- The fee charged by a credit repair service will give you an idea about its legitimacy. A genuine company will charge you small fees for its services. Whereas a fraud company will try to take large amount of money from you as upfront payment.
- Do not fall for impossible promises. Some of the companies promise that they can get anything removed from your credit report which is not possible. Any genuine charge like bankruptcy, liens, and other derogatory items cannot be removed from report before they have served their time. Bankruptcy stays on the credit report for a minimum of 10 years and a tax lien would stay for 7 years.
- The members of the National Foundation of Credit Counselling (NFCC) have to follow certain Industry approved practices. You can check if the credit repair service is a member of NFCC and check their accreditation with Council of Accreditation (COA).
- In case you come across an unethical credit repair company you must report it to Federal Trade Commission.
- You can check if the company you are dealing with is licensed with your state’s Attorney General’s office.
- Check if the company has any outstanding complaints with the Better Business Bureau.
Those with a bad credit report know the difficulties one has to face due to this. Many take the assistance of reputed credit repair services in order to improve their credit score. With the increase in the number of people seeking these services there has been an increase in the number of such companies. While many are legitimate repair service companies some of them are frauds who are just waiting to get away with your money. So hoe doe one identify a reputed credit repair service?
