Common Scams
Persons having credit problems will certainly attract by some of the ads like “Do you have credit problems? Don’t worry! Rub out bad credit! Remove bankruptcy from your credit, 100% guaranteed!”
The reality is no one can legally eliminate accurate and negative information from a credit report within 7 years. But you are allowed to request a reinvestigation of your credit information if you think it’s inaccurate. Dispute charge is free of cost; you can submit a dispute form along with supporting documents. Companies that promise to erase or fix your bad credit more often than not are planning to take money out of your pocket. Most of the cases they do very little or nothing to fix your credit.
Some common credit repair scams:
- Consumers credit history is maintained by Credit Bureaus that collect information from the banks, loan companies, mortgage companies and other creditors. Negative information in the credit report can’t be erased within the Seven years and in case of the Bankruptcy it will take 10 years. So companies advertising for credit repair can’t eradicate this info. Only time can change your bad credit from the report. Things that can be changed in your report are wrong information and items which are beyond 7 years or 10 years (bankruptcy info). Credit repair companies can do very little improvement which you can do by yourself for free.
- Providing a new Social Security Number is also a scam by the credit repair companies. Every person is permitted to have only one SSN. To create a false identity, it is unlawful to use a different SSN.
Be aware of the following facts when to choose credit repair company:
- A company that doesn’t follow industry rules and regulations.
- Company that offers to remove accurate negative information and to wipe out bankruptcy from your credit history.
- Company that don’t tell you what you can do legally at no cost.
- Company that attempts to charge money before any credit repair services has been done by them.
- Any discouragement for contacting credit bureaus from the part of your credit repair company.
- Company that doesn’t provide written documents of your contract. Contract should include the terms and conditions of the payment, description of the services, period of the contract etc.
The quicker the way to the purchase the more likely customers are to buy. And what’s quicker than having it all paid for right in the comforts of home through ecommerce card credit processing? Compare this with having to go to the malls or shopping centers. The travel time gives customers more time to reconsider buying to another store or another item, or calling the whole thing off.