Identifying the legitimate credit repair company
Advertising Disclosure
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » Research » Guides » Building Credit History » Identifying the legitimate credit repair company

Identifying the legitimate credit repair company


Updated: December 26, 2012

By
Add to Favorites:
Repairing a bad credit history can be a tough job, since the entire financial planning has to be changed to suit the situation. Some people may need external help to fix the credit and make a financial plan that reduces the debt, in a much faster pace. There are many companies that help individuals who need to fix their credit scores, and bring them back in the good books of credit. Some companies take undue advantage of individuals in a debt situation and promise them to clear their debts and improving their credit scores. Legitimate companies can help people manage credit scores and strike a deal with the credit card companies, on the debt closure. Individuals must be informed about the fraud companies and recognize if the company is legitimate, before signing a deal with the company. Below are some tips to help people recognize a legitimate company. Communication All legitimate credit repair companies will have conversations with the credit card companies in the presence of their clients. They will at no point of time, suggest that the clients cut off communication with the credit card companies, and that they will handle all communication. If a company does this, then more likely, it is a fraudulent company. False promises Credit card companies cannot wipeout a complete credit history, or any entry in the credit history for that matter. Legitimate credit card companies do not promise the clients that they will erase the complete credit history and help them start afresh. Credit repair companies do not have the authority or access to do this. All that the credit repair companies can do, is to help the clients come to a settlement with the credit card companies regarding the outstanding balance, and help them reduce it as much as possible. Some credit repair companies ask their clients to apply for credit cards without issuing a social security number. This is a sure sign of the company being fraudulent, since it is not legal to do so. Also, they may suggest the clients to purchase a credit card from them in order to fix the credit score. The new credit card, unless a balance transfer card, does not help build a new credit history, but in turn add to the existing debt condition and contribute to bad credit score. Payment A big give away about a credit repair company is the way it handles the payments. Legitimate credit repair companies never demand complete payment unless the service is first provided. They may require an advance amount, but never the complete settlement of the bill. If a credit repair company demands a complete settlement from the client, it is more likely that the company is a scam. It is always better to get a comprehensive list of services that the company promises to provide as a contract, before even paying the advance amount. Repairing credit is more an individual effort than a company`s. Before choosing a company to fix the credit, it is a good idea to try to fix a financial plan and try it for some time.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

5 Reasons to Get the Capital One Venture Miles Rewards Card

By Herbert Moore, Posted: January 18, 2017

If you’re looking for a great travel rewards credit card—one that offers unlimited earning opportunities, flexible redemption, and lots of perks—look no further. This card from Capital One has you covered. Continue reading

Credit Card Tips For Holiday Shopping 2016

By Herbert Moore, Posted: November 23, 2016

November and December are the busiest months as gift shopping reaches its peak. People rush around looking for the best gifts and the best deals leaving a lot of money in the shops. Holiday season may force you to go over the household ... Continue reading

Credit Cards to Save More on Holiday Shopping

By Herbert Moore, Posted: November 22, 2016

Discounts and special offers are available all year round. Werther you are a bargain hunter or an impulse buyer, make sure you check online discounts and special offers. Also, if you are a cardholder, see if your credit card opens the door ... Continue reading