It works by changing or removing items from your credit report that are dragging your credit score down. This can be done by fixing mistakes on your credit report, negotiating with lenders to remove or change negative reporting, or utilizing loopholes in credit reporting regulations and rules to have negative items removed. You can do any of these things by yourself, but most professional services have a better understanding of how credit works and how to get these things done more efficiently and effectively. Unlike credit cards and online loans, there is no approval process for credit repair. If you want to repair your credit, you are welcome.
First, the company will assess your credit situation by looking at your credit reports, which you generally will have to provide. Second, the company will give you a plan of action that it thinks is best to improve your credit score, whether it be fixing errors, negotiating with your lenders or contesting items that can easily be removed. Once you’ve agreed on a plan, the company will start taking action. Keep in mind, it may seem like things are moving slowly, but too many inquiries and contentions all at once can raise red flags with the credit bureaus, so it’s better to move slowly at first. Repair companies do not help you with you credit card debt, though, which some assume it does.
This really depends on your credit report. If you have a lot of errors on your report, whether they are factual errors or misreporting from your lenders, the service will prioritize fixing those errors. If you have had a solid history of credit usage in the past or have a good track record for the past few years, the service will probably try to negotiate with your lenders to get some of the negative items removed from your credit reports. If you have negative items from lenders that are traditionally unresponsive, the service may try to contest those items, since the credit bureaus only have 30 days to verify the information. If they can’t verify it, the items must be removed from your report. There are a number of ways repair services can attack negative items on your credit report, so it just depends on the plan of attack you choose. The one thing repair agencies cannot do is protect you from identity theft.
This also depends on what you are looking for. If you are looking for a more affordable company that just does the basics of credit repair, a company like Sky Blue is a great choice because they have the cheapest monthly price and offer great results. If price isn’t an issue and you want extras like monthly credit monitoring and identity theft protection, companies like Lexington Law and CreditRepair.com both offer those along with a great track record. If you are worried about being scammed, both Sky Blue and The Credit People offer a 100-percent guarantee if you aren’t satisfied in any way. Sky Blue’s guarantee expires after 90 days, but The Credit People’s guarantee has no time limit.