Did you know that helping yourself to repair your own credit may just be the best option you have? You see credit repair agency advertisements in the newspapers, on the television and across the internet. Radio jingles, flyers in the morning mail. Even calls from telemarketers plying their wares. They all make the same claims:
o "Credit problems? Do not worry, we can help you!"
o "We can erase your bad credit – yes, we 100% guarantee it."
o "Create a new credit identity – legally; without breaking the law."
o "We can remove judgments, bankruptcies, liens, and bad loans from your credit file forever! Leave it with us!"
But, you just should not believe these statements. Save your money, do yourself some good. With a little conscious effort, time, and a personal debt repayment plan you will improve your credit score and future ability to borrow.
Every day, companies across the country appeal to consumers with poor credit histories. They promise, for a fee, to clean up your credit report so you can go out and buy all the nice things in lie again. A new car, fancy holiday, house improvements, a mortgage, insurance even a job. Your credit is vital it looks to your very existence.
The 'credit repair' business is big business! They seem to 'know the score', no pun intended! But the truth is, they can not deliver. Most of these companies, rather than repair or delete your bad credit history, simply run away with your money. Yes, scary indeed.
Take Heed though …
If you decide you are interested in a credit repair offer then it is in your best interest to pay attention to these tips beforehand:
o companies that will only provide you with their credit repair services after you have paid them for their service.
o companies that would prefer to avoid telling you your legal rights and that many options you have are actually free.
o companies that even recommend that you do not directly contact a credit reporting company.
o companies that go as far as to suggest that you try to invent a "new" credit identity – and then, a new credit report – by applying for, and using, an Employer Identification Number instead of what you know you should be using, your Social Security number.
o companies that ask you to follow illegal advice and commit fraud by first disputing all information in your credit report, twisting the truth or take any action that looks illegal, like creating a new credit identity, which, yes, is totally fraudulent.
Providing false information when applying for a credit card or a loan, to misrepresent your Social Security Number, or to apply for your Employee ID number under false pretenses, are all federal crimes. Do not even go down that path.
The good news is that under the Credit Repair Organizations Act, credit repair companies can not require you to pay until they themselves have completed the services they have promised you.
Tread carefully when using a credit repair agency; often all is not what it seems to be.