Tips for Repairing Your Credit Report

Having a credit score that is less than perfect is quite common these days. A single late or missed payment can drop your credit score by up to 100 points! There are techniques to bad credit report repair that you can learn to fix your bad credit. While it's easy to see it slip, it is just as simple to raise it up - if you follow the advice given here.

Tip 1: You need to pay down your credit card balances.

The algorithm that dictates your credit score weighs the difference between your available credit and your credit in use very heavily. If you have credit cards that are maxed or near maxed, then you need to do more than pay the interest on them each month. Make some sacrifices and start reducing the principal amount on them. The most that you should have on any one card at any time is bout 30% of the maximum limit allowed. When you have credit that is available to you that you are not using, it makes you look like you practice restraint and shows responsibility. Credit score algorithms like that.

Tip 2: Break out some of those older credit cards and use them.

The longer that a credit account is in good shape for, the better it weighs on your credit score. If you have older credit cards that are still valid, but you haven't used them in a while, use them. Charge up to 30% of the maximum limit and then pay it off promptly and in full. This way, these actions get reported to your credit bureaus and make you look like a well-established credit champion!

Tip 3: Dispute negative items on your credit report.

You are entitled to a free copy of your credit report from each of the three major credit reporting agencies once every year. They are: Experian, TransUnion, and Equifax. So, once every four months, request a copy from one of them. This way, you are always in the know about your credit situation.

Go through them each time you get one and dispute every the negative items on them. It is your legal right to dispute any negative claim against you. By disputing an item, you are exercising your right to have the claim verified. This is the responsibility of the credit reporting agency since they are the organization selling your information for profit. It is their responsibility to verify the information that they are selling.

They must verify each claim disputed in a reasonable time frame of 30 to 45 days or they have to strike it from your report. Now, about 40% of these disputed claims do not get verified in time. This is the single most powerful method of bad credit report repair. Use it to your advantage and use it often. Make sure to submit your dispute forms via certified mail at the busiest business times of the year.

These are just a few of the ways that you can engage in bad credit report repair. All it takes is attention, diligence and then some patience. Bad credit report repair is your legal right and something that you should do regularly!


Learn how to repair your credit at AAACreditGuide.com. Check out the best credit repair companies at Top-10-Credit-Repair.com.

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Bad Credit Report Repair-- Solving the Problem

By : Mark Henry

It is possible to fix your bad credit, with time, patience and determination. The first step in repairing poor credit is fixing any problems you may have with money.

1) Get a credit reports on yourself and check out what is on them. To get yours free go to www.annualcreditreport.com. You are allowed by U.S. law to get a free copy from each of the three major credit companies once every 12 months.

2) Once you have your credit reports, check them for accuracy. If there are any errors or things you disagree with, you are entiltled by the Fair Credit Reporting Act law to dispute anything in the report that is not accurate. Write to the credit reporting company and explain what the problems are. They will then investigate the matter and let you know what happens. If they find the information is not accurate, they will fix that on your credit report.

Unfortunately you can't remove anything negative that is accurate information about you. Only time can do that. But adding more good information does help.

3) If your credit needs repair, start work on it now. Start paying off old unpaid debts and loans, starting with the smallest ones.

4) Start paying more than the minimum payment on your current credit card payments.

5) Do not get into any new debt. This is essential. Make it a priority to get out of debt. Cut up (or lock up) the credit cards, if they are a problem for you. Make it a commitment to become debt free.

6) Live within your means. Make a budget and live by it.

7) Start saving money. If you have poor credit, it is much easier to buy a home or a car with a cash down payment, than without one.

There are many sources of help available. Consumer Credit Counseling Service is one of the best for help repairing credit and getting debt under control. Their website is located at http://www.creditrepairsoft.com. Consumer Credit Counseling Service provides budget counseling, educational programs, debt management assistance and housing counseling. There are also many local branches of this nonprofit organization, so check for one near your location.

There are many "for profit" organizations that will help you with debt consolidation loans, but beware! They often are very expensive. You can get free reliable help that you can trust from a non-profit organization like Consumer Credit Counseling Service instead of paying hundreds of dollars to one of them. Or, you can educate yourself and do it for free.

Some other good places to go online for more credit and financial advice are listed on my website at www.creditrepairsoft.com


Mark Henry is the author related to Credit Repair Software, Bad Credit Repair Credit Repair Software Kit only at creditrepairsoft.com. Buy Credit Repair Software to repair your credit rating, to raise your credit score and to maintain an excellent credit score.

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Credit Report & Repair Scams

Credit Report & Repair Scams

Newspapers, radio, TV and the Internet are filled with advertisements that offer for a fee to erase accurate negative information in your credit file. The credit repair scam artists who run these ads can't deliver. Only time, a deliberate effort, and a plan to repay your bills will improve your credit history record. This section is designed to help you understand credit reports and credit repair scams.

Credit Reports

Does your credit report accurately represent you? A recent study conducted by the Public Interest Research Group (PIRG) found over 70% of credit reports contain errors. Among the principal findings of the report were the following:

• Twenty-nine percent (29%) of the credit reports contained serious errors that could result in the denial of credit."
• "Serious" errors included false delinquencies, public records or judgments that belonged to a stranger, or credit accounts that did not belong to the consumer; Seventy percent (70%) of the credit reports contained mistakes or errors of some kind, also including the following:
• Forty-one percent (41%) of the credit reports contained incorrect personal demographic identifying information; Twenty percent (20%) of the credit reports were missing major credit cards, loans, mortgages, or other accounts that are critical to demonstrating consumer credit worthiness.

Consolidate debt your debt now free -- quote now!

One of the first steps to credit repair, is understanding credit reports. When applying for mortgages, home loans and refinances, one of the most important factors in determining whether or not you will be approved is your credit. This is true for other important factors as well, such as obtaining lower interest rate auto loans and credit cards. Good credit can open many doors.

If you have had credit issues in the past, or are currently in a situation that will affect your credit, be prepared to address these issues upfront.

The mortgage industry has its own language when it comes to your credit report. Mortgage lenders get their name from the grading system they use. Items that determine your credit rating (A+ to D-) are payment history, amount of debt payments, bankruptcies, equity positions, and credit scores. Credit scores are also known as "FICO" scores, and are used by the mortgage industry to determine credit risk. The higher the credit score, the better the credit risks.


FICO stands for Fair Isaac Company, the company that created the original scoring system. Each credit bureau has its own unique system that allows them to offer a score based solely on the contents of the credit bureau's data about an individual. A numerical score at one bureau is the equivalent of the same numerical score of another. For example, a score of 700 from Experian indicates the same creditworthiness as a score of 700 from Trans Union or Equifax. However, the calculations used to determine these scores are different for each bureau.


FICO scores range from 375 to 900 points. A score of 650 or above indicates a very good credit history. However, lenders do not necessarily give the same value to a particular credit score, and they do not necessarily use credit scoring!


FICO scoring places a value on the types of accounts you hold, as well as your credit history. The formula that determines your scores, however, is not disclosed to the consumer.


The 5 most important factors to determining your credit score are:

• Your payment history
• The amount of outstanding debt you have compared to your credit limit
• Your credit history
• The types of credit you use
• Negative information

Remember, FICO scores range from 375 to 900 points. A score of 650 or above indicates a very good credit history.

Credit Repair Scams

You've seen it in newspapers, maybe even heard it on the radio or television -- Erase accurate negative information in your credit file! -- The credit repair scam artists who run these ads can't deliver. Only time, a deliberate effort, and a plan to repay your bills will improve your credit record. This section is designed to help you understand the two top credit repair scams that are circulating newspapers, television, magazines and radio.

Credit Repair Scam #1 - File Segregation

If you filed bankruptcy, you may be the target of a credit repair scam called "file segregation." In this scam, you are promised a chance to hide unfavorable credit information by establishing a new credit identity. That may sound like a good idea but, file segregation is illegal. If you use it, you could face fines or even a prison sentence.

Credit Repair Scam #2 - New Credit Identity

If you have filed for bankruptcy, you may receive a letter from a credit repair company warning you about the inability to obtain credit cards, personal loans, or any other types of credit for 10 years. For a fee, the company promises to help you hide your bankruptcy and establish a new credit identity to use when you apply for credit. These companies also make pitches in classified ads, radio, TV, and the Internet.

When signing up for the service you will be required to pay a fee and may be directed to apply for an Employer Identification Number, commonly referred to as an EIN, from the Internal Revenue Service (IRS). Typically, an EIN is quite similar to a social security number and is used by businesses to report financial information to the IRS and the Social Security Administration.

After you receive your EIN, the credit repair service will tell you to use it in place of your social security number when you apply for credit, inform you to use a new mailing address and obtain additional credit references.

That may sound like a good idea but, using false information is illegal and considered fraud. If you use it, you could face fines or even jail time.

Credit Repair Company's And False Claims

Credit Repair False Claim #1: You will not be able to get credit for 10 years.

Each creditor has its own criteria for granting credit. While one may reject your application because of bankruptcy, another may grant you credit. And, given a new reliable payment record, your chances of establishing additional credit could probably increase as time passes.


Credit Repair False Claim #2: The company or "file segregation" program is affiliated with the federal government.
The federal government does not support or work with companies that offer such programs.

Credit Repair False Claim #3: The "file segregation" program is legal.

It is a federal crime to make any false statements on a loan or credit application. It is a federal crime to misrepresent your Social Security number. It also is a federal crime to obtain an EIN from the IRS under false pretenses. Further more, you could be charged with mail or wire fraud if you use the mail or the telephone to apply for credit and provide false information. Worse yet, file segregation likely would constitute civil fraud under many state laws.

Your Rights Under The Credit Repair Organizations Act

This law prohibits false claims about credit repair and makes it illegal for these companies to charge you until they have performed their services. It requires that companies tell you about your legal rights. Credit repair companies must provide this in a written contract that also spells out just what services are to be performed, how long it will take to achieve results, the total cost, and any guarantees that are offered. Under the law, these contracts also must explain that consumers have three days to cancel at no charge.

Finding Help for Credit Problems

It's a good idea to try to solve your debt problems with your creditors as soon as you foresee or realize that there is a financial problem. If you can't resolve your credit problems yourself or need additional help, contact debt-consolidation-Kimberly.com We are a full service debt consolidation organizations with clients nation wide that counsels and educates individuals and families on debt problems, budgeting and using credit wisely. We work directly with your creditors to help resolve your debt problems by negotiating a repayment schedule that is affordable for you and acceptable to the creditor.



S. Lieberman
Writing financial and debt consolidation articles for over 10 yrs. Been in the credit counseling biz for as long as well

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Credit Report Repair

A Credit report determines your financial status and eligibility for a loan and other types of credits. The scores in the credit report affect every aspect of your financial life – eligibility for loans, the interest rates, employment opportunities, and also the insurance premiums. The credit reports however may include some errors, misstatements, incomplete and misleading information. Recent studies have shown that 79% of the credit reports contain some or the other type of error.

It is therefore very essential to get your credit report free of all these errors. The repairing of your credit profile is one of the most significant financial decisions you can make. There are many agencies that provide help in repairing the credit reports and make it free of all the errors. Some of the general errors that may harm your credit report are:

• Late Payments
• Judgments/Liens
• Collections
• Repossessions
• Charge Offs
• Foreclosures
• Bankruptcies
• Identity Theft/Fraud
• Inquiries

If you find any of the above mentioned or some other mistakes on the information on your personal credit report, then follow some simple steps – just fill out the 'requests' section of the credit report. In that section, you will have to state why you think there is an error on your report. After that, you will be required to attach any additional information that provides enough evidence proving that there is an error.

In most cases, people feel that they are left in the dark when referring to their own individual credit reports. The Credit bureaus will not bother or go out of their way to ensure that you always have a legal and updated copy of your credit report. You must therefore be responsible and ensure that your credit report information is correct, updated and genuine. There are three companies that you can rely on to get the perfect credit report information. Equifax is the biggest and most widely used of these companies that is in the business of collecting credit information, updating it and making sure that you credit report is valid and correct.

The credit report depends very much on you. The information on the credit report largely lies with your own individual credit history. It includes all the information regarding your credit cards, past loans and bill payments. If you find any mistake in the report then it is advisable that you get it repaired as soon as possible. A good credit report gives you the key for unlocking greater happiness for yourself and family.

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Fast Free Credit Report Repair

Author: Mike Clover

Credit Report Repair is a huge business currently. There are credit repair companies opening up all over the U.S. With all of the credit issues our country faces as a result of foreclosures, high credit card debt, loss of jobs and an economy going into a recession, credit repairs companies are having a field day. According the FTC most credit repair companies prey on the desperate in hopes of a miracle. The FTC claims that self help is best.

Check your Credit Report
Don't worry checking your free credit score report does not affect your credit score. The first step after you have had some issues in the past is to pull a copy of your credit report with all 3 credit scores. This type of report will show you what is on there. That way you can start the negotiating process. Contrary to popular belief, you cannot get collections; charge offs, judgments, foreclosures, or slow pays removed from your report. Alls of these types of derogatory matters stay on your report between 7 to 10 yrs.

How to negotiate
Once you have pulled a copy of your credit report with scores, now you can determine which collections to pay off. Always start with the small collections. If you have a collection that says you owe $450.00 to OSI, which is a medical collection company, offer them $150.00. Make sure if you offer them a amount you can afford you follow through with the agreement. After you have come to an agreement, ask for a letter to delete from the Bureaus. If you are able to get a letter to delete from the bureaus, then you can send this letter to all 3 credit bureaus to delete the collection. This is top priority. If you cannot get the collection company to give you a letter to delete, then make sure you get the letter they provide. Sometimes these collection companies will not update the bureaus like they are required by law. Typically what they will provide depending on the agreed upon negotiations, is a letter that says either paid in full or settled.

Check for inaccurate information
Along with paying off debt you owe, you also need to check for information that is not correct. Like collections or obligations that are not yours. This is very common on credit reports. If there is information on your credit report that is incorrect, disputes it on line. Here is a good place to do this. www.creditscorequick.com/sitemap. Some professionals recommend disputing via certified mail, but we have got the same results via on-line dispute, plus it's faster. Now if you need to send in a letter to the credit bureaus, then you have to send the letter along with the dispute via certified mail. The disputing process depends on the situation of the collections. For example: if you filed a Chapter 7 Bankruptcy, and it's been on your credit report for more than 10 yrs, you can dispute this on line. This is because Chapter 7 Bankruptcies are only suppose to be on your report for 10 years from original file date. You don't need letter to dispute this because the credit bureau can call and verify original file date.

Revisit your Credit Report
Once you have knocked out a bunch of collections and charge offs re-pull your report. Don't pull it until at least 90 days after you have paid a bunch of collections. The reason for doing this is you want to make sure these companies are updating the credit bureaus. If is very common for collections companies not update information like they are required to do. You also want to give the collection companies time to update as well. Usually they will take 30 to 60 days to send in the necessary information to update your credit report. Give it some time, and with a little hard work you will be able to revive your bad credit.

Re-establish credit
While you are taking care of old debts, you need to be establishing new ones. Yes, you heard me correct, in order for your credit scores to increase you need some good credit reporting as well. The quickest way to get this going is to get a secured credit card. Orchard Bank has one of the best credit cards, which will allow you to establish credit, even after a bankruptcy. The reason this is so important is because you began the process of good credit reporting to all 3 credit bureaus. It will not hurt to get a couple of secured credit cards. Once you have some good payment history on these cards you will get offers from other credit card companies. The one thing you want to remember is don't make the same mistake twice. Use your credit cards with care, and make sure you are never late on them. If you are late then you defeat this entire process.


About the Author: Mike Clover is the owner of http://www.creditscorequick.com/ . CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, fico score, Internet identity theft software, secure credit cards, and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.

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Credit Report Repair – Watch Out for the So-called Experts of Credit Reporting

Nowadays there seems to be an "expert" credit repair company everywhere you look. There are advertisements on the television, in your newspapers, and of course all over the Internet.

In addition, every time you turn on your radio or look in the mailbox you will continue to find credit repair companies that make bold claims about how well they can get your debts cleared and resume your financial status back into the green zone.

What's with all the hype?

You know exactly the type of claims I am talking about. These credit repair companies all say the same thing:

"Do you have credit problems? No problem, we can help!"

"Work with us and legally create an entirely new identity"

"We can erase all of your bad credit, no matter how much debt you have, and it is 100% guaranteed!"

"Do you have judgments, bankruptcies, bad loans, and liens? Our services can wipe these items from your credit file and remove them forever!"

Do not fall for these very misleading statements

It is quite understandable to be persuaded by the sales hype of these types of credit report repair offers. Let's face it, your credit is a mess, debts are high, and like most people, you would do anything to repair and clear your credit. But like the old saying goes: "If it sounds too good to be true, then it probably is"

You must learn to recognize the red flags of false advertising and misleading credit repair claims. Most of these companies are just looking for a fast buck by taking advantage of desperate men and women who have piled on debt over the years. Unfortunately, many young people tend to fall for these types of offers because of poor spending decisions and extremely high student loan expenses.

Watch out for the following red flags

When responding to any offer from a credit report repair company, regardless of whether it is in good standing with their clients are not, watch out for the following red flags:

1. Credit repair companies that ask for payments upfront before any of their services are provided to you.

2. Agencies that except your payment but then refer you to directly contacting the credit bureaus yourself.

3. Debt repair services that use illegal tactics in order to try to beat the credit filing system, such as offering to help create a new identity for you.

4. Credit repair companies that do not fully disclose your legal rights and what you can do for yourself to help repair your credit that is free of charge.

All hope is not lost, there are trustworthy credit repair agencies available!

The point of this article is not to scare you off into thinking that all credit repair companies and their offers are scams. In fact, there are indeed some very professional and reputable credit report repair companies that can help you with your debts. But certainly you must heed the advice of not falling for every offer that promises to clear your name and your debts overnight, literally.

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The Hidden Benefits of Fast Credit Report Repair

If you are looking for fast credit report repair, it may depend on your estimate of fast. There are no miracle cures that will as if by magic improve your credit report overnight. While on that point are software programs, consumer advocates, credit repair companies, and loan programs that can assist you to get rid of debt, you must give a concentrated effort.

The first step for fast credit report repair is to determine how bad or good your credit report is. If you have computer access to the internet you can receive your credit scores online for Experian, Equifax, and TransUnion. This can help oneself you to visualize what you want to do to repair your credit.

Every credit score company features a history of every type of credit that you have applied for and received as well equally the ones you have not received. The speediest means to clean up your report is to pay any outstanding debts. It will present that you paid it in full the very next time the reports are updated. It may establish that it personified a slow pay all the same, that is better than being delinquent.

If you cannot afford to pay the outstanding debt on your credit report, maybe a loan would be the resolve. One loan to consolidate total your debt and bills so that you make one payment and are on the direction to having a better credit bureau report. Fast credit report repair hinges on your ability to pay off your debt and only expecting for it to catch up to the credit bureaus to update your file.

When you have taken in your credit reports and recognize what you are up against, you will receive a better idea of what you have to perform to fix it. You may opt to go with a credit repair company for help to repair bad credit. If so, make sure they are not hardly in the business to get your money and provide no help.

One thing you decidedly want to do is prevent from expecting to file bankruptcy. You wish to have a legal credit repair option and you do not want a rating with the credit bureaus that will forbid you from getting a loan if you need one.

The key to fast credit report repair is pay each your bills on time. Make A Point that loan companies, credit card companies, and any other debt that you hold is paid by at least the minimal on a weekly basis to take the credit load down. Check your credit score often, as often times information will be put on your credit report by accident. You do not desire to have someones debt on your credit file.

If a fast credit report repair company sounds too effective to be true, it in all likelihood is. Hard work, diligence, and control are going to make up the key to starting a whole innovative world of credit. You have to learn that simply because you take a credit card does not mean that you have to spend it to the maximum.

Just remember, it is like gaining weight. It is often better to put it on than to take it off. And So use your credit sagely and you will never have to retain the services of a fast credit report repair company.


Author : Chane Steiner

Lee Beattie the creator of Beatlands Credit Repair site. I have written this site for those who have fallen on hard times and haven't always thought of the right ways to get out of a Credit blunder. I wanted to educate and help out those who do not know the right direction to take during hard times.

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Bad Credit Report Repair

Maybe your application for a credit car has been declined. Or maybe when you went to get a cell phone they told you that you’d need a $500 deposit. You’re not exactly sure how or why you have bad credit; all you know is that you have bad credit. Hopefully at this point you have decided to find out what’s on your credit report and what your credit scores are

It’s at this time where most people find erroneous, inaccurate or unfamiliar accounts on their credit reports. In fact, a study by the U.S. Public Interest Research Group found that 79% of all credit reports contained errors. These accounts could be the reason you’re not getting approved for that loan.

The first thing you should know is this: Under the Fair Credit Reporting Act, the only information that can remain on your credit report is not what is accurate, but what can be proven accurate. The information contained on your credit report was not reported by you and therefore you are not the one that has to prove the accuracy of the accounts. It was reported by your creditors or by collection agencies who think that you owe them something.

You have the right to dispute any information on your credit report. By disputing an account that you know is yours, you are not being dishonest. You are simply are asking the creditor and the credit bureaus to prove that it belongs on your credit report and to prove that the information they are providing is 100% accurate. If it’s not, they are violating your federal rights and the information must be removed or corrected immediately. If this is the case, you may seek damages against both the creditors and the credit bureaus. For this you will want to consult with an attorney specializing in bad credit report repair.

Please note that the credit bureaus do not like such disputes. Due to the amount of erroneous information they report, they must hire lots of workers to handles these disputes. And since it’s free for consumers to send in as many disputes as they want, the credit bureaus don’t make any money from this part of their business. In fact, they are losing money because of it!

The credit bureaus make their money from selling your private information not from making sure it’s correct. They would prefer that you never contact them about the accuracy of it. And that’s why it’s no surprise that they make it as difficult as they can for you to contact them and dispute accounts with them. They want to be able to sell information on you whether it’s correct or not. They don’t care about the damage it causes to your personal financial lives – they’re not paid to.


Author : Chane Steiner



Chane Steiner is the president and founder of AAACreditGuide.com, the credit repair authority site. He has helped many people repair their credit and get back on their feet. Chane has reviewed and recommends the following credit repair companies.

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Fast Credit Report Repair

Let’s face it. If you have bad credit you want it repaired as fast as possible. No one wants to go through life with bad credit. If you’ve been living with bad credit, it’s time to do something about it right now. The good news is, if you act now you can be on your way to good credit in no time. Here are some tips to fast credit report repair:

Remove Negative Accounts.

Negative items on your credit report reduce your score and are usually the primary reason for being turned down for a loan. Review your credit report and look at each negative item closely. Look for possible inaccuracies and inconsistencies within the account details. By law, it’s permissible to dispute any account on your credit report that you think could be inaccurate. The Fair Credit Reporting Act further states that if the account can’t be verified within 30 days of a dispute, it must be removed from your account.

Keep Your Balances Low.
Keep your balances on revolving accounts at 30% or less. Credit utilization accounts for about 30% of your credit score. The lower it is, the better it is for your credit score. It shows lenders good money management skills. Getting credit limits increased can boost scores fast, because it lowers your debt to available credit ratio.

Add Positive Accounts.

At first, applying for new accounts will hurt your scores. The inquiries will count against you. But, as time goes on and you’re making your payments on time every month, the inquiries become less important and the positive credit history becomes more important and will increase your credit scores.

Be Responsible.

Making your payments on time every month and using credit responsibly is the best way to keep your credit scores good long-term. Living below your means and having emergency funds lined up is the best way to assure that you don’t get in over your head and are always able to meet your financial responsibilities.



Author : Chane Steiner



Chane Steiner is the president and founder of AAACreditGuide.com, the credit repair authority site. He has helped many people repair their credit and get back on their feet. Chane has reviewed and recommends the following credit repair companies.

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Credit Report Repair

Credit report repair is commonly referred to as the process of disputing negative items in a credit report. Under the Fair Credit Reporting Act, consumers have the right to request an investigation with the credit bureaus for any item on their credit report. The credit bureaus and the original furnisher of the information must investigate the claim within 30 days and report their results back to consumers.

It’s important to point out that the credit bureaus are for-profit organizations and possess no government affiliation. They profit off the sale of your private information and from selling your information to you. Only after the Federal Trade Commission came up with a set of regulations passed in 2003 were consumers able to receive one free credit report a year.

The FCRA also had to regulate how long negative information, such as late payments, bankruptcies, tax liens or judgments may stay on a consumer's credit report. It’s typically seven years from the date of the delinquency. The exceptions: bankruptcies (10 years) and tax liens (seven years from the time they are paid). Unpaid tax liens can remain for up to 15 years. Although, 7 to 10 years is a long time to stay on a report, the credit bureaus would report it for much longer, if not forever, if it weren’t for the FTC stepping in.

When a consumer makes a dispute with the credit bureaus, the credit bureaus do not interact with information providers (typically creditors) directly. They use a system called E-Oscar. E-Oscar is an automated consumer dispute verification process. The credit bureaus demand that everyone who provides information to them be on this system. If you don't get on the system, you CAN NOT provide information to a credit bureau.

The E-Oscar system allows credit grantors to resolve disputes in a timely manner; however the results are commonly inaccurate. In fact, a study by the U.S. Public Interest Research Group found that 79% of all credit reports contained errors. With E-Oscar the credit bureaus NEVER send the original creditor the information you provide them. Instead, an employee scans your letter along with hundreds of others.

The employee is given a very short amount of time to figure out what you are trying to dispute and then gives your dispute a code. It is then verified with E-Oscar. Any documentation that you sent which proves the information is erroneous or any information that you provided simply gets filed away, incase you should sue them. It’s rarely ever even looked at.

Under § 602 of the Act, (15 U.S.C. § 1681), a consumer may seek a maximum of $1000 in statutory damages, plus actual damages, punitive damages and reasonable attorney's fees and costs for willful noncompliance with the FCRA. Any consumer may file suit in state or federal court to enforce the FCRA. Consumer lawsuits against credit bureaus are becoming more and more common and most of the time the consumer wins. Unfortunately, a lawsuit is what it takes to get issues solved with the credit bureaus.


Author : Chane Steiner



Chane Steiner is the president and founder of AAACreditGuide.com, the credit repair authority site. He has helped many people repair their credit and get back on their feet. Chane has reviewed and recommends the following credit repair companies.

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Why is it necessary to do Credit report repair?

Is it necessary to do credit report repair?

Credit report repair will surely help you to improve your credit report and thereby increase your credit score. It is process that eliminates the negative remarks and gives you a good credit report. There are many people who are unaware of repairing their credit report and thereby create obstacle to get credit extension. You can even repair your credit report timely or by checking it periodically.

With the help of good credit report you can have credit flexibility through which you can get credit at low interest rate. One should not get tired of bad credit report but seek suitable measures to improve it. Self-credit repair can be a difficult task but with the help of many online services one can easily repair it by one self. Below are a few tips, which can help you to repair your credit report.

• Order Credit Report
This is your first step in which you must order the credit report from all the credit bureaus. Don't be surprised to see different credit report ratings as different credit bureau have different ways to maintain a credit report.

• Check Credit Report
In this step you must check your report carefully and slowly. It is quite general to find at least one error in one of the three reports.

• Document and Dispute Strategy
Any mistake in your credit report must be informed to the credit bureau. Finding the reason behind any error is equally important, as you understand your credit report. Maintain up to date copy of each and every document that can be used as future reference.

• Dissolve the Debts
Clear your debts payment if you are liable for it. This step is of vital importance, which can help you to improve your credit report rating.

Other Information
If you have unnecessary accounts then close it instantly. Remember Zero balance account is also taken into consideration. Verify each and every account that exists.

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Fast Credit Report Repair – 3 Simple Tips to Get Started

Credit scores are the determining factor on how good the deal is for most of the major purchases we make in life. Managing your credit wisely can save thousands of dollars over one's lifetime and even contribute to a comfortable retirement. Think about this, improving your credit scores by 50 points can save around $33,000 over the life of the average mortgage. If you also consider the likelihood that you will also pay higher rates on car loans, and credit were talking about a huge sum of money. What if you were able to put all of that money into a retirement account, wow!

Before we get started, I would like to touch on the "companies" that advertise that they can magically clean your credit and have your scores up in a matter of days. In my opinion any company that makes such a claim is less than legitimate at best. The simple fact is that it’s ultimately the credit bureaus that will update your scores via the information they receive. By law, credit bureaus cannot treat you any differently than the people you hire to clean up your credit. This means that Know-how and hard work are the only differences between you and credit repair companies
. So if you are willing to learn a little and roll up your sleeves you can save some money.

Don't get me wrong, there are a lot of legitimate credit repair companies that perform great a services for their clients. Depending on how bad your credit is repairing your credit can be a lot of work. If you are unable to spend the time or you lack the "stomach" to deal with collection agents then I suggest that you look into hiring a legitimate credit repair company. The only downside is that it can be very expensive and the money you spend paying them to repair your credit can be used paying down debt.

3 Tips for Fast Credit Report Repair

1) Opt out of all credit bureau solicitations – Have you ever wondered how you get “pre-approved” credit card and mortgage offers? Credit bureaus actually sell your information to companies to solicit you. These leads are furnished to the solicitors by credit type and a credit score range. The credit bureaus then “ding” your credit score 3 – 10 points for the inquiries! The good news is that you can “opt out” from this practice and it will raise your credit score 3 – 10 points within a week. You can find the website here: www.optoutprescreen.com.
2) Validate all debts as real debts on your bureau – This action requires that you have a credit bureau in hand. If you are serious about cleaning your credit it is crucial that you have one it will be your blue-print. You will need to pony up about $40 bucks to get a credit report with all 3 bureaus and scores. Many companies offer “free” credit reports if you join their credit monitoring service that ironically cost around $40 bucks.

With Credit report in hand, you need to validate ALL debts with collection agencies that are reporting on your credit bureau. Look for debts that are older than 7 years old, (from the charge-off date) the credit bureaus have remove these by law. Dispute these debts with the credit bureaus NOT the collection agencies. Next, look for duplicate collections, many collection agencies will package and sell your debt to other companies and never remove their original report. Send a letter to the credit bureaus with an explanation asking that they remove the debt.

3) Dispute ALL debts with the credit bureaus – Dispute all late payments, collections and negative remarks that appear on all 3 credit bureaus, not the collection agencies. In the dispute letter simply state that you do not believe the debt is yours and ask them to have the reporting agency to prove that you owe the debt. In the event it is a late payment simply say that you weren't late.You can find a good letter by following the link above.

Note: When I say dispute all items I mean all negative items whether they are a legitimate debt or not. By law the collection agencies have to prove that you owe the debt within a reasonable amount of time or remove the remark on your bureau. Many collection agencies are too busy or unable to respond to the credit bureau's request. When this happens the credit bureaus have to remove the negative remarks regardless of their legitimacy.

10 Ground Rules for Dealing with Collection Agencies

1- To use an analogy, credit collection agents are the Devil incarnate and they are on commission.

2- Arguing with the Devil is fruitless; they hold the gold and will ultimately win the argument.

3- Speaking with the “supervisor” usually will not work; he got his position by being the meanest Devil.

4- The Devil will lie and cheat, it is his nature. Do not EVER give debit card numbers, checks numbers, credit card numbers, or bank accounts over the phone to a collection agency.

5- Make any and every payment you send to them with a money order or certified funds.

6- Send all correspondence via certified mail return receipt, leave a paper trail and make a file.

7- Do not accept a deal or negotiated payoff without having it in writing.

8- When negotiating a lower payoff take their first offer, they will almost always call back to sweeten their offer.

9- When negotiating a lower payoff always approach the collection agent from the position “this is all I can afford to pay” not “this is all I am going to pay you”. Refer to rule #2

10- Always have a copy of your credit report when repairing your credit!

Obviously, there is a lot more to know than we have mentioned in these three tips. However these three tips will almost always help you with fast credit report repair. NOTE: Executing these three tips you do not want to the collection agencies at this time. If collection agencies update the information on your bureau it can actually lower your credit scores. Do these three steps first before contacting the collection agencies and then you can dance with the devil later.




Aubrey Clark is a syndicated writer on financial matters and the editor for Lendfast.com and DirectBanc.com. He writes extensively on lending topics like finding the best credit cards for fair credit and how investors obtain Georgia low mortgage rates.

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Credit Repair: A Real Possibility?

Advice, information, and caution from MMI's consumer credit counselors about the real possibility of repairing damaged credit. For further information on credit repair, contact MMI's consumer credit counselors at: 1-888-845-5669.

A severe financial situation can affect almost anyone. For people who find themselves trapped in that situation, a negative credit report is often the outcome. Unfortunately, the effects of a poor credit rating are evident in almost every area of life. The inability to get a job, buy a car or a home are all reasons why people dream about perfect credit. The growing numbers of credit repair agencies prove that many people cannot pass up the opportunity to try and change their credit rating.

Credit repair agencies offer the assurance of a better life with an improved credit rating. The Federal Trade Commission recently issued a statement saying that credit repair agencies that advertise these pledges in an effort to get money from consumers are committing fraud. Think twice before you pay someone to try to remove the negative information from your report. The truth of the matter is that no person or company can legally remove accurate items from your report for a fee.

The good news is that a 1996 law passed by Congress titled the Credit Repair Organization Act has helped to clean up the industry. The law is enforced by the FTC and by state attorneys general. Under the statute, consumers are entitled to a written contract describing the terms and conditions of the agreement including guarantees of performance. It also gives consumers three days to change their mind and cancel any agreement they sign with a credit repair organization.

If you want to try to work with a credit repair company, please check them out with your local Better Business Bureau. Always a good rule of thumb: if it sounds too good to be true, it probably is.

Consumers should also be aware that applying for a new Social Security Number to run from past credit mistakes is not a realistic solution. The government has strict rules regarding this matter.

Fortunately, if there are genuine mistakes or outdated items in your report, you can fix them yourself. Notify the credit bureau of the problem and provide as much information about the error as possible. The bureau must, at not cost to you, investigate the disputed information. The bureau then will correct any mistakes or delete information that cannot be verified.

You also have an option to include with your credit report, a written statement of up to 100 words. In your own words, explain any negative information in your report.

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