Credit Repair Scams and Warning Signs

Nobody wants a poor credit history because it staggers your financial growth and getting your bills sorted. That’s why it is crucial to find a credible and reputable credit repair company to help you with your credit issues.

That said, the reality is that nobody can really clear bad data from your credit history if it’s meticulous and accurate. Let’s say you had a bankruptcy or debt and it was reported correctly, this can remain on your credit history for 10 years and can only be removed if verified incorrect or outdated. 

What is a credit repair scam?

A credit repair scam is when a company advertises either on TV, online, newspaper,s or via mail that they can help you with your credit issues. They may claim to clear bad loans, bankruptcies, or bad credit history and help you restart with a new credit detail that will make you seem a more appealing risk to banks or lenders. Their interest is to scam you.

Credit repair scams warning signs

Here are some warning signs to watch out for to avoid credit repair scams:

Upfront payment

When they claim they can help with your credit issues then pressurize you to pay upfront before they complete their services, never pay upfront. 

Promises to clear bad credit reports

Let us be clear on this, nobody can erase bad credit data that is correct and timely. The company may claim to remove all negative credit reports and give you new credit details. They’re only planning to scam you.

No contacting credit bureaus

If the company advises against or prevents you from contacting any credit bureaus by yourself, be very careful and avoid them completely.

Asks you to lie on credit application

Any credible company or person wouldn’t want you to give fabricated information that you know very well is authentic.

They don’t inform you of your legal rights

They want to take your well-earned money, that’s why they don’t tell you. They intentionally neglect to tell you that you’re qualified for one free duplicate of your credit report yearly and that you’re allowed to question mistakes by yourself.  They also don’t tell you that if you signed up for a credit repair service then you have the right to freely terminate your contract within 3 business days. 

What to do if you’re a victim

There are federal laws put in place for credit repair organizations and it is illegal for them to lie concerning how they can help you, and to charge you before they’ve delivered their services. Make sure to report to your local consumer affairs office or state Attorney General in the case that you have issues with a credit company. To avoid being scammed there are credible companies that can help but you can also help yourself by putting in time and effort. Recording disputes with credit agencies and practicing great credit habits are the most ideal ways to fix your credit.

Scam Help is a fund recovery agency that works with victims of scam victims to recover their lost funds. Please contact us today if you have lost funds to credit card repair scammers or any scams.


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