Discover 5 Things To Know Before Hiring A Credit Repair Service
1) The latest figures show that an average American has a credit score of 677. The difference on monthly or yearly payments with a credit score of 677 and 720, for instance, is an average savings of $421 per month or $5,052 per year (i.e. house payments, car payments, credit cards, etc.).
2) Many people often wonder if credit repair really works, and the short answer is , "Yes, definitely." The U.S. Public Interest Research Group released a report in June 2004 saying that 79% of the consumer credit reports surveyed contained some kind of error or mistake. Even today, million of erroneous items have been removed from credit reports, and tens of thousands get deleted daily, including collections, late payments, bankruptcies, and foreclosures.
3) Most people have never heard of The Fair Credit Reporting Act that guarantees the credit repair process to you, the customer. To avoid being scammed demand the credit repair company to comply with The Fair Credit Reporting Act.
4) Be sure to ask for a written contract that spells out your rights and obligations. The Credit Repair Organizations Act guarantees that credit repair organizations must give you a copy of the "Consumer Credit File Rights Under State and Federal Law" before you sign anything.
5) Read these documents before you sign anything. And before signing, know that a credit repair company cannot:
* Claim facts about their services that are false
* Take your money unless they have finished the promised services (Not half way; but completely)
* Perform any services until they have your signature on a written contract and have completed a three-day waiting period
You have the power and right to cancel the contract without paying any fees during this three-day waiting period.
Be sure the contract specifies:
* The payment terms for services, including the total cost
* The services the company will perform with colorful details and easy-to-understand description
* The total length of time to achieve the result (Otherwise, they can keep charging you for more than you intended)
* All the company's guarantees
* Company name and address
2) Many people often wonder if credit repair really works, and the short answer is , "Yes, definitely." The U.S. Public Interest Research Group released a report in June 2004 saying that 79% of the consumer credit reports surveyed contained some kind of error or mistake. Even today, million of erroneous items have been removed from credit reports, and tens of thousands get deleted daily, including collections, late payments, bankruptcies, and foreclosures.
3) Most people have never heard of The Fair Credit Reporting Act that guarantees the credit repair process to you, the customer. To avoid being scammed demand the credit repair company to comply with The Fair Credit Reporting Act.
4) Be sure to ask for a written contract that spells out your rights and obligations. The Credit Repair Organizations Act guarantees that credit repair organizations must give you a copy of the "Consumer Credit File Rights Under State and Federal Law" before you sign anything.
5) Read these documents before you sign anything. And before signing, know that a credit repair company cannot:
* Claim facts about their services that are false
* Take your money unless they have finished the promised services (Not half way; but completely)
* Perform any services until they have your signature on a written contract and have completed a three-day waiting period
You have the power and right to cancel the contract without paying any fees during this three-day waiting period.
Be sure the contract specifies:
* The payment terms for services, including the total cost
* The services the company will perform with colorful details and easy-to-understand description
* The total length of time to achieve the result (Otherwise, they can keep charging you for more than you intended)
* All the company's guarantees
* Company name and address
About the Author:
About The Author: David Wada, who has been repairing credit in Northern California for thirty years, has written a very practical guide to de-mystify Credit Repair Companies. For a limited period, you can access a free copy by visiting his Credit Repair Companies
posted by Credit Counseling at
7:27 PM
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