Credit repair software allows consumers to improve their credit scores and correct errors and other negative information on their credit reports. Consumers may choose to go about repairing their own credit, which can be achieved by accessing a free copy of their credit report from the credit bureaus. However, many find that doing so is very difficult because it requires so many steps and has such a long chain of command to go through. Also, people often become frustrated because credit repair companies often promise to have major results in very little time, only to later disappoint or take weeks to have an actual change. While some companies are legitimate and can help with credit repair, others are scams designed only to get your money for nothing.
Before consumers begin contacting the various credit bureaus they must first know what information they wish to obtain from each bureau Credit Repair Services. The three major credit reporting agencies are Experian, TransUnion and Equifax. Each agency provides slightly different information, but the credit bureaus essentially provide the same basic information. This information includes the consumer’s name, address, contact number, social security number, and other pertinent personal information.
Consumers must be sure to choose a company that requests the minimum amount of information needed for credit repair. This minimal amount covers the most errors on a consumer’s reports. Once the company has this information, it will begin to look through the credit reports one at a time to find any erroneous information. After it has identified errors, it will notify the credit reporting agencies. The credit repair organizations must notify the agencies within 30 days of finding the error in order to have the information removed from the credit reports.
Once the bad credit reports have been reviewed and corrected, the consumer is notified of their results. If the errors were corrected, then the credit score will be updated. If the errors weren’t corrected, then the consumer will need to re-apply for a loan or to ask for their current score to be re-evaluated.
Credit repair is one service many consumers use when they are victims of identity theft. Because credit standing is important to banks, landlords, and employers, they may require proof of the credit standing of an applicant. Once the repair process begins, creditors will investigate the application to ensure the person using the name listed on their forms is the same individual responsible for the bad credit report. Credit repair services may require the person to show proof of employment or verifiable proof of residence.
It’s important to remember that the negative impact on your scores does not occur overnight. Although negative credit reports can remain in your files for up to seven years, they will only stay that long if you don’t take steps to clean them up. You can lower your negative scores as much as five hundred percent by taking advantage of these services and getting your free credit report online. You may even qualify to get a free report with negative reports removed!