Regrettably, credit repair companies share a similar reputation to that of dentists; people tend to avoid them and dislike dealing with them. The truth is, anyone with a heartbeat and persuasive skills can open a credit repair company, leading to an abundance of them on every street corner. As someone who has been in the credit repair industry for the past 15 years, running one of the largest companies of its kind in the nation, I am well aware of the scrutiny our industry faces and can admit that much of it is merited.
Poor credit has become an epidemic that is continuously worsening. The escalation of credit repair companies in the past year alone highlights how many alternatives there are for credit repair. This means that, as a consumer, you must take great care to ensure you avoid being taken advantage of.
As a business owner who runs a credit repair company, I have had the privilege to assist over 20,000 people, changing their lives for the better. As a way of giving back, I want to provide transparency and clarity on our industry's workings. My aim is to provide you with the tools and information necessary to make the best possible decision when hiring a credit repair company.
Contents:
How to Find the Best Credit Repair Company in Springfield
Different Credit Repair Companies: Understanding the Three Types in Springfield
The Credit Repair Process in Springfield
Personal Finances Drive Your Credit Score
Free Credit Repair in Springfield
Tips for Fixing Your Credit
How to Find the Best Credit Repair Company in Springfield
As someone with experience in credit repair, I am often asked who the best credit repair company is. However, instead of promoting my own company, I urge people to do their research and find the best fit for them. Online reviews can be helpful, but they aren't always reliable. With this in mind, I have compiled a list of things to consider when searching for the best credit repair company in Springfield:
1. Make a list of candidates by doing a quick Google search for companies with good reviews in your area.
2. Only consider companies with a strong online presence and reputation. Check their website history and scan the reviews for legitimacy.
3. Make calls to your shortlist of companies and ask important questions, such as their length of time in business, license and bond status, office location, free consultation availability, fee structure, and the average process duration.
By taking these steps, you can make an informed decision and choose the most effective and affordable credit repair company for your needs.
Different Credit Repair Companies: Understanding the Three Types in Springfield
With over 1 million active credit repair and financial service companies in the United States, it can be challenging to distinguish between experienced and non-experienced companies. To better understand how credit repair works, it is important to know the three types of credit repair companies you will find in Springfield.
1. Flat Fee Companies:
Only about 5% of companies operate with this structure. These companies typically only bill you for the accounts they dispute, and you pay a one-time fee for this service. Flat fee services are usually faster because they have an incentive to get your services completed in the quickest amount of time. Typically, the credit repair company will do a consultation by looking over your credit reports to determine if they can help you out and then quote you a price based on those accounts.
2. Monthly Fee Companies:
Most credit repair companies you will find charge monthly fees. These companies usually have no motivation to fix your credit fast because the longer you're on the program, the longer they get to collect a fee from you. Also, with this structure, the credit repair company is usually only disputing a few items at a time, which means if you have 10 negative accounts, it can take 6-8 months alone to get full results. Although you may be paying less out of pocket each month, the fees can add up over time, and this model can get very expensive.
3. Pay for Delete Companies:
Fewer companies offer this model. The name says it all, you pay only for results, which puts pressure on the credit repair company to perform. The Pay for Delete model is very appealing to many people, but it's important to ask to see the fee structure and ask the company directly what the fee would be if they removed all your accounts from your credit report.
In Springfield, it is recommended to choose a flat fee company because it's the most cost-effective option out of the three. However, it's important to do your own research and calculations to make the best decision for yourself.
The Credit Repair Process in Springfield
Credit repair can be a murky business, with conflicting advice and outdated practices. After 15 years in the industry, I have refined a process that evolves constantly to keep pace with changing laws and regulations. What you need to know is that credit repair is not difficult, but there are many obstacles that the credit reporting agencies put in your way to limit your ability to successfully challenge inaccuracies on your credit report. We keep up with all these changes to ensure our clients get the best results.
The early days of credit repair
involved "not mine disputes" that forced the credit reporting agencies to delete negative accounts, but secondary legal reinvestigation meant these accounts reappeared later on. Nowadays, the credit reporting agencies use e-OSCAR to filter out frivolous disputes, making it harder than ever to get results through dispute letters. To be truly effective, credit repair requires new approaches.
The new, effective credit repair process in Springfield
involves contesting the validity of any account on your credit report. You can request documentation from the data furnisher to validate both its ownership and accuracy. Rather than simply disputing errors, you should use any proof you find to request that the account be fixed or deleted. The documentation you need will depend on the original loan, but we can advise what to ask for.
Personal Finances Drive Your Credit Score
1. Personal finances drive credit score:
Your personal finances are the driving force behind your credit score. This reality makes perfect sense when you consider the millions of Americans struggling with credit problems. Your credit score is like the stock market; it fluctuates depending on your financial situation.
2. Credit repair is not enough:
Credit repair is a useful tool to repair derogatory accounts on your credit report, but it is not a complete solution.
3. Get your finances under control first:
Sustainable credit means that your credit strength stays the same regardless of financial or employment circumstances. Unless you control your personal finances, your credit score will always fluctuate.
4. Revolving credit balances:
Before investing in credit repair, you must pay down your revolving credit balances, pay your accounts on time, and minimize credit card spending. Keep a small balance of one to ten dollars on the card at all times.
5. Fix your financial deficit:
The best way to attain credit sustainability is by fixing your financial deficit. If you get your finances in line, your credit score will follow, and you will experience fewer major credit score decreases.
6. Avoid the credit repair cycle:
Repeat clients are a problem due to the endless cycle of credit repair. This cycle occurs if you fail to address your financial situation before investing in credit repair.
7. Prioritize fixing your finances:
Invest in your finances before tackling credit repair to attain sustainable credit. Achieving financial stability is crucial to fix your credit once and for all.
Free Credit Repair in Springfield
Do you wonder if there's a way to fix your credit for free in Springfield? The answer is yes - you can take matters into your own hands and do it yourself. I've outlined the steps to repair your credit like a professional on my blog but keep in mind that a DIY approach comes with a significant "time" price tag. While it's your legal right to dispute your credit report anytime, most people don't have the time or don't want to put in the effort. If that's the case, I recommend hiring a professional credit repair company. But if you're committed to dedicating 2-4 hours a month to dispute your credit report for free, head to my blog post "Repair your credit like the pros." Don't forget to leave a testimonial or review!
Something I offered to people when starting out in credit repair was free credit repair in exchange for a testimonial or a review. I asked people if they'd allow me to repair their credit for free, and in return, they offered a testimonial or a review. The value of the feedback was much higher than the minimal cost of doing credit repair. Newer credit repair companies may still offer a similar service. I recommend joining credit repair Facebook groups to look for business owners willing to help in exchange for an honest and detailed review. You may receive some negative comments, but it shouldn't be challenging to find someone who can fix your credit for free.
Tips for Fixing Your Credit
1. Conduct thorough research on different credit repair companies to find the best one that can help you successfully repair your credit. This may require reaching out to several companies, but it's important in order to avoid wasting your time and money.
2. Additionally, take a close look at your personal finances, which are often the root cause of credit issues. It's common for people to spend their income trying to fix their credit, only to later claim that credit repair didn't work or that it was a scam. In reality, poor spending and saving habits can prevent credit improvement.
3. It's important to understand that credit repair can be successful. As someone who has seen over 20,000 of my clients' lives change for the better through credit repair, I can attest to its effectiveness. However, it requires taking control of your financial habits before credit repair can truly become a quick, easy, and long-lasting solution. Don't lose hope!