How does credit repair work? This question has been asked numerous times especially by those people whose credit history has fallen badly on the hard times and the ones who are ready to get their finances back on the proper track. The process of credit repair focuses on making sure that your credit score is completely perfect and accurate. In other words, by the process of credit repair, one can dispute all the inaccurate and unfair items in their credit report that are representing a bad financial history. This ability to file a credit report helps a lot in ensuring that your credit history isn’t full of false data used against future mortgage decisions. Remember that credit repair doesn’t remove any of the fairly earned bad credit marks nor is it the way to take off any legitimate debts.
Advantages Of Credit Repair
The main advantage of a credit repair is to successfully remove any incorrect information from your past credit report. Therefore, that incorrect information won’t be a part of regular calculation determining your credit score. Whenever these negative listings in your credit history are removed, it will automatically improve the credit score thereby providing you a chance to get easier loan approval in the future with a much lower rate of interest.
How does Credit Repair Work? The Basics
As discussed earlier, credit repair is the process of fixing mistakes and inaccurate information that are present in a person’s credit history. Most of the time these errors are many in number and are tricky to even spot. However, with the help of a credit repair agency, the process of credit repair can easily turn up different inaccuracies. Here is a list of a few problems that are common in most of credit repair cases:
- Accounts not belonging to you.
- Wrong personal information provided such as: previous address, misspellings of names, etc.
- Inclusion of hard inquiries that weren’t actually approved.
- Inclusion of duplicate accounts.
- Inclusion of wrong inquiries such as bankruptcies or foreclosures.
- Wrong information on open accounts when they are closed or vice versa.
- Inappropriate accounts resulting from identity theft.
Apart from all these, there are a lot of other mistakes that can end up in your actual credit history. The process of credit repair thereby helps a lot in getting rid of these errors.
Steps Related To Repair Your Credit Score
The answer to the question of how does credit repair works has a few steps related to it.
- Reviewing your credit history properly in order to get hold of all sorts of negative information.
- Disputing all those issues with their respected credit bureaus or their creditor.
- Negotiating all the future steps with the agencies and thereafter conduct all the further credit analysis.
However, all the above-mentioned steps can be really intensive and time-consuming. Combining all the disputes in your credit history and then spearheading the same can be a full-time job on its own. After all the incorrect items are identified on your credit report, then next comes disputing the process. This process again entails four different steps:
- Creating contact with the credit report bureau.
- Submission of a proper formal notice of dispute.
- Providing all sorts of needed documents.
- Reviewing all the responses and then following up if necessary.
Apart from this, remember that the process of credit repair also involves working with all the suppliers of wrong information. In case the original lender isn’t looped in the process, then there might be a possibility that they re-report the information and it reflects back in your credit report. Once you file a dispute with the bureau, the credit authority generally takes around a month or two to respond. This time period is legally mandated and at the end of this time, the bureau can either correct or remove all the incorrect information.
How does credit repair works: Working With A Credit Repair Company
Remember a credit repair company can be of real help especially during the credit repair process. However, it is obvious that you can do all the stuff yourself but a professional credit repair company will be having all the resources and the experience needed to get the job done. Services like this have a list of key benefits. Here are some of them:
- Experienced professionals being associated with your case.
- Experience and expertise on credit repair.
- Existing good relations with all the credit reporting bureaus such as TransUnion or Experian.
- Inclusion of many secondary services like credit monitoring, consultation, and credit analysis.
- Services such as litigation, escalation, and case intake.
Most of the credit repair organizations are built especially to conduct credit repairs of consumers. Their working principle includes reviewing, disputing, and then following up the same with the credit bureaus. Almost all the credit repair companies train their employees to properly navigate all the disputes and make a simple resolution for their customers. These companies are also able to provide all the needed tools and resources that are essential to build credit and create better finances in the future.
Remember getting your credit report and then checking it for errors must be in your to-do list each and every year. If you don’t review or report your credit score regularly, there is a possibility of these errors staying in for years thereby making your overall credit score low. As a consequence, these can make getting credit cards, or mortgages nearly impossible. If you want to increase your credit score with your rent, we at Credit Rent Boost can surely help you with your endeavors.
We at Credit Rent Boost work, maintaining 100 percent confidentiality of your personal information along with providing a complete money-back guarantee. No matter whatever your query is you can always log in to our website to check all the ways you can use to increase your credit score with the help of your rent.