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Credit Repair Companies

Are Credit Repair Companies a Scam?

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Yellow signs labeled "Scam Alert"

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Having good credit is really important, so it can be really frustrating when your credit score is lower than you’d like. So frustrating, in fact, that turning to a credit repair company may seem like a great idea.

Credit repair companies typically make you lots of promises that sound really appealing. You can pay just a small fee, they’ll say, and you’ll get a brand new credit identity or will be able to make negatives on your credit report disappear.

The only problem is, most of these promises are nothing more than empty words. Many companies will just take your money and do nothing for you or, worse, will encourage you to engage in high-risk behavior such as committing fraud by lying on loan applications.

To make sure you don’t fall victim to a credit repair scam, it’s essential you understand the signs that a credit repair company isn’t legit. You also need to know your rights as a consumer, because there are laws in place designed to protect you from unscrupulous people and businesses that prey on your desperation for a good credit score.

Your rights as a consumer using a credit repair company

The Credit Repair Organization Act (CROA) prohibits credit repair companies from making dishonest promises. Credit card companies also can’t collect any money from you until they have performed their services, and they must explain certain things upfront before collecting any fees. Credit repair companies are required to:

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  • Provide a written contract detailing the services they’ll perform for you and your rights as a consumer.
  • Inform you that you have three days to cancel at no charge from the time you first sign up for service.
  • Explain how long it will take for their service to actually make an impact on your credit.
  • Explain, in detail, any guarantees that they make to customers.

How can you tell if a credit repair company is a scam?

A credit repair company that doesn’t provide you with a written contract is likely not a legitimate one. But there are other signs of a scam you should look out for as well. According to the Federal Trade Commission, some of the other potential red flags that suggest a credit repair company isn’t legitimate include:

  • Companies that try to collect an upfront fee before performing any work for you.
  • Companies that urge you not to check your own credit or not to reach out directly to credit reporting agencies.
  • Companies that urge you to file disputes with credit reporting agencies about negative information on your credit report even when that information is accurate.
  • Companies that urge you to provide inaccurate information on applications for credit cards or loans.
  • Companies that promise you can develop a “new credit identity,” usually by applying for an Employer ID Number (EIN) you can use on loan applications instead of your Social Security number.

When you’re looking for a credit repair company, often this old adage is advice to remember: If it sounds too good to be true, it probably is.

What happens if you get caught up in a credit repair scam?

If you end up the target of a scammer, you could lose money you pay to the credit repair company. Depending upon what actions, if any, the credit repair company takes on your behalf, you could end up making your credit worse — or at least will lose time that you could’ve spent actually improving your credit.

In a worst-case scenario, you could get into legal trouble by following the advice of credit repair companies. It’s a crime to apply for an EIN under false pretenses. It’s also a crime to lie on loan applications or to misrepresent your Social Security number. While it’s not very likely you’d be prosecuted, there is still a chance you could face criminal charges if you break the law on the advice of an unscrupulous company.

Unfortunately, your options for recovering your lost funds paid to a scam credit repair company are limited. You could file a lawsuit and seek compensation for actual damages plus punitive damages — but it can cost money to hire a lawyer and there’s no guarantee you’ll win. You could also join a class action if a lawsuit is filed to get justice for many people caught up in the same scam. While joining a class action doesn’t cost you money or require you to hire a lawyer personally, the compensation you’d get is usually limited.

You don’t need to hire a credit repair company

Since so many credit repair companies are a scam, you may be wondering if you should try to hire one at all. Generally, the answer is no.

The reality is, you’re the only one who can repair your credit, and doing so is going to take time. You can repair your credit by:

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  • Establishing a positive payment history. Payment history is the most important component of your score. If you can develop a record of paying on time, your credit score will improve — and past late payments won’t matter so much any more. If no one will give you a credit card or loan so you can prove you’ll pay it on time, get a secured credit card, charge a small amount each month, and pay it back as soon as you get your credit card statement.
  • Paying off debt. Reducing what you owe will improve your credit utilization ratio, which is the amount of available credit you’ve used relative to the amount of credit available to you. Keeping your utilization rate as low as you can is ideal — but you definitely want to get that ratio below 30% because ratios above this threshold will hurt your credit score.
  • Avoiding opening too much new credit at once. While it’s good to have a mix of different kinds of credit, you don’t want to apply for a bunch of credit cards or loans all at once. Opening new credit results in an inquiry on your credit report, and too many inquiries damage your score. Plus, each new account lowers the average age of your credit, and an older age of credit helps you earn a better score.

These are the only ways to actually improve your credit score legitimately. You don’t need a credit repair company to help you do any of these things.

Don’t fall for credit repair scams

If you make a commitment to improve your credit through developing responsible borrowing behaviors, there will be no reason for you to hire a credit repair company. This is the best and safest way to avoid falling victim to a scam — and you’ll save a lot of money you’d otherwise have paid to a company that can’t really provide much help.

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Credit Repair Companies

Bad Credit Credit Cards – Workout My Credit Solutions Rises as an Authority in Credit Repair and Financial Education | Fintech Zoom

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Bad Credit Credit Cards – Workout My Credit Solutions Rises as an Authority in Credit Repair and Financial Education

Quality of life is impacted by numerous factors, and one of its most significant determinants is a person’s financial health. For the most part, financial stability involves the ability to provide for themselves or their family members without putting a significant dent in their wallets. As a concept, financial stability as well as financial freedom is easy to understand but achieving and maintaining it is a whole new story. Today, millions of individuals around the world are struggling with money issues, some of which are caused by the outbreak of COVID-19. However, there are those contending with bad credit, in particular, as a result of ill-informed decisions, mismanagement, and more. Widely acclaimed for the extent to which it helps clients get their credit into shape, Workout My Credit Solutions, LLC has emerged as a go-to venture that is currently making waves in the industry.

Also Read | Top 9 Upcoming Credit Repair Companies

This emerging powerhouse was launched by Nicole Fisher, a 25-year-old serial entrepreneur who has earned recognition for her all-out attitude toward lending people a hand through her initiatives. Highly cognizant of the impact of bad credit on one’s financial health, she started Workout My Credit Solutions in May 2020 and, since then, has been making it possible for clients to get approved for credit cards, mortgage loans, and auto loans, to name a few.

In just a year, the credit repair company has seen impressive growth, reaching remarkable heights due to its consistent delivery of top-notch services. Apart from restoring one’s credit into its former glory, Workout My Credit Solutions also delivers financial education because it believes in the importance of equipping clients with the knowledge they need to handle their money better. It acknowledges the existing gaps in the current educational system where ample attention is not given to arming people with the skills they need to secure a financially stable future. “Our goal is to help clients understand how credit works while they are in the process of getting it fixed,” shares Nicole Fisher.

Also Read | Top 9 Upcoming Credit Repair Companies

Additionally, Workout My Credit Solutions, under the leadership of Nicole Fisher, enables clients to get pre-approved mortgage loans after having their credit repaired by this five-star company. The additional service is strategically designed and incorporated into its inventory of offerings to translate into reality the dreams of those wishing to own a home.

On track to taking center stage, Workout My Credit Solutions has been on the receiving end of excellent reviews from everyone who has come under its wing. It takes pride in the long list of accomplishments it managed to snag under its belt shortly after its establishment and is set to reach the forefront of the industry in the coming years.

With its dedication to pushing people toward financial freedom, Workout My Credit Solutions is bound to remain an impressive force. As it carves a path toward the summit, it plans to continue serving as a leading authority in credit repair and financial education.

Bad Credit Credit Cards – Workout My Credit Solutions Rises as an Authority in Credit Repair and Financial Education

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Credit Repair Companies

How Credit Repairers Work – Do They Really Help? – Latest News, Breaking News, Top News Headlines

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According to the Condusef, credit repair companies, as their name indicates, are companies that can negotiate your debts and even clean up your negative image in the Credit Bureau. The body points out that it does not exist as a legal figure.

Credit repair firms are not supervised by the government and the way they operate is determined by their employees. The offer that they make to erase your credit history in the Credit Bureau in exchange for money is not possible, they cannot do it.

Some repair companies support people whose debts are greater than 30,000 pesos. Photo: My Pocket.

Some repair companies support people whose debts are greater than 30,000 pesos, on credit cards, debit cards, loans or departmental cards. Users may be behind with their payments, or have reached over-indebtedness or inability to pay.

Functions of credit repairers:

The Condusef points out that credit repair companies offer these services:

Legal and financial advice: They consider your income, your expenses and the debts you have, then they calculate the amount of money that you can dedicate to pay your debts or if they can get you another loan to put together the payment scheme. They negotiate on your behalf: They negotiate the restructuring with the credit institutions and also negotiate the reduction to the amount of your debt. They divert the calls of the collection offices to them: An attractive aspect of the service that the repair companies offer is that they free you from the phone calls of the collection offices of your creditors.

The Condusef clarifies that the discounts or discounts offered by credit repairers depend on negotiation and the goodwill of your creditors.

If you consider necessary the intervention of a repair company to solve your payment problems, the Condusef suggests that you analyze the contract, see if you agree with the conditions established there, the cost, in short, everything that they indicate and what would happen if you drop out of the program or fall behind, once again, with payments.

The Condusef also warns that some repair companies charge for each phase of the process and others a monthly fee or a percentage of the decrease in your debt.

The Condusef recommends, if you find yourself in trouble paying your debts, that instead of requesting the services of a credit repair company, you go to any credit institution that you owe and with them you see the possibility of renegotiating the payment conditions .

More information in our Credits Section.



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Intel Credit Consultants launches their new website – Press Release

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With their new website launch, Intel Credit Consultants is seeking to serve its clients better and effectively by providing an easy to navigate platform

Credit repair company, Intel Credit Consultants has launched a new website. While making the announcement, the lead consultant at the company said they are seeking to provide better services to their customers at a time when people have been negatively affected by the effects of COVID 19 on the economy. The new website according to the company representative is easy to use and navigate with visitors finding what they need easily and quickly. “We are providing a platform where our customers and visitors can get all the information they are looking for easily. We understand the pain that people go through as they seek for information on credit repair, our newly upgraded platform is arranged in such a way that answers that you seek are answered and to your satisfaction,” said the company representative while articulating some of the features  they have included  to make their platform more user friendly and informative.

Apart from sections that articulate the company services and other related information, the website also contains a blog section where customers and visitors can find articles written by professional credit repair specialists. “As a company that believes in equipping its customers with information which help them make informed decisions , we will be posting well-researched and detailed articles that educate on credit repair and other financial matters,” said the company representative adding that this information is vital for any individual or business that is seeking to boost financial position.

Intel Credit Consultants has been providing credit repair services to its customers for a number of years growing to be one of the most trusted and reliable companies. According to the company representative, they are highly rated in the Google Reviews, something he attributed to quality services and superior customer support they have been providing to their customers. He added that with the new website, they will reach out to more people who are looking for credit repair assistance.

The credit repair company offers several packages including: Credit Wiz package which is a onetime purchase that allows lifetime access, gives access to documents and an option to become affiliate referrals. Finance plus package offers the customer different ways to remove negative info. Powerhouse package, elite credit repair and Elite financial repair are the other packages that customers can subscribe to, each providing several features which the company representative says are all aimed at providing superior credit repair services. The company spokesperson invites people seeking for credit repair services to visit the website and learn more about the packages.

For more information visit: https://intelcreditconsultants.com/

About Intel Credit Consultants

Intel Credit Consultants is a credit repair company that prioritizes on clients’ needs making sure they are equipped with information that helps them make informed credit decisions. The trustworthy and hardworking credit repair firm aims at helping its clients reach their full financial potential.  They are known for fast credit repair services targeting at seeing real improvement in client’s credit score in less than six weeks.

Media Contact
Company Name: Intel Credit Consultants
Contact Person: Media Relations
Email: Send Email
Phone: 866.990.7175
Country: United States
Website: https://intelcreditconsultants.com/



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