Sometimes, unethical or illegitimate credit repair companies win customers with promises of boosted credit scores and blemish-free credit reports. When selecting a credit repair company, you should pay special attention to the methods the credit repair provider claims to use. Illegitimate companies will often claim impressive results, but will be very light on details.
So how do good credit repair companies do it? Here are the four methods CreditRepair.com uses to boost your score:
Analyze Your Credit Report
Quality credit repair companies diligently pore over your credit report – with your cooperation, of course – to identify the information that is potentially incorrect, unfair, or undocumented. Once every questionable item on your credit report has been properly identified, credit repair companies can begin taking action.
Disputing and Removing Negative Information
Once they’ve identified all the potentially incorrect information on your credit report, credit repair companies either dispute the item or request more information. They work directly with the credit bureaus and companies that have submitted information to your credit report.
If any of the negative items are incorrect or undocumented, they can be removed. A few examples of removable items on your credit report:
- Debts Older than Seven Years: Debts older than seven years cannot be used to calculate your credit score.
- Incorrect Information: Information that is false or reported in error – such as a late payment or a debt that never occurred or doesn’t exist.
- Fraudulent Information: Information that appeared on your report due to fraud or identity theft.
- Undocumented Information: Companies that submit information to your credit report must have the proper documentation to back it up. If they have no such proof, that item can be removed from your credit report.
This step can take a while, but the process will have a significant positive impact on your score.
Credit repair companies also identify the correct information on your report and use it to provide actionable intelligence that will help you boost your credit score.
Good credit repair companies provide educational materials, online dashboards, and other tools to give you custom advice on maintaining a healthy score and reach your credit goals.
For instance, let’s say you’re using too much of your credit card balance on one card – we would advise that you focus on paying down that credit card, and those changes will eventually translate into an improved credit score.
With advance reporting and alerts, credit repair companies like CreditRepair.com monitor credit scores in real time for changes. We alert our customers when significant changes occur, and provide them with online dashboards and apps to better monitor that progress.
This way, users can see the fruits of their labor and also identify if something goes wrong, and quickly take action to correct it, maintaining their boosted credit score.
With these methods, credit repair companies use proven, legitimate strategies to help you permanently boost and maintain your credit score, improving and securing your financial future and potential.