Regrettably, credit repair is often compared to the dreaded dentist visit, as people generally do not wish to have anyone meddling with their financial records. Unfortunately, as long as someone has a pulse and persuasiveness, they can start a credit repair business. Consequently, there seems to be a credit repair establishment on every street corner, much like a famous fast-food chain. I have been operating one of the country's largest credit repair firms for 15 years and understand that our industry receives a lot of negative attention, but a lot of those critiques are accurate.
The bad credit problem is becoming increasingly severe, and the number of credit repair firms that have emerged in the last year alone is proof of this. As a consumer, it is critical to undertake extensive research to avoid being exploited by a plethora of credit repair options.
As the owner of a credit repair business, I have been fortunate enough to assist over 20,000 individuals and transform their lives. In an attempt to give back, I would like to provide a clear understanding of how our industry operates and provide the necessary tools to help select the best credit repair company for your needs.
Contents:
How to Choose the Best Credit Repair Company in Lansing
Different Types of Credit Repair Companies in Lansing, Michigan
The Credit Repair Process in Lansing
Personal Credit: The Importance of Financial Stability
Free Credit Repair in Lansing
Tips and Recommendations for Credit Repair
How to Choose the Best Credit Repair Company in Lansing
When people ask me for the best credit repair company, I don't pitch my services but encourage them to conduct proper research to find the ideal company. Although online reviews provide insights into the company, they may not always be authentic. Therefore, I urge people to find out for themselves. With 15 years of experience, I've compiled a list of steps to choose the best credit repair company:
Create a list:
Conduct an online search to find credit repair companies in your area and shortlist potential candidates.
Reputation:
Research companies with a good online presence and reputation. Look for established companies with a website online for at least three years. Check reviews to ensure they are authentic.
Make the call:
After narrowing down your list, call the companies to inquire about their services. It is essential to ask questions to clarify the kind of company you will be working with. Here are some questions to ask:
How long have you been in business? Are you unlicensed and bonded? If yes, can I see the bond copy?
Do you have a physical office where I can visit you and your team?
Do you offer free consultation services?
Do you offer a Money-back guarantee?
What are your fee structures? Is it a flat fee or monthly charge?
What is the average duration of the process?
These questions will provide you with the necessary insights to make an informed decision. It's about conviction through research rather than persuasion.
Different Types of Credit Repair Companies in Lansing, Michigan
In Lansing, Michigan, there are over one million active credit repair and financial service companies to choose from. While this abundance offers a wider selection, it can be challenging to differentiate between experienced and inexperienced firms. To simplify matters, it is helpful first to understand the three different types of credit repair companies: flat-fee, monthly-fee, and pay-for-delete.
1. Flat Fee Companies
Only about 5% of companies operate like this. In our opinion, flat-fee companies offer the fastest results, and you save the most money in the process. Their services are priced according to the accounts they dispute, and clients are charged a one-time fee. Their business model incentivizes them to complete the service as quickly as possible. First, a consultation is performed by the credit repair company to assess whether they can assist you. Then, a quote is given based on the accounts that require attention. Flat-fee companies are favored by mortgage companies and loan officers as they do not prolong their clients' ability to get pre-approved.
2. Monthly Fee Companies
Most credit repair firms charge monthly fees; however, we find this model inefficient. Many of these companies do not review your credit report, so it's uncertain whether they can assist you. Monthly fee structures do not work for all clients. Credit repair companies utilizing this method have no incentive to fix your credit fast, and it takes longer to get full results. Even though clients pay less out of pocket each month, the fees can add up over time and become costly.
3. Pay for Delete
Fewer companies offer this model and present a more enticing way to pay for credit repair. Payment is charged only for results, putting pressure on the credit repair company to perform. However, most people do not realize before it's too late that the method is expensive. Clients are charged a non-refundable setup fee of $299 and $75 if each item is removed. If one account is reporting to all three credit bureaus, it is considered three items. So, to get one account removed from all three reports, clients pay $524.
We recommend selecting a flat-fee company; however, it's essential to calculate the fees carefully and do personal research to determine the most suitable option.
The Credit Repair Process in Lansing
When it comes to credit repair, asking different people about the process may result in different answers. Unfortunately, a lot of the advice circulating online is either outdated or ineffective. As someone with 15 years of experience in the credit repair industry, I can attest to the fact that the process is always evolving, and it's made even more complicated by changes in regulations and laws. It's worth noting that the credit reporting agencies aren't on your side and are always looking for ways to outsmart consumers. They do this by creating processes and procedures that limit your ability to dispute effectively and instead drive you toward an online platform. We strive to keep up with all the changes to ensure that we provide our clients with the best results possible.
Breaking Down the Process
In 2015, credit repair gained popularity, and people found success by disputing all their negative and derogatory accounts through a process called "not mine disputes." This technique forced the credit reporting agencies to flag the disputed accounts as "fraud," which resulted in immediate deletions. However, as more people tried this process, they encountered problems when accounts removed in month one would reappear in month three after a secondary legal reinvestigation process. In response, the credit reporting agencies created e-OSCAR to weed out invalid and frivolous dispute letters, making it more difficult to get results. Today, it's crucial to use new and unique dispute tactics to achieve success in credit repair.
The Effective Credit Repair Process
The process I'm about to share with you is not a secret, but most people aren't using it effectively because they don't understand the steps. Under the law, you have the right to contest the validity of any account on your credit report. You can do this by requesting that the data furnisher provides proof of the account's validity, such as original signed documents or payment ledgers showing all transactions made on the account. It's not enough to dispute only errors on your credit report; you must challenge the validity of the account itself. If you can prove that there is an error, you can then request that it be fixed or deleted.
Requesting Documentation
The account documentation required for a proper dispute is dependent on the authorized loan. Suppose you're unsure about which documents to request. In that case, you can call the creditor or collection agency as a non-customer and ask what documents are necessary to authorize a new loan. Alternatively, you can search online for more information. We'll be posting a quick blog on this topic that lists all the documents you can request, so stay tuned.
Personal Credit: The Importance of Financial Stability
1. Your personal finances drive your credit score, making it important to address financial stability before investing in credit repair.
2. Sustainable credit requires full control over personal finances, including paying down credit balances, paying accounts on time, and limiting credit card usage.
3. The endless cycle of credit repair can be avoided by prioritizing financial stability and using available finances to pay down debts before investing in credit repair.
4. Focusing on financial stability and personal finance management is the key to fixing credit scores for good.
Free Credit Repair in Lansing
The city of Lansing often sees this question: “How can I fix my credit for free?†In truth, you can repair your credit for free, or almost for free, by taking care of the services by yourself, with paper and a stamp. I have written guides on how to fix your credit like an expert on my blog, but keep in mind that anything which claims to be free may demand a lot of your time. You can dispute your credit report legally at any time, but most people either do not have the time or do not want to put in the effort. If you do not feel up to repairing your credit, I strongly suggest paying a professional credit repair firm to do it for you. However, if you can commit to spending around 2-4 hours a month trying to negotiate your credit report for free, I encourage you to take a look at my blog post on "Repair your credit like the pros."
Leave a testimonial or review
In the early days of my career in the credit repair industry, I occasionally offered free credit repair in return for a testimonial or review to random individuals. Since I had only just started in the field in the early 2000s, I did not have any reviews or testimonials, and I would ask people to offer me credit repair services in exchange for a feedback or a review. The client got their credit fixed for free, while it cost me to mail their disputes. However, the overall value I gained from the review was much higher than the low cost of credit repair. My message is that there are many new credit repair firms willing to offer the same bargain as I once did. My recommendation is to search "Credit Repair" Facebook groups, register, and post something similar to this:
"I'm in search of a new credit repair company owner who would be prepared to assist me with certain credit issues in exchange for an immensely detailed 5-star rating."
You may come across dissenters, but you should have no problem securing free credit repair services from someone.
Benefits of Repairing Your Credit for Free
1. If you can commit the necessary time and effort, you may repair your credit for free.
2. Hiring expert credit repair services might be more appealing to those who do not have that time and effort.
3. Posting a detailed, positive review of a repair company's services on credited platforms is a fantastic method to access free credit repair services.
Tips and Recommendations for Credit Repair
It's crucial to do your due diligence before selecting a credit repair company that can assist you in restoring your credit score. Although it may necessitate a significant amount of research and contacting various credit repair companies, it is essential to ensure that neither your time nor your money is squandered. Additionally, getting a grasp on your financial situation is critical because it is the underlying source of most individuals' financial predicaments. It's far too common for people to spend their hard-earned money repairing their credit scores while still carrying bad spending and saving habits, making it impossible for them to maintain good credit standing in the future. Credit repair services can be highly effective. Personally, I have witnessed it transform the lives of over twenty thousand of my clients. However, it all starts with you and your ability to take control of your finances before credit repair can become a simple, fast, and mostly permanent solution. Remember, don't give up hope, and you can achieve this!