Credit repair is the process of correcting inaccurate, obsolete or incorrect information on a individual’s credit report. An accurate credit report is critically 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 lease. It’s advisable to have your credit report professionally corrected by a credit repair company before applying for any loans, credit cards, employment or any other financial transaction that requires a great credit score.
A credit repair program helps clients to dispute inaccurate information in their credit reports. This prevents the adverse information from going onto your credit file which further lowers your credit rating. Most credit repair companies are able to provide services in your local area. There are also companies that provide nationwide positive identity repair support and solutions.
The credit repair process starts by the customer making an inquiry to the credit reporting bureaus. They check to see if there are any mistakes in the information they are getting from the three big credit reporting bureaus: Experian, TransUnion and Equifax. If errors are found they contact the credit bureaus with the details. After the credit agencies receive the details from the credit bureau, the clients are sent a note informing them of the mistakes. The credit report companies then investigate the claims and make sure the errors are fixed.
Credit repair is not an easy task to accomplish, it takes patience and determination to manage disputes one by one. You’ll need to write or telephone your credit reporting agency at least one time to report the disputed information. There are many reasons why the credit reporting agency may not remove negative information from your credit report, ranging from errors to data that is not even yours. Your primary purpose is to have 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 needs to be addressed. When you hire a credit repair service you should be ready for one to 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 details. When the adverse 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 you read all agreements very carefully. Sometimes it can be more difficult to fix certain issues if the credit reporting agencies require additional information, such as verification of employment. Always be sure that the agreement is clear on what you are agreeing to rather than agree to terms that you don’t understand.
Besides working with the credit repair company to remove inaccurate information, you might also want to consider 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 find any inaccurate or false information in your report you can dispute it with the credit reporting agencies and have them remove it.
As soon as you have made the choice to utilize credit repair you must be proactive in monitoring your credit score and making sure all negative items are removed. If you find yourself consistently having high rates of interest or fees, you can begin to challenge those negative things with the credit agencies. The credit bureaus will attempt to verify the negative information by calling the original creditor. In the event they can’t prove the product is inaccurate they’ll remove it. The challenge process requires some time and you might not have the patience to observe your score constantly but once you start to see the numbers move in the right direction you’ll be happy you took the time to work with credit repair. Your credit score will begin to improve and you will have the financial power you will need to get the loan or credit you deserve!