There are companies that conduct their operations against consumers with poor credit histories who promise them in return for a fee, to clean their credit records so they can get a loan for a car, a home mortgage, insurance or even a employment. The truth is that no one can remove accurate negative information from your credit report. It's illegal.
You need to know
When negative information contained in your credit report is accurate, all we can to ensure their elimination is the time. A reporting company can bring consumers the most negative information for seven years, and may report data for bankruptcy for 10 years.
If you receive an offer to repair or fix your credit problems, how can you determine whether it is legitimate? These are some signs that should trigger alarms:
"The company wants you to pay for credit repair services before providing any services.
The truth: Under the provisions of the law called Credit Repair Organizations Act, companies that provide credit repair services can not require payment until they have completed the promised services.
"The company does not tell what their rights are and what you can do yourself for free.
The truth: The law allows you to request an investigation of the information in your credit history to challenge inaccurate or incomplete. There is no charge for this research.
"The company recommends not to establish direct contact with any of the three major credit reporting agencies in the country (Equifax, Experian and TransUnion).
The truth: Under the provisions of the FCRA, both companies consumer reports as the provider of the information (ie, the person, company or organization that provides information about you to a company of consumer reporting ) must correcting inaccurate or incomplete information in your report. To benefit from all rights under the FCRA, contact the company in writing of consumer reports and the information provider.
"The company tells you they can remove most or all negative credit information registered on your credit report if that information is accurate and current.
The truth: All that credit repair company that claims it can legally remove your credit report accurate and current information is lying. There is no easy solution to credit problems. Improve your credit report will take time and require a constant effort to pay their debts.
"The company suggests that you try creating a" new "credit identity - and then a new credit report - by applying for an Employer Identification Number (Employer Identification Number) to use instead of your Social Security number .
"The truth: If you follow illegal advice can get into trouble. It is considered a federal crime to falsify information on a loan or credit application, misrepresent your Social Security number or get a Employer Identification number in the Internal Revenue Service Internal Revenue Service (IRS) under false pretenses.