Credit Repair

Stay Away From These Two Most Common Credit Repair Service Scams

First thing first, not all companies that offer are scams. Many reputed companies do offer legitimate solutions that really work. It is just that you must know how to differentiate the genuine ones from unscrupulous ones. Look at what they are offering. If something sounds too good to be true, the chances are that it really is. Following are the two most common scams that you need to beware of.

We Know Some Inside-Secret And Can Force The Credit Bureaus To Get The Negative Citations Deleted From Your Credit Report

There is nothing like an inside secret. There are only two things – awareness and ignorance. If a credit repair service provider claims to have an in with the credit bureaus and that they can get everything fixed instantly, they are telling a lie. Once you get into their trap, they will take your money and run away. Those who don’t run away will only deluge the credit agencies with disputes. Some specific debts may disappear temporarily from your report during the short period of time while the investigation is on. The company will then collect their fee from you, showing a clean report while you will earn frustration when you find the same debts showing up again on your report after the investigating authorities rule out your claims.

We Can Replace Your Old File With A New, Clean Credit Report

There is no way to do such thing legally. If someone does it, he/she is committing a felony (a serious criminal offence). Some firms try to build a new for their clients by asking them to apply for a new Employer Identification Number (EIN) or taxpayer identification number. You are recommended not to be indulged in any such act; you are very much likely to put yourself in serious trouble if you do so. The main reason why many people fall in this trap is their lack of awareness. Another reason is that the con artists never explain the whole scheme, which is actually based on faulty reasoning.

It is also important to note that as per the Credit Repair Organizations Act, it is illegal for companies that offer credit repair service to ask their clients for upfront payments before they do what they promise. Beware of those who are bypassing this federal law. Choose a company that does not ask you to make upfront payments.


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Posted in Credit Repair, Credit Repair Services | 2 Comments »

2 Responses to “Stay Away From These Two Most Common Credit Repair Service Scams”

  1. [...] the rising number of credit scams, it has really become a very difficult task to choose a genuine credit counselor who offers [...]

  2. michael says:

    Very clearly and wisely described. The Article is really wonderful. It is surprising that such companies are also present in market. I wish thanks to this website for posting such a knowledgeable article. Any individual who is suffering from bad credit report can easily be trapped with such companies because they offer such a sweet loly like they can get a new file with clean credit report for him/ her. One should be very careful to choose the company for credit repair. Searching for a genuine and reputable company is very important; you should talk to previous customers of the company. They can give you the true and exact information about the background of the company. Only you should decide to sign the agreement with the company and every thing should be in writing. You can go for recording. Also, it is a legal process in some states. Article tells you very true facts about the whole scenario. The whole process will be illegal if the company proves to be scrupulous. So, the selection of the company is key factor for doing the credit repair program. I request every one to go though this article before signing any agreement.

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