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. However, with a legitimate credit repair company, such as those listed below, you can correct any inaccuracies reported to a credit agency and improve your credit rating. Each of the credit repair services listed below will charge a monthly fee for their 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 agency on their behalf, some also offer credit monitoring, credit counseling, identity theft detection services, debt validation letters, sending goodwill letters, and writing dispute letters, among other services.
While both levels provide you with a professional credit analyst, the basic level only includes challenge letters and follow-up. The premium level will allow you to monitor your credit score, send letters of good will, validation letters for unlimited challenges and a final letter of recommendation. This agency states that many customers see results within 15 to 30 days because the company immediately starts sending dispute and debt validation letters on their behalf. Credit Firm offers a reasonably comprehensive service for one of the lowest monthly costs on this list. Clients are assigned a dedicated credit repair specialist who is supervised by a licensed attorney.
New customers have a five-day money-back guarantee to try out 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 certain 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's no way of knowing how long disputes will last, most agencies charge monthly. In most cases, you can cancel your service and stop making payments by giving 30 days 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 items on your credit reports, such as a late payment, default, or bankruptcy, you'll have to wait for those items to 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 challenge the inaccurate items on your credit report and challenge your creditors to verify the legitimate items.
It is illegal to claim that a legitimate item is inaccurate when submitting dispute letters. In some cases, a repair service may submit a letter of goodwill on your behalf requesting a debt collector to remove 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 request. The time you'll need to repair your credit will depend on the amount of work you need to do. For example, it may take you a month or less to eliminate some inaccuracies from your credit report.
Deeper disputes may take longer. When you file a dispute through a credit agency, that agency generally has 30 days to investigate the claim and make a decision. 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 company can legally request that any inaccurate information be removed from your credit report. This can be something 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 question any credit repair service that claims they can remove legitimate items, erase your valid debts, or completely clear your credit history.
This is usually a sign of a credit repair scam and rarely leaves you with a clean credit score. Instead, these fraudulent companies usually clean your bank account and flee. If you have negative items on your credit report, you could use an experienced credit repair company to handle this complex work for you. The credit repair industry is generally 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 your interests into account. These companies want their credit rating to improve through legal means. While the monthly fee may seem high, it's a minimal cost compared to the amount you'll pay in interest and charges if you go through life with bad credit. Consider credit repair an investment in your future. Instead of paying a company to send challenge letters to credit bureaus, which you can do yourself online at no cost, you can use that money to settle any overdue obligations, outstanding charges, or credit card debts.
There, you can track your account progress in real time and get updates to your credit report and credit score. It helps you assess your credit history and guides you through the process of submitting and following up on credit dispute letters. These things can lower your credit score, stop you from competing for a loan or credit card, and their primary function is to advise you on the credit repair process and provide ongoing support when you dispute inaccurate information. However, paying an outside credit repair company to remove negative information sooner can cost hundreds or even thousands of dollars and won't remove anything from your report that isn't already inaccurate or outdated.