Why Hire A Credit Repair Company?
Credit repair companies are popping up everywhere throughout the United States and since we live in a credit driven society, having good credit is a must and many consumers want to have their credit repaired. However, before you jump in and hire a credit repair company, you need to really think things through and see if hiring a professional credit repair company is really for you. Credit repair is not cheap and everything a credit repair company can do, you can do it on your own. It is not rocket science to repair your credit. If your intent is to repair your credit so you can qualify for a mortgage, contact your mortgage broker first and see what his advice is. Most mortgage professionals know the basics of quick fixes in credit repair where they can instantly help you boost your credit scores by having you pay down on your existing balances of your credit cards or just by getting one or two secured credit cards. Your mortgage professional also may be able to assist in helping you get rid of erroneous credit postings by doing a rapid rescore with his or her credit reporting vendor.
Hiring A Credit Repair Company To Delete Recent Late Payments
If you have had recent late payments in the past twelve months and your intent is to have those deleted by hiring a credit repair company, you will be wasting your time and be spending good money with a slim to zero chance of getting the derogatory removed. Credit repair companies will dispute derogatory items to the three credit reporting agencies by stating that the derogatory information is not yours and then the creditor has 30 days to provide proof or verification that the derogatory item is in fact yours. In the event if the creditor does not respond to the credit reporting agencies within 30 days, the credit reporting agencies will need to delete the disputed item in question by Federal law. Unfortunately, this is a cat and mouse game and it is extremely difficult to remove a recent derogatory from your credit reports. This strategy can be more harm than good and I really do not recommend that you use this technique to delete a recent derogatory item. If you were in fact late on a credit payment, the chances are almost nil that you can have that deleted. Your best bet is to contact the creditor and ask for mercy and forgiveness and see if they will remove the late payment for a one time only basis. If you have been consistently late, the chances that the creditor will remove it will probably not be good but you can still give it a shot.
Removing Older Derogatory Items
The older the derogatory credit item is, the easier it is to have it deleted by using the above approach. However, deleting older derogatory credit items will have no positive impact on your credit scores. The only thing this will do will be making your credit report look cleaner. Credit repair companies can be successful in removing older derogatory information.