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Avoiding_Credit_Repair_Scams

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					Title:
Avoiding Credit Repair Scams

Word Count:
519

Summary:
If you are one of those less fortunate souls with a bad credit, you have probably come
across advertisements in newspapers, TV, radio and on the Internet, claiming efficient
credit repair services, including removal of bankruptcies, creation of new identities
and deletion of all records of bad credit.

But the truth of the matter is that these credit repair companies over claim but can not
deliver. They simply cheat their clients and do the vanishing trick with their money....


Keywords:
debt, credit repair, debt management


Article Body:
If you are one of those less fortunate souls with a bad credit, you have probably come
across advertisements in newspapers, TV, radio and on the Internet, claiming efficient
credit repair services, including removal of bankruptcies, creation of new identities
and deletion of all records of bad credit.

But the truth of the matter is that these credit repair companies over claim but can not
deliver. They simply cheat their clients and do the vanishing trick with their money.
The only trustworthy way to repair bad credit is spending your won time, effort and
working our a personal debt repair plan which you will follow.

There are some warning signs to check if a credit repair company is following legal
norms or not. Firstly, they can not charge you any upfront fee before providing any
service. You should be alarmed if the credit repair company dissuades you to contact
the credit bureau directly or avoids answering any query you may have on your legal
rights as a debtor.

There are some disreputable credit repair companies who will advise you to start
disputing all the credit information contained in your report. There are some who will
advise you something illegal apply for a new Employer Identification Number
instead of a Social Security Number to create a new identity. Since these are illegal
and fraudulent activities, you stand a chance to be prosecuted. It is considered to be a
federal crime if you submit false information when applying for credit, if you wrongly
represent your Social Security Number or get a new Employer Identification Number
from the IRS with false information.

While negative information is reported in your credit report for seven years, reports
on bankruptcy is reported for ten years. Payment defaulters of US Government
insured loans or student loans is reported for seven years.

While nobody can delete the correct information contained in your credit report, you
can however request for a reassessment or reinvestigation of any credit, which you
think is inaccurate or not complete in some way. The Fair Credit Reporting Act
allows you to dispute any mistake or old items free of charge. All you have to do is to
ask the credit reporting agency for a dispute filing form or submit your points of
dispute in writing. Be clear in identifying the item or items which you wish to dispute,
give reasons why you wish to dispute and request for a reinvestigation. Always
remember to keep a copy of your points of dispute with you. If the investigation
discovers an error, you may request that the corrected form be circulated to all who
received your credit report in the past six months. You may also request the credit
bureau to include your dispute reporting in all their future reports, if the
reinvestigation does not solve your dispute and the problem continues.

Every state have their own laws which regulate the functioning of credit repairing
companies. If you ever get taken for a ride by any fraudulent credit repair company,
report the matter immediately to your local consumer affairs office or your attorney
generals office.



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