Today we are going to see what benefits we can get from credit repair companies and how they can be a great help when we don’t have enough credit score to apply for a loan.
What is a credit repair company?
A credit repair company is an organization that offers to improve your credit in exchange for a fee. However, we need to be aware of the fact that there are scams in this industry, which means that we’ll need to do some good research before we commit to a credit repair company.
How do credit repair companies work?
Usually credit repair companies start by requesting a copy of your credit report from each of the three major consumer credit bureaus — Equifax, Experian and TransUnion. Tax liens and bankruptcies are some of the things that the company will be reviewing during this initial phase.
Then, it will set a plan for disputing errors and negotiating with creditors to remove those items.
How much does credit repair cost?
The amount you’ll have to pay to a credit repair company will really vary depending on your case but a great thing is that the payment won’t be made until the deliver the promised results.
How long does credit repair usually take?
The credit bureau usually has 30 days after receiving your dispute to investigate and verify information. The credit bureau will normally reach out to the company that provided the information and ask them to investigate. The credit bureau is required to send you the results of the investigation within five business days of the completion of the investigation.
But if the credit bureau determines the dispute is “frivolous” it can choose not to investigate as long as it communicates that to you within five days.
So that’s all for today, hope you found this article useful so far and don’t hesitate in reaching me out if you have any questions or need a consultation.
Stay hungry and stay positive!
Make it a great day,
Sean La Rue