Know much about your credit report? Most people don’t. However, your credit report is essential when you apply for a vehicle loan, need a mortgage, apply for insurance, or even apply for jobs. With so much of our livelihoods wrapped up in our credit scores, and with so much at stake, it is essential that your credit score be accurate and good. If it is neither of these two things, it behooves people to improve their credit score as much as possible, whether through correcting incorrect information or trying to repair bad credit.
Most people don’t understand fully how credit scores work, making them easy targets for predatory companies who advertise that they can improve credit score or wipe out bad credit once and for all. No matter what they tell you, no organization or individual can improve a credit score quickly. The only way to improve a credit score is by being responsible and making sure that your credit scores are based on correct information. If the information on your credit report is accurate and true, it stays. If it’s negative (a few missed payments, etc.) you’re stuck. Only time and good behavior will improve your credit score.
If you know what to look for, you can figure out fairly easily whether or not a credit counseling agency is legitimate. If you feel that you may need to seek the help of a credit repair agency to improve your credit score, keep in mind that there is no quick fix. Also keep in mind that some companies are only out to make a quick buck and do not have your best interests at heart. However, there are also many legitimate companies who will give you the tools necessary to improve your credit score over time. Here are a few ways to determine whether a credit repair agency is ethical or unethical:
The agency wants you to pay fees up front before services are rendered. This is illegal. The Credit Repair Organizations Act forbids an agency from requiring customers to pay until they have performed the services they promised.
The organization does not tell you that you can repair and improve your credit score on your own for free, with no fees or third party involvement. Lack of free educational materials is a surefire sign that the agency does not have your best interests at heart.
The credit repair agency insists that you not contact the three credit companies to obtain your score
The company tries to convince you that they can wipe out any negative marks on your credit score. This is impossible, unless your report contains solely incorrect information, which is rarely the case.
The organization suggests that you dispute your entire credit report. See #4.
Many of these activities listed are considered fraudulent. If you participate in them, you could be committing a federal crime. It is imperative, therefore, that you ensure that the agency you work with is legitimate and participates in legal activity to improve your credit score.
Since 2001, Caravan Credit Services has helped thousands of clients struggling with credit problems to improve credit score. An easy, two-minute sign-up will get you on the road to restoring and improving your credit with no contract, no money down, and you can cancel anytime. Caravan Credit Services is licensed and bonded and provides results. Contact Caravan Credit Services at800.617.3417 or visit http://www.caravancredit.com/to learn more.