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What Is Credit Repair?

Absolutely, great question!!!

From time to time, my gifted 7 years old son asks me a great question that stomps me. After so many times, I’ve bought and brought home a Google Home Mini. Now, I simply tell him to go ask Google.

Unfortunately, telling you this would be a disservice. I’m willing to bet you already searched online already and came across many differing and even contradicting answers. Fortunately for you, this is not a question that stomps me. Instead, it excites me!!! It is a topic I live, breath, eat. In fact, it is my bread and butter. So hang on, I’m going to give you the real deal, in the trenches knowledge, about what is a great credit repair program.

However, before I can dig deeper there, it’s best I preface with what’s NOT credit repair. Since you’re looking into credit repair, it’s likely because of two possible reasons. Either, you’ve seen your credit report and knows it needs some work, or you’ve been denied for some financing you’ve applied for. Anyways, that’s probably the start to your journey in seeking credit repair services. Considering that it is a confusingly need-based service, unscrupulous people are on the look out for unsuspecting consumers. And here are the top three services or product they’ll try to pass onto you as solution.

 

1.Debt Consolidation

Honest credit repair company will reveal to you that just because you get a negative item removed off your credit report, it doesn’t automatically cancel out the debt.While debt consolidation is a thing, it is not a service I would say is a substitute for repairing your credit. Even if you were to pay a debt in full on your own, it may not be the best result as compared to what credit repair would have gotten you. There are some nuances in the two services. However, credit repair is superior as it includes strategies to take care of the debt if the resources are in place. On the other hand, debt consolidation doesn’t bother with setting you up to make your challenged credit a thing of the past.

2.Software /Template Letters

Credit repair software and template letters can be confused with credit repair work but can turn out to be very disappointing.Most software has template letters and that’s why I loop them into the same category.The whole template idea gives the illusion that there is such a thing out there as a magic pill for your credit calamities. This notion just undermines the actual work that credit repair entails. The problem with the templates is that after so many uses, the bureaus start to recognize them. Accordingly, they label them either frivolous or not specific enough. From there, the consumers is stuck because the follow up is up to them, which bring them back to square one.

3.Scammers

Hopefully that square one doesn’t lead them toward findinga scammer. The irony is, scammers are some of the hardest working people in this space. I’m fascinated by the creativity they have to come up with “solution” to serve unsuspecting customers. They provide credit sweepCPN, and a whole lot more than I care to know about. I commend one of my clients that interacted with a “credit repair” person that was telling her how they can distance her from her real identity so she don’t have to own up to the debt she accumulated. She said it didn’t feel right, so she didn’t go with the process. One way to spot scammers is to be mindful of intent. If you feel like their plan to intentionally help defraud others, odds are they may be fine with defrauding you as well.

Good help does exist, but finding it is like uncovering a diamond in the rough. Except for four C’s, you’re looking for 3 C’s and they are: credit counseling, credit monitoring, and credit restoration. Below is a brief description of my take on each.

 

1.Credit Counseling

I believe this is vital because unlike other business where loyalty in a customer is a reflection of the positive service of the company; loyalty here is a reflection of subpar service. Honestly, I prefer not to have someone repeated business in credit repair as I hope they don’t find themselves in that situation anymore. For that reason, great credit repair program includes a credit education so while the company is working to get you better credit, you also learn how to maintain and better use it.

2.Credit Monitoring

Often, the credit bureaus don’t provide full report to the clients with the changes that occurred, if any. At that point, the consumer would be left in the dark if they don’t have credit monitoring in place. It is a good way to keep on top of the process while being in the know. I highly recommend it for best results.Most credit monitoring service gives you a side by side view of all 3 credit bureaus report.

3.Credit Restoration

Finally, the most essential piece of the whole puzzle. This is where the consumers are working with the bureaus and creditors to correct inaccurate, unverifiable, or incomplete information on their report. It takes a keen eye along with attention to details, plus experience to be very efficient in this aspect. A consumer can surely do this on their own. It just would take a lot more investment of time plus other commitment than it would cost if they just hire a professional company.

What Happens If I’m Missing Just One?

Another great question. If you’re missing the counseling, you could end up needing the service again; yikes! If you’re missing the monitoring, it’ll make the process much harder and longer, and near impossible to get all 3 bureaus up to date report to compare against one another for discrepancies. Unless you are a previous client of a credit repair program that provides credit counseling, you might be missing the restoration part. And if we can say so ourselves, we are a great place to start. Inquire with us and mention this article so we can show you how you can get all 3 pieces at one pricing.

2 thoughts on “What Is Credit Repair?”

  1. Avatar

    I found it beneficial that you brought to light that credit restoration services can ensure that one’s score is brought back to where it needs to be as soon as possible. My spouse and I find ourselves in a bit of a predicament with our credit score due to our friend driving our rental vehicle. We’ll be sure to contact a repair solution service to aid us with our plight.

    1. Avatar

      We’re glad you were able to find value in our blog Lloyd. Feel free to reach out for help whenever. We’d love to assist. Stay tuned for our upcoming blog about WHERE to find help for credit repair.

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