A poor credit rating can bar you from seeking essential financial coverage that underscores a healthy lifestyle. Credit repair agencies come to your aid by thoroughly getting investigated all disputed credit items with bureaus. This enables you to reclaim your financial stability.
Understanding Credit Repair:
Credit repair stands for the process wherein you hire a specialist agency to act on your behalf for attempting to strike off negative information from your credit report. The agency would dispatch dispute letters to the credit bureaus gainsaying the legitimacy of negative items. The disputed credit has to be validated within a month by the lender or collection company. The agency attempts to delay the validation process beyond the stipulated 30 days so that the erroneous or unverifiable items get removed automatically. If the credit bureau establishes the accuracy of the item, the agency will re-file a dispute claim against the items and the process will be re-initiated.
Service Charges for Credit Repair:
You can pay the agency through any of the three different methods.
- The agency may collect your credit card number and maintain the same with them. Once the month lapses, the agency will charge the fees commensurate with the amount of job done in the previous month.
- The credit repair specialists may appraise the quantum of work expected against your credit report. Based on that, a lump sum fee would be charged flatly once the job gets completed.
- The third option is known as ‘Pay per delete’. You will be charged on a line item by line item model as and when the items are struck off from your credit report.
Effectiveness of Credit Repair:
Credit repair agencies have the distinction of getting millions of unverifiable and inaccurate items eliminated from the consumers’ credit reports annually. The credit reporting agencies receive about 30% of the disputes pertaining to credit repair disputes. The credit bureaus may publish stats that may point to the inefficacy of the credit restoration agencies. But the plain fact is that the agencies are instrumental in getting millions of inaccurate entries removed conclusively from the credit reports of gullible consumers.
Credit restoration agencies generally prefer to stay away from publishing their success stats on the website so as to steer clear of any legal hassles. However, credit players who choose to make their accomplishments public boast of mind blowing success rates. One such company states that it has got about 2.5 million negative items eliminated from inaccurate customer credit reports in 2011 on its own. The agencies are not locking horns with the bureaus, just attempting to get all obsolete, erroneous and non-verifiable information removed from the credit reports. The agencies adhere to the rules laid down for fair play by the Credit Repair Organizations Act. The billing for the services of credit restoration is done in strict compliance to the rules set forth through the aforesaid Act. No iron clad guarantee, that may seem to mislead, is given to consumers regarding removal of negative items. Enrich Financial is a trusted name in the realm of credit repair and restoration.