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Credit Repair Company - Choose the Right One

By Expert Author: Matt Douglas | Article Abstract
Word Count: 418 words | Views: 66 view(s)
A lot of credit repair companies say they can fix any credit report. All the person has to do is hire the company and their credit problems are fixed. Is this true?

Unfortunately no, it's not. There are fraudulent credit repair companies that prey on people with bad credit. It is said that fraudulent companies have taken over 50 million dollars from the consumers.

This is done because when your credit is bad you are in a vulnerable position. You can pay high fees and interest or you can fix your credit history.

Can results be guaranteed? No and when a potential credit repair company makes a guarantee this is a big red flag indicating that company to be fraudulent. I would not recommend hiring any company that makes any guarantees.

A guarantee from a credit repair company is similar to a defense attorney guaranteeing their services. It is just not possible.

Instead while looking for a credit repair company, look for warranties or refunds if results don't occur. Also do your homework and see what is being said about the potential company by other people. This is a good indication of what you should expect.

There are credit repair companies that can be trusted and will fight to repair your credit. These companies are typically more effective than an individual because they are familiar with the credit bureaus and their tactics to avoid conducting investigations into disputed listings. A credit repair company can also file a lawsuit on your behalf if it is absolutely necessary, thus credit bureaus are typically more responsive to professional companies.

Credit bureaus rarely investigate dispute requests because it costs the bureaus money. It also goes against the goal of the credit bureaus which is to provide lenders with a measurable value on the likelihood of the individual repaying the credit line.

Another good reason to hire a good credit repair company is because the credit bureaus are such huge organizations. All three credit bureaus (equifax, experian, and transunion) are large bureaucratic companies that all earned in the billions of dollars in 2006.

Thus being an individual you are more likely to be given the run around or your disputes or have them filed as frivolous and ignored. However the Fair Credit Reporting Act says that a credit bureau must investigate disputed listings. Sometimes the credit bureaus need a friendly reminder to conduct these investigations. An effective friendly reminder often comes in the form of a letter written by an attorney that reminds the credit bureaus of the Fair Credit Reporting Act.
Matt Douglas

About the Author/Author Bio

To learn more about online credit repair or lexington law a professional credit repair service or to get a free custom credit repair letter for do it yourself credit repair visit us.

Article Source: http://www.articlesphere.com/Article/Credit-Repair-Company---Choose-the-Right-One/160377

Article Submitted: 2008-08-18 | This Article has been viewed 66 times.

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