Similar to dentists, credit repair has a less-than-stellar reputation. People generally dislike them and avoid dealing with them. However, opening a credit repair company can be easily achieved by anyone with the ability to persuade, leading to an oversaturated market with a company on every corner like McDonald’s. As someone who has been in the credit repair industry for 15 years and owns one of the largest credit repair companies in the country, I understand the skepticism our industry receives, and unfortunately, a lot of it is justified.
Bad credit is becoming increasingly common, with credit repair companies popping up everywhere. As a consumer, it is crucial to do your research on these companies to ensure that you do not fall victim to any scams.
As a credit repair business owner, I have helped over 20,000 people change their lives. To give back, I want to shed light on the credit repair industry and empower you with the knowledge to make wise decisions when selecting a credit repair company.
Table of Contents
How to Find the Best Credit Repair Company in Memphis
Different Options for Credit Repair Companies in Memphis
The Credit Repair Process in Memphis
The Importance of Having Financial Stability for Sustainable Credit
Free Credit Repair in Memphis
Tips for Effective Credit Repair
How to Find the Best Credit Repair Company in Memphis
When people ask me who the best credit repair company is, I don't suggest mine. Instead, I advise them to do their own research, as online reviews are not always legitimate. Based on my 15 years of experience, persuasion is not the way to attract clients. Conviction through research is key. Therefore, I have compiled a list of things you should do to determine the best credit repair company in Memphis:
Make a List
Use Google to identify local credit repair companies with acceptable Google review ratings.
Reputation
Ensure that the companies on your list have a website that's been online for at least three years and sufficient legitimate reviews.
Make the Call
Narrow down the list of candidates and call them during business hours. Ask questions like:
-How long have you been in business, and are you unlicensed and bonded?
-Do you have a physical office?
-Do you offer free consultations?
-Do you offer a money-back guarantee?
-What is your fee structure?
-How long does the process take?
These questions will help you analyze and make the best decisions for yourself. The next section will discuss the most effective but least expensive company.
Different Options for Credit Repair Companies in Memphis
There are numerous credit repair and financial service companies in the United States, with over 1 million active companies to choose from. While this provides more options and the opportunity to be more selective, it can be difficult to distinguish between experienced and non-experienced companies. To assist in understanding how credit repair works, below, I will discuss the three different types of credit repair companies available.
Flat-fee companies
Flat-fee credit repair companies comprise only about 5% of all companies. This is the best way to achieve the fastest results while saving the most money. With this type of structure, these companies only charge for the accounts they dispute and bill you a one-time fee. They complete the services promptly, as they have an incentive to do so. In this process, the company conducts a consultation by reviewing your credit reports to determine if they can assist you and quote you a price based on those accounts. Flat fee structures are ideal for quick credit repair and the best option for people looking for pre-approval of loans.
Monthly fee companies
Most credit repair companies use monthly fee structures. This type of structure may not be efficient in the sense that these companies do not review your credit reports, raising the question of how they will determine how best to assist you in repairing your credit. Companies with this structure may not be motivated to provide fast credit repairs since they can earn fees from you for as long as you engage their services. Moreover, with this structure, the credit repair company will dispute only a few items at a time. This means that if you have 10 negative accounts, it can take up to 6-8 months to obtain full results. Over time, these fees can become expensive.
Pay for delete companies
Fewer companies employ this model as it puts pressure on the credit repair company to perform. Pay-for-delete companies allow you to pay only for results. However, many people do not fully understand the fees associated with this structure. These companies charge a non-refundable setup fee and $75 per item removed. If an account appears on all three credit reports, it is considered three separate items. As such, the cost of removing one account can reach $524. While this sounds like an attractive option, it is essential to understand the fee structure and inquire from the company about the cost of removing all your accounts from your credit report.
It is always best to select a flat-fee company for credit repair services, as they often offer the best option. However, you should conduct your research and calculations independently to make the best decision for yourself.
The Credit Repair Process in Memphis
Different opinions and outdated advice online can make credit repair seem complicated, but staying updated on regulations and law changes is crucial for optimal results. Despite the ever-evolving nature of credit repair, we have spent the past 15 years perfecting the process. Credit reporting agencies will often use processes and procedures to prevent effective dispute resolution for consumers. Instead, they may try to direct consumers to inadequate online platforms. In Memphis, our team stays up-to-date with all changes to provide the best results to our clients.
A brief history of the credit repair process
In 2015, the “not mine disputes†process became popular for disputing negative and derogatory accounts on credit reports. However, credit reporting agencies have since implemented more refined processes, including e-OSCAR, making it much harder to see immediate results. Today, using new and unique dispute tactics is necessary to effectively correct and delete discrepancies from credit reports.
The effective credit repair process in Memphis
Contesting the validity of any account on a credit report is a legal right, essentially validating the account by requesting proof that it not only belongs to you but is also valid. Rather than only disputing errors, it's best to ask the data furnisher (creditor or collection agency) for account documentation, such as original signed documents or payment ledgers showing all transactions made on the account. Then, if an error is found, use any proof available to request that it be fixed or deleted.
What account documentation should be requested?
The answer depends on the original loan. For those unsure about which documents to request, contacting the creditor or doing a quick Google search can provide more information. Our team will soon post a quick blog on this topic, including a link with access to all the requested documents, to ensure our Memphis clients have the best resources available.
The Importance of Having Financial Stability for Sustainable Credit
Financial stability plays a crucial role in maintaining sustainable credit. When it comes to creditworthiness, having a solid financial foundation is paramount. This introduction will emphasize the significance of financial stability and its direct impact on maintaining sustainable credit.
Your Personal Finances Shape Your Credit Score
When considering personal credit, one must understand that one’s financial situation drives their credit scores and overall credit. While credit repair can address derogatory accounts on a credit report, it is not a complete solution.
Prioritize Your Personal Finances for Sustainable Credit
To maintain durable credit, individuals must not only fix their credit but also develop financial stability that is not vulnerable to economic downturns or job losses. One must effectively manage their finances to establish consistent credit strength. Repaying revolving credit balances, paying accounts on time, and using credit cards only in emergency situations are some ways to promote financial well-being.
Stop the Endless Credit Repair Cycle
Focusing solely on credit repair may lead to an endless cycle of poor credit and reliance on credit repair services. Repeatedly seeking out credit repair services without fixing personal finances inevitably leads to persistent credit issues. A better strategy is to prioritize financial stability, which ultimately creates sustainable credit.
Free Credit Repair in Memphis
Frequently asked by many, "Is there a way to mend my credit for free?" The answer is yes. By performing the services yourself, you can fix your credit for free, or at least at the cost of paper and a stamp. I have shared numerous blog posts where I have provided the steps to repair your credit professionally. However, one must understand that anything free comes with a massive "time" price tag. While it is true that you have a legal right to dispute your credit report at any time, most people either lack the time or are reluctant to put in the effort. For those individuals, I suggest opting for a professional credit repair company to save time. If you can commit to spending 2-4 hours a month disputing your credit report for free, take a look at my blog post on "Repair your credit like the pros."
Leave a testimonial or review in Memphis
At the onset of my career as a credit repair specialist, I offered free credit repair to strangers in exchange for testimonials or reviews. In the early 2000s, when I had just started, I didn't have any reviews or testimonials. Consequently, I appealed to people to let me fix their credit in return for honest feedback, and they received free credit repair. It did cost me to send their disputes, but the reviews and testimonials were worth much more than the negligible credit repair costs. The bottom line is that many new credit repair companies are willing to do what I once did. I suggest finding "Credit Repair" Facebook groups in Memphis, joining them, and posting something similar to this:
"I am seeking a new credit repair business owner willing to assist me with credit concerns for an extremely detailed 5-star review."
Ignore the naysayers; trust me, you should have no difficulty securing free credit repair.
Tips for Effective Credit Repair
Regarding credit repair, taking proactive steps and approaching the process with the right mindset can make a significant difference in achieving your desired outcomes. This introduction highlights key tips that will set you on the path to effective credit repair, ensuring that you are addressing the surface issues and improving your overall financial well-being.
1. Get your finances in order before looking for a credit repair company. This will ensure you are not wasting your time and money on a quick fix that will not address the underlying issue.
2.Research multiple credit repair companies to find the one that best fits your needs. This may seem time-consuming, but it is worth it in the end.
3. Remember that credit repair is a valuable tool that can change your life. However, it is not a substitute for poor money management habits. Make a concerted effort to budget, save, and avoid unnecessary spending.
4. Don't give up hope; repairing your credit is achievable with the right mindset and effort.