Credit Repair Companies Provide No Cure for Your Credit Ails
“Do you have bad credit? We can help” is often a claim made in advertisements by credit repair companies who state they can erase negative information on your credit report. However, only time–not miracle cures or exorbitant fees–can heal bad credit.
Unscrupulous firms often rely on a portion of the federal Fair Credit Reporting Act (FCRA) which requires a credit bureau, or credit reporting agency, to omit some information on a credit report during the time when an investigation is being conducted after a challenge has been filed by a consumer.
As a result, credit repair firms will flood credit bureaus with multiple, frivolous disputes. Fees paid by consumers who are desperate for clean credit can range from a few dollars to thousands of dollars, but the legitimate negative information is never permanently erased from a credit file by the paperwork generated by a credit repair firm.
Rather, time is the best solution to an undesirable credit history.
Federal law mandates the time periods that accurate negative information remains on a credit report....