How to Spot a Credit Repair Scam

 

Individuals who want to fix negative marks off their credit reports often fall prey to credit repair scams. Credit repair scams are illegal, but many companies skate by for years leaving behind dozens of victims. If your credit isn’t as good as you’d like it to be, companies may tell you that they can clean up your credit for a fee.  Learn to recognize the signs of a credit repair scam.  Now that the economy is starting to improve, many Americans are hoping to clean up their finances, pay down debt and improve a credit score.  Not all businesses promising to help you repair bad credit are scams. Learn how to determine if a service is legitimate.

Can You Do A Better Job Fixing Your Credit Yourself?

There is nothing that anyone else can do to fix your credit score that you can‘t do yourself! But can you repair your credit on your own? You can‘t fix a problem if you don’t know how bad it is. Get your credit score and a copy of your credit report. Understanding how to repair your credit is a far better alternative emotionally. There is a lot you can do to make your credit stronger on your own. When it comes to repairing or rebuilding your credit, this is definitely something you can do yourself.

What is “Re-Aging” and How Can it Affect Your Credit Score?

Re-aging is a term that involves unpaid debt. This allows that negative information to remain on your credit report for longer than it should be. Re-aging occurs when dates on your credit report are (usually purposely) changed. How can this affect your credit? A bad debt usually stays on your credit report for seven years (longer in some cases). The newer a derogatory item is, the more damaging to your score it will be. Inaccurate reporting can cause additional damage to your credit reportRe-aging can have a large detrimental effect on a credit score. This illegal practice will hurt your credit score.