My name is Joe Mahlow, and I have gained experience in Personal Finance and Credit. Writing posts on topics that are crucial for my readers and following them is what I truly enjoy doing. This particular post is about Credit Repair repair. I want to start by addressing the most common questions that I receive from my clients. It's true that you can repair your credit for free, but it comes with a catch - it requires a lot of effort. But if you're ready to put in the work, you will surely save yourself a lot of money and time. Let's delve into it.
Table of Contents
How to Obtain Credit Repair Without Paying
How can I fix my credit by myself without incurring any costs?
Using Free Credit Repair Software: Can It Help You Repair Your Credit?
Free Credit Repair: Obtaining a Credit Report
How Can Credit Repair Boost Your Credit Score?
The Importance of Taking Action for Credit Repair
How to Obtain Credit Repair Without Paying
While there may be companies or individuals advertising free credit repair services, it typically implies there is more to their offers than meets the eye. No one will willingly repair your credit at no cost unless they are expecting something in return. Some years back, when I commenced my career in the credit repair field, I had no clients, and the best way to publicize my services was to offer them to clients free of charge. However, I needed testimonials and feedback from these clients, and in return, they were required to provide these after using my services. Presently, my organization, ASAP Credit Repair, still offers a free round of credit repair services, but it requires clients to enroll for the services and pay a fee to commence the process. Free credit repair always carries a cost.
Alternatively, if you have the time to spare, you can repair your credit on your own without spending any money. However, you would need to schedule a minimum of 1-2 hours per month for 3-5 months to complete the credit repair process thoroughly. If you do not possess the time to handle the credit repair process yourself, I would recommend seeking credit repair companies or services within your locality to assist you. The average cost of employing someone to carry out all credit repairs for you can range from $400-$600 for the typical customer.
How can I fix my credit by myself without incurring any costs?
Fixing credit by yourself isn't hard but can be a bit time-consuming. However, it's an achievable task that requires research and patience. One of the significant facets of credit repair is never disputing your credit reports online. Online disputes limit your legal right to dispute your credit report only once annually, and the process can prevent you from attaining effective results. Here's a simple breakdown of the steps you need to take to repair your credit for free:
Access your credit reports online:
I highly recommend IdentityIQ, as it provides the most comprehensive data to find all potential mistakes.
Comprehend the disputing process:
You don't need to read the Fair Credit Reporting Act (FCRA) and the Fair Debt Collection Practices Act (FDCPA), but you should understand your rights as a consumer.
Write your dispute letter:
Avoid any advice given by online credit gurus. Instead, Google the Credit Reporting Agencies' addresses and write a simple dispute letter containing your personal information, the account name and number, and a request for validation. Include proof of the account authorization, balance history, and monthly billing statement since the account opening.
Wait 30 days:
If there is no response, send a secondary dispute letter via certified mail requesting the account deletion (for charge-offs or collections) or removal of the late payment history (for accounts with late payments).
Repeat the process:
Repeat step four until you get the desired outcome, and seek guidance from reputable credit repair firms or ASAP Credit Repair if you get stuck.
When drafting your dispute, keep it simple and follow a structure. Avoid using any online template letters and craft a customized letter instead.
Using Free Credit Repair Software: Can It Help You Repair Your Credit?
As a newcomer in the credit repair industry, my first priority was to find a tool that could streamline my work and help me create effective dispute letters for my clients. While searching for options, I came across the credit repair cloud software, which was initially designed to assist credit repair companies but is now accessible to individuals as well. Actually, they offer a free trial for 30 days, during which you can use the software to generate your first dispute letter. This means you can utilize this software for free if you are looking to repair your credit personally. Additionally, Credit Repair Cloud provides useful information on credit repair and a variety of dispute letters and tactics that can help you personalize your dispute responses based on your needs. However, keep in mind that the free version only gives access to their 1st round dispute letters. Therefore, in order to complete the entire credit repair process, you will have to manually create your own future round letters or pay to upgrade the software.
Free Credit Repair: Obtaining a Credit Report
In order to begin repairing your credit for free, it is important to obtain a copy of all three credit reports from Equifax, Experian, and TransUnion. While it may be tempting to dispute with all available credit reporting agencies and data furnishers, it is recommended to keep it simple when beginning this process. Accessing your credit reports allows you to determine the derogatory accounts you will list in your disputes. However, it is important to consider which credit report to use, as they are not all created equal.
The majority of lenders who approve loans will pull your Fair Isaac Corporation (FICO) report. While this report is the preferred option, it is also the most expensive. A cost-effective alternative is to use the Vantage score report, which offers the same data as a FICO report but is less expensive. Among the various credit monitoring sites available, IdentityIQ offers the best credit reports in terms of data accuracy and identification of errors. Although it is not mandatory to use IdentityIQ, their reports have been proven to deliver higher results for clients.
How Can Credit Repair Boost Your Credit Score?
In short, yes, credit repair can help improve your credit score, but it is not a magic solution. It is one of the tools that can be used along with managing and maintaining good credit in order to elevate your credit scores. Many people have the misconception that credit repair will be the answer to all their credit problems, whereas, in reality, unless an account is inaccurate or has reporting errors, it is unlikely that an inaccurate account will be removed from your credit report.
So, what can credit repair help with when it comes to improving your credit score?
1.Removing negative payment histories or accounts can lead to a significant increase in your credit score. However, positive revolving and installment account reporting should also be in place, or there may be only a minimal credit score increase.
2. Having a good payment history on your active account is crucial in maintaining excellent credit.
3. If you have limited credit and want to improve it, a secured credit card is a great place to begin. This will help you build credit quickly.
In conclusion, credit repair is an effective tool to improve your credit score. However, it is essential to manage and maintain good credit by paying your bills on time, keeping your credit card balances low, and having established credit. Only then can credit repair have the best impact on your credit scores.
The Importance of Taking Action for Credit Repair
As someone with 15 years of experience in the credit industry, I have seen many people hesitate to start the process of credit repair simply because they are unsure where to begin. However, taking one step forward can make a world of difference.
Here are some tips to help you take action:
1.Learn about credit repair and consider drafting a dispute letter to get the process started.
2. Research credit repair companies and consider hiring one to handle the work for you.
Don't let inertia stop you from taking action to repair your credit. By taking control of the situation now, you can save yourself thousands of dollars in interest payments down the road. If you are searching for a reliable credit repair company, ASAP Credit Repair is here to help. Contact us today for a free consultation and evaluation. We prioritize our client's needs and work to restore their credit as quickly as possible.