Using A Credit Repair Service - For And Against.

A question that is often raised in forums and newsgroups is whether using a credit repair service is a good idea. Do you have to employ a credit repair specialist to help restore your credit score or is there another way? The answer falls into two parts. First how to know whether a credit repair service is being provided by a reputable company, and second, whether you need to employ anyone at all.

Before using a credit repair service you should look at the advice issued by the Federal Trade Commission on their website. It warns of scams and gives some pointers as to what you should look out for when choosing a company. Large fees payable upfront and failure to explain your legal rights are two of the signs that should arouse your suspicions. Any mention of creating a new identity should be an immediate turnoff since this could involve you in a fraud.


So long as you take notice of these warnings you should have no difficulty in finding one of the many perfectly respectable credit repair companies. While these companies can assist you in repairing your credit rating, you must appreciate that there are limits as to what entries can be removed. While inaccurate and out of date records can be disputed, even a credit repair specialist cannot remove a record of a current outstanding loan. Where these companies score is in their knowledge and experience gained from dealing with cases on a regular basis.

Rather than using a credit repair service, you are perfectly entitled to do the work yourself. You will need to obtain copies of your credit reports from the three credit bureaus and then check these carefully for any errors. If you find any erroneous or outdated entries, you should write to the company concerned to dispute the record and request its correction or removal. Just realise that both patience and persistence will be needed to ensure a satisfactory outcome.


So, is it a good idea to use a credit repair service? That depends on the type of person you are. If you are prepared to put in the necessay time and effort, there is nothing to stop you carrying out the work yourself. Alternatively, if you would rather pay a credit report repair service company to perform the service on your behalf, there is nothing to stop you adopting this approach.

By: Hugh Harris-Evans

Article Directory: http://www.articledashboard.com

Hugh Harris-Evans writes on financial matters and is the webmaster of Credit Card Cleanup.com where you will find further articles on credit repair and tips on how to make the most of your credit cards. To receive an intensive 5-day e-mail course on Restoring Your Credit, Click Here: Credit Repair Strategies.

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