FTC Credit RepairMany consumers are led to believe that everything the see on the internet about fixing credit in a hurry is true. The consumer must be aware of some of the dangers and pitfalls that are out there on the World Wide Web. The Federal Trade Commission (FTC Credit Repair Services) has very informative reviews and information on their site about Credit Repair Service Companies. Some tips that they mention on their site go a long way in trying to prevent fraudulent practices in having someone else fix your credit rating for you. Some of the signs of possible credit repair scams: Pay up front credit repair service companies that get your money before they provide any services. If they fail to give you a list of your legal rights and let you know what you can do yourself for FREE. Customers don't have access to their company representatives or have communications through a third party. Companies that suggest that you try to invent a "new" credit identity - and then, a new credit report - by applying for an Employer Identification Number to use instead of your Social Security number. Companies that advise you to dispute all information in your credit report or take any action that seems illegal, like creating a new credit identity. If you follow illegal advice and commit fraud, you may be subject to prosecution. While this list is a short list, it is wise to check every detail of a company before giving over your rights and later finding out that you were a victim of Identity theft. Things to research on your own are BBB reports, check for certification and verify the SSL of those on-line services. There are many good and reputable Credit Repair Services, and it is a shame that some credit reporting agencies frown on consumers trying to improve their credit through them. One reason is that the credit bureaus have been known to try tricking people into ruining their own credit repair. By working directly with the credit bureaus, you may end up incriminating yourself or going in the wrong direction with your credit rating. A letter proving this can be found here. The letter is from Trans Union, one of the 3 Credit Reporting Agencies that is a "stall" letter. By law they are only allowed 30 days to fix anything on your credit report. This letter was in an attempt to give the Credit Bureau more time to dispute the claimant's rights to clear his credit report. Just make sure you check everything out to be on the safe side. No one looks for Identity theft--only those who do it. If you have to go to a lawyer to find out more information, it will be money well spent. |