How to Recognize a Credit Repair Scam
There are a number of companies that offer credit repair help for a certain fee. Although there are those that are in legitimate offering such service, there are also companies who scam you into engaging a hoax “credit repair”.
The truth is- it is not possible to remove factual negative records and information off your credit report. Any company who promises to do this is not doing something legitimate. Falsifying public record is illegal. In the end, you might end up with the same poor credit report, with no improvement, and you have a run for your money. That’s a total scam.
If the company is asking for upfront payment before they deliver their services. Watch out, it may be a scam. You should always have a contract defining the company’s services as well as your right as a costumer. You can always go directly to TransUnion, Equifax and Experian to check on your credit report, any company who discourages you to go directly to these agencies is up to no good. There are companies who seem to be too good to be true. A company that tells you that they can get rid of all your negative credit is such.
Any company that offers you a new credit identity is not doing something legal. They would ask you to apply for a new credit rating using an Employer Identification Number instead of your Social Security Number. A scam company would also tell you to dispute negative scores on your credit report, even if they are factual. Remember that if you follow an illegal advice, you are committing fraud. So if you want to improve credit score, always do it in a legal way.
