Credit Fix Solutions

Legal, effective credit report repair

Wednesday, July 05, 2006


Repair Your Credit--Click Here For Our Recommended Bad Credit Repair Service

A Word About Credit Repair Law

Most credit repair law relates to the Fair Credit Reporting Act, sometimes referred to as the FCRA. The Fair Credit Reporting Act has been amended several times over the years. The most recent amendment is referred to as the FACT act under which a website was created to promote access to free annual credit reports for consumers. In order to legally repair credit scores or improve them, credit reports should be reviewed for inaccurate information.

Credit repair law or laws relating to consumer’s writes regarding their credit histories are about as difficult to read as most law. Some agencies attempt to put the law into laymen’s terms, in order to help consumers that are attempting to legally repair credit problems. The FCRA was designed to protect lenders as well as consumers. In order to protect lenders from excessive costs relating to attempts to collect past due or delinquent accounts, the current credit scoring system was put into place. This scoring system attempts to identify those consumers who will repay loans in a timely manner. Many feel that the entire system is flawed, but it is currently the only one that we have.

Under the FCRA, lenders are not allowed to base decisions about creditworthiness on a person’s race or sex. This is not generally relevant to credit repair law, but if you feel that you have been discriminated against, you should report the discrimination and possibly contact a lawyer.

The portion of the FCRA which relates directly to attempts to legally repair credit scores has to do with disputing inaccurate, unverifiable, misleading and outdated information included in one’s credit report. People who are familiar with credit repair law often write books or create software programs which can assist consumers in disputing negative items on their credit reports. Some professional who are familiar with credit repair law offer services, as well. Some of the credit repair services are operated by lawyers and paralegals, while others employ credit advisors. There are credit repair clinics which have been shut down and others whose operations have been severely limited by the Federal Trade Commission. The Federal Trade Commission investigates complaints about any business or company, not just those which specialize in credit repair law. If, while attempting to legally repair credit problems, a consumer feels that a company has made false claims or misrepresented its services or activities, that consumer can report this to the Federal Trade Commission (FTC).

Employees of the FTC have published a complete copy of the Fair Credit Reporting Act. This document is over 80 pages long and cannot fully be covered in this article, but for anyone who is concerned about how to legally repair credit problems or is just curious about credit repair law, it may be worth reading in its entirety.

Some people may think that credit report review is unnecessary or too time-consuming to be worthwhile. However, identity theft is becoming more and more common and no matter how careful an individual attempts to be, there are other people who are handling consumer’s private information. Just recently the social security numbers and other private information of a large number of military personnel were put at risk when an employee took the information home. The information was later lost and has not been recovered. There are companies which will help customers monitor changes in their credit reports, sometimes through e-mail notifications. As with any other type of business, the fees and services provided by these companies vary. Some companies like Lexington Law which specialize in credit repair law and help consumers who are attempting to legally repair credit problems include identity theft insurance and credit monitoring services as well. The wise consumer will want to make sure that all fees are disclosed up front and look for a company that belongs to the Better Business Bureau.

Monday, July 03, 2006


Repair Your Credit--Click Here For Our Recommended Bad Credit Repair Service

A Brief Credit Repair Guide

Credit repair is a pretty popular topic right now. Credit repair advice is everywhere. Credit repair clinics, law firms and counselors offer services to those who interested in improving or protecting their credit scores. This is a brief step by step credit repair guide that may help to get you started.

The first step in any credit repair guide should be where to get copies of your credit reports. Many companies collect information about you and your credit history. The three major companies are Experian, TransUnion and Equifax. These are referred to as the credit bureaus or credit reporting companies. They collect information about you and sell this information to lenders. Much credit repair advice revolves around reviewing the information contained in these reports. You can obtain free copies of your credit reports once a year by visiting www.annualcreditreport.com.

Step two of our credit repair guide concerns the information you will need to view your credit reports on line. Not all credit repair advice will include this information, but we think it is relevant. Working on improving your credit score can be frustrating enough, without having to visit a site several times, because you did not have certain basic information to prove your identity. In order to verify your identity, you will be asked a few questions about yourself. You may want to have account numbers and banking information available. They will not ask you to enter this information, but they may ask you to confirm this information. They may also ask questions about previous addresses. This was difficult for me, because I have lived at the same address for over seven years and could not remember my old address. If for some reason, you can not access your credit reports on line, the credit bureaus provide toll free numbers and mailing addresses to use instead.

Step three of our credit repair guide is similar to the credit repair advice that you will see in most places. Review your credit reports for inaccurate, out-dated, incomplete or unverifiable information. Unverifiable is a term that a lot of information on your report may fall under. If you claim that information is inaccurate and the credit bureaus are unable to “verify” the information, then they will remove it from your report. Removing negative items from your credit reports should improve your credit score. Companies must be very careful about the credit repair advice that they give out. They should not recommend that you dispute information which is accurate and of course you do not want to dispute anything that is good or “paid as agreed”.

Step four of our credit repair guide involves communicating with the credit bureaus. Some of the credit bureaus allow you to dispute information on line. These sites are not particularly user friendly and reporting inaccuracies on line does not mean that they will investigate any faster. It generally takes thirty to forty-five days to receive a corrected copy of your credit report. This is why most credit repair advice includes words about being patient. While you may wish that you could improve your credit scores overnight, legal credit repair strategies will not work that quickly. In fact many government agencies and the credit bureaus themselves advise that only time and patience will improve credit scores. However, if there is inaccurate information on your report and you can get it removed, then you can decrease the wait time substantially.

Step five of our credit repair guide involves communicating with your creditors. If you have had a history of late payments, but you are now current, you may ask the creditors to remove the history of the late payments from your report. You can tell them that you are attempting to qualify for a low interest loan and you just need to improve your score by a few points. You can call your creditors on the phone or send them a letter. This is called “good will” negotiation. Some credit repair companies will prepare these and other letters for you. They charge a fee for this service and other credit repair advice, but if you feel that you are not a good communicator or do not have the patience to do it yourself, a reputable credit repair company is an option.

The last step of this brief credit repair guide is really just a bit of credit repair advice; don’t give up. You can improve your credit score. You can do it yourself or you can hire someone like Lexington Law Firm to help you. It may be frustrating and time consuming. There are some scams and schemes that you should avoid and if you do hire someone, make sure they outline their fees up front and clearly define the services that they can perform. We hope this credit repair guide will get you started down the road to better credit.