Legitimate Credit Repair Services

Credit repair can be a difficult and confusing process. Legal credit repair services do not engage in making false promises, suggesting illegal practices, or skirting the rules governing legal credit repair services as contained in laws, Acts and rules such as the those defined by the Credit Repair Organizations Act.

Consumers wishing to access legitimate services to address bad credit reports often find the selection of a genuine company confusing and next to impossible. This is understandable, considering the quantity of companies offering credit repair services searchable on the Internet. The information on this page is intended to help consumers find legal credit repair services, by helping them understand the very basics of what can be lawfully achieved through credit repair.

What Legal Credit Repair Services Can Do

Legitimate credit repair centers around removing inaccurate, out of date, and unproven items from your credit reports. Credit repair companies are bound by several laws, Acts, and rules, some of which are specifically intended to protect consumers who seek a legal means to remove false items from credit reports. These Acts also demand compliance both from companies that offer credit repair services, and Consumer Reporting Agencies who collect and sell credit information about you.

Due to the complexity of the laws governing the credit industry, many feel that hiring lawyers and paralegals is the best method to ensure you're getting legitimate credit repair services. Doing so also ensures that you are being provided with services from individuals who understand the many complexities contained in the laws governing credit repair. This is sound advice for those seeking to repair their credit reports in accordance with the law.

Look for these signs to spot an illegitimate credit repair company:

1. Beware of False Promises

Repairing credit reports takes time and effort. Any company that suggests they can fix your credit in under 30 days is a fake. Any company that guarantees that they can fix your credit report is a fake. No legitimate provider of credit repair services can guarantee anything until they have looked at your credit reports to assess what, if any, negative information they contain.

2. Removing Accurate Items

There is no one, and no credit repair company, that can remove accurate information from your credit report. This is true whether they are lawyers, paralegals, accountants, or anyone else. Only items that can be proven false or out of date can be removed from credit reports.

3. Suggesting Illegal Actions

Any company that suggests you apply for a new social insurance number or name change is a fraud. Doing so is illegal. These companies are not only breaking the law, they are suggesting you do to!

4. Free Credit Report Frauds

September 2006 marks the one year anniversary of a new program that was mandated by Congress through the Fair and Accurate Credit Transactions Act of 2003. This program was phased in across the country, and as of last September, every area was entitled to free credit reports from the three Consumer Reporting Agencies annually. Learn about this Act on our free credit reports page.

The FTC has worked diligently to inform consumers that there is only one place to request these credit reports. However, fraudulent companies continue to proliferate the Internet, demanding payment for reports and/or automatic signup to credit repair programs. These websites and programs are not legitimate. Learn more from the FTC's free credit reports webpage.

Help Finding Legal Credit Repair Companies

There are steps everyone should take before hiring any company to repair their credit. These include:

1. Only hire a legitimate credit repair company that provides you with a working telephone number and company office address.

2. Check the history of the company through the Better Business Bureau website. Type the name of the company and it's address into the BBB search webpage.

3. Ask for legitimate references. Do not only rely on ‘testimonials’ provided on the website.

4. Do not pay one cent until you've received the credit repair services agreement in writing, and have read through it carefully.

When considering professional credit repair services, consider using a company that employs lawyers or paralegals who understand the laws and rules that govern the industry. Also consider professional debt help in order to lessen your bills.