Bad credit is a problem faced by many, especially in today’s harsh economic climate. A poor credit score can have a negative impact on your financial well-being, often resulting in loan rejections or higher interest rates if you are lucky to get a lender. This is why most people turn to credit repair companies to help them fix their credit and raise their FICO scores. However, finding reliable credit score services can be difficult if you don’t know where to start. That’s why we came up with this site. In addition to our Credit Repair Directory, we also have valuable insight and information on how to best go about the process of finding a credit repair company. Let’s break down some specifics:
What to look for in the best credit repair services
It is often difficult to tell a trustworthy credit repair company from the rest of the pack. Here is a short guide to help you find a reliable credit repair services. Of note, some credit repair services only operate in select states, while other larger firms may work throughout the country. It shouldn’t make a difference either-way if a company only operates in one state or if they operate nationwide. There will always be pros and cons in this regard when looking for reputable credit repair companies.
Expertise and experience
Almost anyone can start a credit repair business. You just need to purchase a few software programs and you are in business. However, the programs will not provide you with expertise and experience in the industry. So the first thing you should check when shopping for a credit repair service is how long they have been in business. Your credit score is such an important aspect of your life to trust with someone who is not well experienced in the business. Choose a company that has been in business for several years. You can always check their Best Business Bureau (BBB) profile to know how long they have been operating.
Do they ask for upfront fees?
According to the Federal Credit Repair Organization Act, a credit repair company should NOT charge any upfront fees until the service is fully performed. Walk away from a company that asks for upfront fees. There are credit repair companies out that there that do a great job and only charge a fee after the service has been performed.
Does it have a physical location?
A company with a physical location looks more stable than one which only exists online. Likewise, a company operating behind a P.O Box address looks suspect. A physical address shows the company has the intention to provide quality services for a long time. Take time to check the company’s location via Google Maps to verify its physical address.
What payment options do they provide?
A reliable credit repair firm should at minimum accept payment via credit cards. At best, they should be able to process payments by credit card on their own rather than via third parties such as PayPal. You are better off avoiding credit repair services that accept cash or money orders only.
What other services do they provide?
When these companies first appeared on the market, their core service was handling credit bureau disputes. The method was useful in cleaning a client’s credit report but took a long time. It also never worked for most people because it only addressed 35% of one’s credit score. Things are quite different today. Credit repair companies should provide with extra services such as direct creditor disputes, credit score lessons, debt validation, and even a letter of goodwill. Find a company that provides all these services and more.
Avoid falling for fake promises
Many companies will give you promises that are too good to be true. They’ll tell you how they can legally create a completely new credit report for you or guarantee you 700 score and much more. It is illegal to do some of these things so don’t be fooled. Find a reputable credit repair company that tells you exactly what they can provide. Be realistic in your expectations too.