Credit repair is the process of correcting inaccurate, obsolete or incorrect information on a individual’s credit report. A true credit report is vitally important for getting any type of financial help. Inaccurate information can cause embarrassing situations like being turned down for a loan, credit card, job or even a lease or rental. It is highly recommended to have your credit report professionally adjusted by means of a credit repair company before you apply for any loans, credit cards, employment or any other financial transaction that requires a good credit score.
A credit repair program helps customers to dispute inaccurate information on their credit reports. This prevents the negative information from going onto your credit file which further lowers your credit score. Most credit repair companies are able to provide services in the local area. There are also companies that offer nationwide positive identity repair service and solutions.
The credit repair process starts by the customer making an inquiry to the credit reporting agencies. They check to see if there are any mistakes in the information they are getting from the three big credit reporting agencies: Experian, TransUnion and Equifax. If errors are found they contact the credit bureaus with the details. After the credit bureaus receive the details from the credit bureau, the customers are sent a notice informing them of the errors. The credit report companies then look into the claims and make certain that the errors are fixed.
Credit repair isn’t a simple task to accomplish, it takes patience and determination to handle disputes one . You will need to write or call your credit reporting bureau at least one time to report the disputed information. There are many reasons why the credit reporting bureau may not remove negative information from your credit file, ranging from errors to data that’s not even yours. Your primary objective is to get the negative information removed from your credit report to increase your credit score.
Credit Repair isn’t a one-time task. It’s a continuous procedure that has to be addressed. When you hire a credit repair service you should be ready for one or two weeks of correspondence between you and the credit reporting bureaus. During this period you will be informed of the progress each agency has made in resolving the negative information. When the negative information has been removed from your credit report that the credit repair service company will take over from there.
When dealing with credit repair you should make sure to read all agreements very carefully. In some cases it can be harder to fix certain issues if the credit reporting agencies need additional information, such as verification of employment. Always be sure that the agreement is clear on what you’re agreeing to and never agree to terms which you don’t understand.
In addition to working with the credit repair company to remove inaccurate information, you may also want to think about disputing credit report errors. Many individuals don’t realize they even have problems with their credit until they apply for a mortgage or a car loan. For lots of people this process won’t be complicated. They simply want to make sure that the information is accurate so they can avoid paying high interest rates or being denied credit due to incorrect information. If you discover any incorrect or false information on your report you can dispute it with the credit reporting agencies and have them remove it.
As soon as you have made the decision to use credit repair you must be proactive in monitoring your credit score and ensuring all negative items are removed. If you find yourself consistently having high interest rates or fees, you can start to challenge those negative things with the credit agencies. The credit agencies will attempt to verify the negative information by contacting the original creditor. In the event they can’t prove the item is inaccurate they’ll remove it. The challenge process requires a while and you may not have the patience to monitor your score constantly but once you start to see the numbers move in the right direction you’ll be happy you took the opportunity to utilize credit repair. Your credit score will start to improve and you’ll have the financial power you need to get the loan or credit you deserve!