reports and hope the company that reported you does not respond, nothing you can't do yourself for free.
A lot of them do, but not all. Some even challenge the creditors themselves.
So basicly these companies merley take advantage and money from people who already don't have much
Again, a general statement that applies to a lot of companies, but not all. There really are some legal, legitimate organizations that help consumers. When you hear stories about how the general public is getting taken advantage of because they do not fully understand the laws that are in place to protect them, you can understand how there is a need for this type of service. See my above post.
Once again my disclaimer, be very careful who you use. If you would like to see what a good, legal credit restoration company can do, go to USCCRA - US Consumer Credit Restoration Association - USCCRA Home and take the tour. I use them and they are fantastic.
LG
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