You may already have more debt than you can handle, and looking for ways to reduce your payments. Then you see the advertisements come across your social media feed or in your email for services offering to improve your credit scores or help you repair your credit. They often charge outrageous fees to do the tasks that you can do for free.
A common practice is for the credit repair agency to flood the credit reporting organizations with complaints about errors on your credit report. Whether or not they are legitimate complaints. Every so often they get lucky and will get something removed from your credit report.
Depending on which organization you believe, either from the Public Interest Research Group asserting “Altogether, 79% of the credit reports surveyed contained either serious errors or other mistakes of some kind”, or the Federal Government’s General Accounting Office “The lack of comprehensive information regarding the accuracy of consumer credit reports inhibits any meaningful discussion of what more could or should be done to improve credit report accuracy. Available studies suggest that accuracy could be a problem, but no study has been performed that is representative of the universe of credit reports.” Either way, there may be errors on your report.
If You Find Errors
You have the right to receive your free credit report each year from each of the credit reporting agencies. You should go over them to make sure there are no mistakes. Having errors on your report can hurt your ability to qualify for a loan, get a credit card or even rent an apartment. If you believe there are errors on your credit report, highlight the entry and send any documentation that supports your claims. Send the report, the documents and a letter explaining your request to the credit agency you found the error on. By law, they must investigate your claims within 30 days.
If you have fallen behind in making your monthly payments and you worry your credit score is dropping rapidly, speak to a Dallas bankruptcy attorney to see what options you may have.