Finding the Best Credit Repair Company

Finding the best credit repair company may seem difficult for you. You've probably heard of someone who had a bad experience with a credit repair organization. You may have even had a bad experience yourself.

The company probably promised to delete all of the negative items from your credit reports within 30 days. They may have promised to increase your FICO credit scoring by 100 points or required you to pay money for services not yet performed.

Credit Repair Scams

Well the truth is, unfortunately there actually are credit repair scams and unscrupulous credit repair organizations that will make such promises in violation of the Federal Credit Repair Organizations Act. But chances are you've probably had bad experiences with car repair facilities, tax preparation services, or dentists as well. Every industry has some bad apples. Credit repair is no different. But you do have choices.

There are all types of credit repair organizations: anywhere from the small guy posting signs on the street to non-profit organizations or huge national law firms. Each offering various types of credit repair services ranging from $29.95 per month to $5,000 to improve your credit.

With so many ads and misinformation out there, you may be asking yourself "How can I find the best credit repair company?" Or "Who can I trust to help legally improve my credit?" Or you may even be wondering "is credit repair legal?"

First of all, to find the best credit repair company, get to know your rights under the Federal Credit Repair Organizations Act, which governs the activities of every credit repair organization. Most states also have their own state laws concerning credit services provided in their respective states.

Here's a summary of some of the key provisions of the Federal CROA:

1. Credit repair organizations cannot make false statements or misrepresentations.
2. They cannot advise you to create a false social security number or a tax identification number to get new credit.
3. They must provide you with a written contract explaining the services to be provided and the cost of the services.
4. They must provide you with 3 copies of written notice of your right to cancel the contract for services within 3 days.
5. They have to provide you with written notice that you yourself can dispute items that are inaccurate, unverifiable, or beyond the legal reporting period.

The best credit repair companies fully comply with the Federal Credit Repair Organizations Act. You should also know that as one of several credit industry government regulators, the Federal Trade Commission regulates the activities of credit reporting organizations. So if you encounter unscrupulous credit repair organizations you can file a complaint with the FTC.