Credit repair costs nothing if you take care of the process yourself. There's nothing a credit repair company can do for you that you can't do on your own. Maybe you're dealing with sky-high interest rates, oppressive fees, or you just can't find the loan you need because of your bad credit. But with a legitimate credit repair company, such as those listed below, you can correct any inaccuracies reported to a credit bureau and get your credit rating in better shape.
Each credit repair service below will charge a monthly fee for its services. The services you receive will vary depending on the credit repair company and the level of service you choose. While all of these companies will file disputes with each credit bureau on your behalf, some also offer credit monitoring, credit counseling, identity theft detection services, debt validation letters, goodwill letter submissions, and dispute letter writing, among other services. While both levels provide you with a professional credit analyst, the basic level only takes into account dispute letters and follow-up.
The premium tier will give you credit score monitoring, goodwill letter presentations, unlimited challenge validation letters, and a final recommendation letter. This agency states that many clients see results within 15 to 30 days because the firm immediately begins sending validation letters of disputes and debts on their behalf. The credit firm offers a reasonably comprehensive service for one of the lowest monthly costs on this list. Clients are assigned a credit repair specialist who is supervised by a licensed attorney.
New customers have a five-day money-back guarantee to try the service. If they are not satisfied, they can receive a full refund of the initial fee. Each month, the credit repair service you hire will file a set number of dispute letters on your behalf. Credit reporting agencies have 30 days to investigate and resolve each dispute.
This means that your credit repair process can take several months to complete, depending on the number of disputes you need. And since there is no way to know how long your disputes will last, most agencies charge per month. In most cases, you can cancel your service and stop making payments with a 30-day notice. No company in the credit repair industry or any credit repair software currently available on the market can completely erase your credit profile.
If you have legitimate negative elements on your credit reports, such as late payment, default, or bankruptcy, you will have to wait until those items expire on your reports. This can take between two and 10 years, depending on the type of negative element. A credit repair company can only dispute the inaccurate elements of your credit report and challenge its creditors to verify the legitimate elements. It is illegal to claim that a legitimate item is inaccurate when submitting dispute letters.
In some cases, a repair service may file a letter of goodwill on your behalf requesting a debt collector to withdraw an accurately reported negative item. This is not a guaranteed process and it is entirely up to the debt-holder to accept or deny the application. The time you'll need to repair your credit will depend on the amount of work you need to complete. For example, you may find that it takes a month or less to remove some inaccuracies from your credit report.
Deeper disputes may take longer. When you file a dispute through a credit bureau, that agency generally has 30 days to investigate the claim and issue a judgment. Most credit repair services limit the number of disputes they will file on your behalf each month. This means that you may have to wait several months to file all the necessary disputes.
A credit repair service can legally request the removal of any inaccurate information from your credit report. This can be as simple as misspelling your name, address or Social Security number or something much more complex, such as accounts added to your name due to identity theft. You should doubt any credit repair service that claims they can remove legitimate items, erase your valid debts, or completely clean your credit history. This is usually a sign of a credit repair scam and rarely leaves you with a clean credit rating.
Instead, these fraudulent companies often clean your bank account and execute. If you have negative elements on your credit report, it may be helpful to hire an experienced credit repair company to handle this complex work for you. The credit repair industry is usually full of reputable companies that can help you repair your credit. However, some bad apples claim that they can erase your credit history or promise that you'll leave with an excellent credit score.
In the end, these services always turn out to be a credit repair scam. The cost of credit repair services is a small price to pay to hire a legitimate credit repair company that takes into account your best interests. These companies want their credit rating to improve through legal means. While the monthly payment may seem high, it's a minimal cost compared to the amount you'll pay in interest, fees, and charges if you live with bad credit.
Consider credit repair as an investment in your future. Your Best Alternatives to Lexington Law Credit Repair. This could save you some money on upfront fees, which most credit repair companies charge every time you start using the services. When looking for the right credit repair company for you, it's a good idea to review the CFPB's complaint database and check how many, if any, complaints have been filed against that particular company.
Under the Credit Repair Organizations Act, only an attorney licensed to work in your state can file disputes on your behalf. Credit repair can be free or it can cost more than a thousand dollars, it's up to you how you want to handle it. Credit Saint offers a free consultation to assess your unique situation, your credit scores from the three main bureaus and to identify the next steps you need to take. There, you can track the progress of your account in real time and get updates on your credit report and credit score.
But the lower cost makes sense when you realize that this service allows you to perform your own credit repair tasks. The company's software uses artificial intelligence to scan your credit reports for negative elements that are reducing your credit score. If you don't take any steps to improve your credit score, it may be a while before your credit score improves (if it ever does). Instead of paying a company to send dispute letters to credit bureaus, which you can do online at no cost, you can use that money to pay any delinquent obligations, outstanding collections or credit card debts.
This is because credit repair companies can only help eliminate errors; they cannot delete harmful but correct information. When evaluating credit repair companies, you should compare the services they offer and their initial and monthly charges. Other companies offer credit rating updates, and because your score may take a few months to update, they advise you to stay on record at all times while you pay monthly installments until you see the changes reflected in your credit report. All plans include access to The Credit Pro mobile app, which allows you to review disputes, receive real-time updates, and monitor your credit score and report.
Check your credit score within a month or two to see if it has changed (not all errors will affect your credit rating). . .