There are tons of credit repair myths that many people believe to be true. It's important to investigate these myths before giving in to them, especially when certain credit repair myths can do more harm than good to your credit score.
Credit repair is a perfectly valid service that has helped many people improve their credit ratings. There is no "quick fix" when it comes to repairing your credit. If you have a 580 FICO score, it won't change into a 720 overnight. Paying off your debts takes time. Rebuilding credit takes time. That doesn't, however, discount the effectiveness of credit repair.
At Best Legal Credit Repair, we will repair your credit by disputing all negative items, errors, and inaccuracies. Your low credit score could be partially due to these blemishes on your credit report, and it's important to get them removed as soon as possible. Don't remain at the mercy of your credit report. Sign up now!
1. If you pay off your accounts, closing them will raise your credit score. You can keep paying them off, but keeping them open is much more beneficial. Closing them will hurt your credit-to-debt ratio, which is a big component of your credit score.
2. Shopping around for loan rates can lower your score. Every time you apply for a loan, the lender checks your credit score. Excessive credit inquiries can damage your credit, but you're given a 14-day grace period. If you apply for one loan, as long as you wait 14 days or more to apply for the next one, your credit won't be ruined.
3. Bankruptcy will wipe the slate clean. After you're discharged from bankruptcy, your debts may get paid, but it will still leave a mark on your credit report. You normally have to wait 7-10 days until bankruptcy is erased from your report, and you're truly able to start things on a "clean slate."
4. When paying off past due accounts, like charge-offs and collection accounts, they will show up as "paid" as no longer be negative. They will show off as "paid," but they'll still be negative. Instead, the account status will read "paid collection," "paid was late," or "paid was charged off." Collection accounts remain on your credit report for a maximum of seven years.
5. If you build up enough good credit, that will cancel out the bad credit. Any amount of bad credit could be detrimental, because most lenders only look at your FICO score and not your credit report. All they see is a three-digit number. The fact that your low score is merely due to two late payments is irrelevant to lenders.
6. Credit repair doesn't work. In almost every case, you can at least slightly improve your credit score by signing up for credit repair. The majority of credit reports are filled with errors, so eliminating them will definitely make a difference. If your low credit score is due to multiple delinquencies, fixing your credit alone cannot boost your score.
7. Credit repair agencies are all scams. Sure, there are corrupt credit repair agencies, but corruption exists in all areas of business! If a credit repair agency promises to restore your credit to "perfect" status, then it's probably a scam. If an agency makes that promise, be sure it comes with a money-back guarantee.
8. You can't fix bad credit. No one's credit is beyond repair. Anyone's credit can be repaired with time and careful repayment of debts. As older debts get paid off and newer debts get paid on time, even the worst credit can improve.
9. Divorce shouldn't affect your credit. If your name is still on a credit line (even after getting divorced from your spouse), you're still responsible for that account. The creditors didn't cause your marriage to break up.
10. Removing negative, accurate items from your credit report is illegal. You cannot remove ALL negative items from your credit report, but keep in mind that negative items are only required to remain on your report for seven years. After seven years, it's perfectly legal to delete them.
At Best Legal Credit Repair, we carefully acknowledge these top 10 credit repair myths. Our services are 100% legal. In a matter of 4-6 months, we can eliminate all errors from your credit report. Don't let these credit report errors ruin your credit! Call us toll-free at 1-800-455-9416 or fill out our online form to sign up for your FREE consultation today!
