How do Credit Repair Companies Work?

A lot of people in America owe a lot of money. In fact, the number is now over 12 trillion dollars! Over $1 trillion of this is from credit cards alone. Data from the National Foundation for Credit Counseling (NFCC) show a 16% increase in U.S. households carrying credit card debt this year. The push to collect on these debts has reached fever pitch, and this has spurred the creation of many companies within the industry. Some are collections agencies, working with creditors to collect the money owed to them. Others are credit repair companies, working with the debtors to improve their credit score. There is a third group as well, which are credit counseling agencies. You owe it to yourself to understand how this industry works.

Many consumers have errors on their credit report that could lead to trouble. Credit repair companies do a number of things for you, including reviewing your credit report and disputing negative items on your behalf. These errors can be identified and addressed through an established credit repair process. The Fair Credit Reporting Act (FCRA) gives consumers the right to dispute inaccurate information and get any wrong information removed or corrected. Credit bureaus have 30 days to respond to disputes with a completed investigation, according to the FCRA. It is important to note, though, that this service is not free. You see, a credit repair company and a credit counseling agency are not the same thing. 

While a credit repair company charges you money for their services, we do not. This is because we are a nonprofit organization focused on educating you and protecting you. We take a big-picture approach to your overall financial health. Our credit counselors will perform a free audit of your finances in order to help guide you toward the best strategy from a list of several options. This education-based approach tends to be more successful at getting people like you out of debt and helping them stay there.

Debt drags down your budget and it can stop you from achieving your goals. There are thousands of professional credit repair approaches that can help you to get out of financial obligations, and you should consider all of your options before opting for the best course for you. We can work with you to develop a debt payment plan, consolidate your loans, or even file for bankruptcy. Credit guidance is another choice to help you to get out of debts.

Whichever form of credit repair you choose, the main thing is to do it right away. Make today the day you finally take your life back! Poor credit makes it more difficult to buy a car, qualify for a nice place to live, and even get a job. You can have a second chance when you reach out to Safe Credit Solutions!