Greetings, my name is Joe Mahlow, and I specialize in the Personal Finance and Credit industry. Writing informative posts that cover topics that are important to you and other followers of my content is something that I truly enjoy. Today, I will be discussing Credit Repair for Free and addressing some common questions and concerns that I often receive from my former and current clients. I'd like to preface this topic by mentioning that although it is possible to repair your credit for free, it is important to note that it requires a significant amount of effort. However, if you are willing to put in the time and energy, you can definitely save yourself a lot of money and hassle. So let's dive in.
Table of Contents
Getting Credit Repair Without Paying a DimeRepairing Your Credit Easily and for FreeUsing Free Software for Credit RepairObtaining a Free Credit Repair Credit ReportCan Credit Repair Help Boost Your Credit Score?Let's Conclude!
Getting Credit Repair Without Paying a Dime
While some entities claim to offer free credit repair, there's usually more than meets the eye. Nobody will invest resources in fixing your credit without a return of some kind. When I commenced my credit repair service 15 years ago, I lacked clients and knew I had to give some of my services away to demonstrate my competence and generate customer feedback, which I still do. However, though I provided the service pro bono, the clients had to leave feedback or testimonials as we aimed to build our reputation. At ASAP Credit Repair, we offer one free round of credit repair, but enrolment and payment of service fees are mandatory. All free services come at a cost.You can fix your credit by yourself with no payment whatsoever, but it demands considerable time investment. I recommend disputing your credit reports, a free process requiring a minimum of one or two hours per month for roughly three to five months to conclude credit restoration. If you're short on time, you must find a nearby credit repair service or company to help you. Typically, credit repair services cost customers an average of $400 - $600 to complete the task on behalf of clients.
Tips on how to get credit repair for free:
1. Don't be fooled by entities advertising free credit repair services.2. If you have the time, you can repair your credit yourself by disputing your credit reports for free.3. Allocate at least 1-2 hours per month over a period of 3-5 months to complete credit repair.4. If you don't have the time, find a reputable credit repair service or company to assist you.5. Hiring a credit repair company can cost you the typical customer $400 - $600 on average to do the credit repair work for them.
Repairing Your Credit Easily and for Free
Fixing your credit on your own is a simple process that might consume some time, but it's not as hard as you think. I want to advise you to avoid disputing your credit reports online since it relinquishes your legal right to dispute your report more than once in a year. Additionally, the dispute process is obsolete and inefficient and will fail to yield effective results.The credit repair process is 70/30, meaning 70% of your time is taken up by research and pulling your credit report, while the other 30% involves drafting your credit disputes. In summary, here are the steps you should take to repair your credit free of charge:
1. Obtain your credit reports online, using a report provider that includes the most available data to detect all possible errors on your report. My personal recommendation is to use Identity IQ.
2. Understand what disputing means in compliance with two consumer protection laws, the Fair Credit Reporting Act (FCRA) and the Fair Debt Collection Practices Act (FDCPA), to know your legal rights.
3. Draft up a dispute letter yourself. Ignore any advice on Credit Repair from self-proclaimed gurus online. Creating a dispute letter via google docs or on paper is easy. Find the Credit Reporting Agencies Addresses (Equifax, Experian, and Transunion) and the Creditor’s Address at the bottom of the credit report and place them aside. In the letter, provide your name, address, date of birth, and last four digits of your social security number, and identify the account name and number you are disputing. Then draft a simple paragraph requesting that they validate the account by providing proof of the account being authorized, such as a Credit Application, the ledger balance history showing all payments made on the account with dates and times, and all monthly billing statements provided since the opening of the account. Conclude the letter by signing it.
4. Wait for 30 days. If they don't provide the documentation as requested, dispute the account again through a secondary dispute letter sent via certified mail. If it's a charge-off or collection account, request that the account should be deleted. If it has a history of late payments, request that the late payments be removed.
5. Repeat step 4 as many times as possible until you achieve the resolution you are looking for. In case you get stuck, I highly recommend contacting ASAP Credit Repair or another reputable credit repair firm.
When drafting up your disputes, it's important to remain concise and straightforward. You might want to refer to a dispute template letter using Google to understand the structure, but never use any online template letter.
Using Free Software for Credit Repair
When I first delved into the credit repair industry, I sought out a tool that could aid me in generating effective dispute letters for my customers, thereby optimizing their experience. At the time, the only available option was the credit repair cloud software, which has since undergone significant improvement. Despite being primarily utilized by credit repair companies seeking to assist their clients in rectifying their credit, individuals can also utilize the software. There is even a 30-day free trial period during which you can generate your first dispute letter for free. The credit repair cloud software is a great secondary option for those looking to conduct their credit repair process for free. It not only guides you through the process with step-by-step instructions but also offers extensive information on credit repair in general. The software also provides an array of dispute letters and tactics, as well as various dispute reasons that you can utilize, all tailored to suit the specific account in question. It should be noted that the free trial only grants access to the software's 1st round dispute letters. You will either have to manually create your own future round letters or obtain a paid software upgrade to complete the entire credit repair process. Do feel free to explore the other credit repair software options available in the market, as there are approximately 10 other alternatives; you might find one that better suits your needs. Who knows, after mastering this process, you might transform it into a Credit Repair Business and assist others in improving their credit!
Obtaining a Free Credit Repair Credit Report
To start your credit repair journey, you will need copies of all three credit reports, namely Equifax, Experian, and Transunion. While you may eventually want to dispute with every credit reporting agency and data furnisher, it's best to keep it simple initially. It's vital not only to access your credit reports to identify derogatory accounts to include in your disputes but also to determine which credit report you should use.Is there a preference? In short, yes. Having used every type of credit report out there, a majority of lenders who approve loans will pull your Fair Isaac Corporation (FICO) report. However, accessing this report can be quite expensive. Therefore, it's advisable to get the more affordable and widely accessible Vantage score report, which provides the same data as FICO reports.IdentityIQ is our top recommended credit repair credit report provider. Although the data feed is similar to other Vantage Scoring Reports, IdentityIQ offers more data, providing a better opportunity to identify mistakes on your credit report. That way, you get the best results possible. But, it is not mandatory to use IdentityIQ, provided you obtain copies of all three credit reports from credible credit monitoring sites.
Can Credit Repair Help Boost Your Credit Score?
In short, yes. However, it's important to note that credit repair alone is not enough to achieve optimal credit scores. It's crucial to also maintain excellent credit habits, such as managing credit usage and making timely payments. Although many people believe that credit repair can solve all their credit issues, this is typically not the case unless inaccuracies or errors exist in the account's reporting.
Here's how credit repair can help increase your credit score:
1. Eliminating negative payment history or accounts can usually lead to a credit score boost.
2. It's important to have positive revolving and installment accounts reporting in addition to removing negative accounts. Boosting credit scores can be minimal if only negative accounts are eliminated.
3. Maintaining a good payment history on active accounts is crucial in maintaining excellent credit.
4. If you're looking to build credit, a secured credit card can be an excellent starting point to help establish positive credit history quickly.
In essence, credit repair can be a very effective tool for improving credit scores, but keeping a good credit management strategy, such as paying bills on time, keeping credit card balances low, and maintaining good credit history, is equally critical for lasting success.
Let's Conclude!
Throughout my 15 years in the industry, I have witnessed many people who lack the motivation to initiate the credit repair process due to their unawareness of where to begin. My recommendation is to take a single step forward and take action either by developing fundamental knowledge about credit repair and preparing your primary dispute letter or by exploring the option of employing a credit repair company to carry out the process for you. However, it is crucial that you do not become complacent and take no action. By taking the initiative to repair your credit, you can end up saving thousands of dollars in paid interest over the next few years. If you are uncertain about where to start while looking for a Credit Repair company, you can always check out ASAP Credit Repair for a free consultation and evaluation. We understand the significance of helping clients promptly restore and repair their credit.