3.1 Billion Reasons to Avoid a Credit Repair Company

You can do all the work yourself for free

Andy Spears

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Photo by Gabrielle Henderson on Unsplash

Maybe your credit score isn’t what you want it to be. You may have a bad debt or an account in collections because of a past mistake.

You want credit — say to buy a car or even a home — but you know that your score could be an impediment.

Landlords often check credit before deciding to rent, so you know even this transaction can be problematic if your score is not “where it should be.”

Then, you see an ad for a credit repair company. They offer to help you negotiate with the credit bureaus and improve your score — sometimes even offering a certain points boost as possible with their services.

Do NOT be deceived.

First, almost everything a credit repair company offers to do for you you can do yourself.

You can challenge bad or illegitimate debt with letters to the credit bureaus.

You can settle with creditors and get debts in collection removed — yes, a settlement goes on your record, but once you pay, your delinquency ends and you can move forward with time.

You can ask any creditors for debt validation letters. If they can’t produce these, you can ask the bureaus to remove the debts/claims.

You can monitor your credit report for FREE and flag any unrecognized accounts/claims.

Sure, this is a bit of work. But, it’s all free.

A credit repair company can’t make time go faster.

The number one way to improve your credit score is time. The longer the time between your last delinquency and now, the better your score will be.

The more months of consistent, on-time payments of existing accounts, the better your score will be.

This takes time.

A recent story about two prominent credit repair businesses highlights the problems inherent…

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Andy Spears

Writer and policy advocate living in Nashville, TN —Public Policy Ph.D. — writes on education policy, consumer affairs, and more . . .