If we haven't met before, my name is Joe Mahlow, and I've been working in Personal Finance and Credit for some time now. I enjoy writing posts on topics that I know my readers find important. Today, I want to discuss "Credit Repair for Free". This is a topic that I get asked about frequently from both current and previous clients. It's important to know that you can repair your credit for free, but it's important to be aware that it takes a lot of effort and hard work. However, if you're willing to put in the time and effort, you can definitely save yourself both money and time. So, let's dive into the details.
Table of Contents
Getting Free Credit Repair AssistanceTips on Free Credit Repair You Can Do YourselfUsing Free Credit Repair Software: Is it a Viable Option for Personal Use?Obtaining a Free Credit Repair Credit ReportCan Credit Repair Improve Your Credit Score?Final Remarks
Getting Free Credit Repair Assistance
Offerings of free credit repair services should always be approached with caution. In reality, there may be more to the story than what is advertised. No individual or organization would offer credit repair for free without expecting something in return. Offering free services may be a marketing strategy to attract clients or procure customer reviews. In the credit repair industry, it's common practice to offer a round of service for free, and the client will need to enroll and pay a service fee to commence the process.Although it is possible to repair one's credit report for free, the process requires a considerable amount of time and effort. It's advisable to allocate 1-2 hours a month for the next 3-5 months to complete all necessary steps. If you don't have time for the process, engage a local credit repair service or credit repair company to help. The cost of credit repair services may vary, and customers typically pay an average of $400-600 to have someone handle all the credit repair work.
Tips on Free Credit Repair You Can Do Yourself
If you're looking to repair your credit on your own, it's not difficult, but it can be time-consuming. However, it's not as hard as you might think.
Here are some tips to guide you:
1. Never dispute your credit reports online, as it could limit your ability to dispute them more than once a year.
2. The credit repair process is 70/30, which means 70% of your time will be spent on research and pulling a credit report, while the remaining 30% of your time will be spent drafting up a dispute.
3. In addition to Identity IQ, you should consider using a credit report provider that provides the most available data to find all possible errors in your credit report.
4. Understand your rights under the laws that protect you as a consumer - the Fairy Credit Reporting Act (FCRA) and the Fair Debt Collection Practices Act (FDCPA).
5. Draft up your own dispute letter without relying on online advice from self-proclaimed gurus. Provide your details, identify the account(s) you are disputing, and ask them to provide proof of the account being authorized. Conclude the letter and sign it.
6. Wait for 30 days. If no response is received, send a secondary dispute letter via certified mail.
7. Repeat the process until you achieve the desired resolution. If you need professional help, you can seek assistance from ASAP Credit Repair or another reputable credit repair firm.
Remember to keep your dispute letter simple, direct, and personalized; refrain from using any template letter you find online.
Using Free Credit Repair Software: Is it a Viable Option for Personal Use?
When venturing into the credit repair industry, my first challenge was to find a tool that would help me create effective dispute letters, streamlining my overall customer experience. The Credit Repair Cloud software was the only option available to me. Originally designed to help credit repair companies aid their clients in fixing their credit, it can indeed be used by individuals as well. The software even offers a 30-day free trial period for users to generate their initial dispute letter, making it an amazing secondary option for those who want to embark on credit repair for free. The platform also offers a step-by-step guide along with helpful information on all aspects of credit repair. Credit Repair Cloud provides a range of dispute letters and strategies and recommends dispute reasons that are customized to specific accounts. Do note, however, that if you opt for the free trial version, you will only have access to the platform’s 1st round dispute letters. To complete your credit repair process, you may need to create your own dispute letters for future rounds or purchase the upgraded version. There are other credit repair software options to explore as well; about 10 in total. Once you master the process, you may even consider launching a Credit Repair Business that can help others fix their credit.
Obtaining a Free Credit Repair Credit Report
To successfully begin the process of repairing your credit, first and foremost, you must obtain copies of your credit reports from all three major credit reporting agencies; Experian, Equifax, and TransUnion. If you want to start slowly with credit repair, I recommend that you begin by disputing with each credit bureau independently before moving to the credit furnishers.Acquiring your credit reports is important as it gives you access to derogatory accounts you should dispute. However, the most important decision to make is which credit report is the best to use. Is there one that is preferable?The short answer is yes. Having used different types of credit reports, I can attest to the fact that they are not all equal. Generally, FICO reports are what most lenders check before approving a loan. However, since it is costly to access them, it is better to obtain them at the end of your credit repair process. Instead, I recommend using the Vantage score report, which is much cheaper and has identical data to the FICO report.IdentityIQ is the most effective credit monitoring site and provides the best Vantage score report, in my opinion. Although other credit monitoring sites may provide the same data feed, IdentityIQ gives more data, thus allowing you to identify more errors and achieve the best results.Using IdentityIQ is not mandatory as long as you are obtaining all three credit reports from a reputable credit monitoring site. However, in my experience, clients have better results with IdentityIQ reports than with those from other traditional sites.
Can Credit Repair Improve Your Credit Score?
In short, the answer is yes. However, it's essential to remember that Credit Repair is just one tool in the arsenal of improving credit scores. While Credit Repair may remove negative accounts, maintaining positive accounts with a good payment history is vital in the advancement of your credit scores.
Below are some ways that Credit Repair can help improve your credit score:
1. Negative Payment History: Getting rid of negative payment history or accounts can help increase your credit score.
2. Positive Revolving and Installment Accounts: To maximize the impact of Credit Repair, it is crucial to have positive revolving and installment accounts in addition to removing negative payment history.
3. Good Payment History: Maintaining good payment history on active accounts is one of the most important things one can do to ensure an excellent credit score.
4. Start Building Credit: If you are new to credit, starting with a secured credit card is an excellent way to build credit fast.
In conclusion, Credit Repair is a highly effective tool for improving your credit score. Yet, it is crucial to have existing good credit and manage accounts properly to reap the fullest effects of Credit Repair.
Final Remarks
After my 15 years in the credit industry, I've come across numerous situations where people hesitate to begin the credit repair process simply because they don't know where to start. My recommendation is to overcome this by taking one step forward and making a move, whether it's gaining knowledge about credit repair and crafting your first dispute letter or seeking the assistance of a credit repair company. The worst thing to do is to become complacent and do nothing. Taking the initiative today to repair your credit can save you thousands of dollars in paid interest in the next few years. If you're unsure about where to start searching for a Credit Repair company, take advantage of our free consultation and evaluation at ASAP Credit Repair. We understand the significance of helping our clients quickly repair and rebuild their credit.