Legal Loopholes And Credit Repair Tactics Exposed

Though staying away from credit damages and other such things is of paramount importance, it does not always happen that way. It would be pertinent to mention here that roughly as estimated 80 million citizens of this country are suffering from damages to the credit score. In other words, they have poor credit. This indeed is a sad thing but at the same time we also need to look at it from a different perspective. While damages to credit score for many individuals may have occurred because of their own mistakes such as delayed payments, delinquencies and other such issues, there also is another side to the story. According to some studies almost 79% of all the credit reports that emanate from different credit agencies have errors and mistakes in them. Hence, it would be wrong for borrowers and other stakeholders to go simply by what is mentioned in the credit reports. It would be a good idea to take these credit reports with a pinch of salt.

There are many legal loopholes and other such avenues that could come in handy whenever there is a need to correct a credit score that you feel is ridden with errors and mistakes. You also could come across many credit repair companies and service providers. They may try to sell their skills in helping you to repair your damaged credit repair. It may not be necessary because most of the errors or mistakes in your credit report are correctable. You can prevent spending hundreds or perhaps even thousands of dollars that you pay to these credit repair firms, companies and even individuals. We are happy to list down a few things that could be followed in a tool known as LEGAL LOOPHOLES AND CREDIT REPAIR TACTICS EXPOSED.

This indeed is a good resource to have if you are keen on correcting those errors that may have inadvertently slipped into your credit report. There are also instances where many financial institutions and lenders are downright unfair when it comes to adding some negative lines to a borrowers’ credit report. These are blatantly illegal and there are legal ways and methods by which the same can be corrected. Without wasting too much time, let us straightaway get into tactics that could be used for making your credit report better and also delete those wrong entries.

SUBMIT DISPUTE TO CREDIT BUREAU

As a borrower, you are within your right to dispute what you feel is a wrong entry in your credit report. This protection and right has been given to all borrowers under The Fair Credit Reporting Act. This is basically a Federal Law. It is quite clear in its objective. It lays down clearly the type of information that ought to be listed in your credit report and how long it should stay in your credit report. Generally, the entries that are noted in a Credit report should not stay beyond seven years. Hence, if you come across any such situation where you feel that old entries are still hanging around in your credit report, you are within your right to dispute the same and have it deleted.

You can send your disagreement or dispute through mail. However, before doing so make sure that you have a copy of the credit report available with you. According to FCRA as an individual borrower you are entitled to an accurate credit report. When you make use of the tool (Legal loopholes and credit repair tactics exposed), you will be able to understand how this can be done legally.

YOU CAN ALSO REPORT THE ENTITY THAT REPORTED THE ENTRY TO THE CREDIT BUREAU

If you believe that there are a few entries that have been wrongly reported to the credit report bureau, you are within your rights to report the same to the credit bureau. You can take the name of the business or other entities that have posted such wrong entries. This information will reach the entity concerned and they are legally bound to either dispute your claim. In case if they are not able to prove it, they should ensure that the wrong entry or entries in your credit bureau report is deleted without any delay.

YOU COULD ALSO SEND A PAY OR DELETE OFFER

In case you feel that some of the entries are correct and could have a negative impact on your overall credit score and credit ranking, you have another option available in front of you. You could go in for a one-time settlement and offer to pay the amount that is appearing in your credit score document. You also could make an offer requesting the credit bureau to delete the entry once the payment has been made. However, please make sure that the lender is kept in the loop because you will be making the payment offer to them. Once you have honored your payment offer, the lender is obligated under the law to recommend deletion of the entry. Once this happens, you can be sure that your credit report and the credit score will look much better and much healthier.

GOODWILL OFFER FOR DELETION

You also could appeal to the lender and ask for a goodwill offer for deletion. However, this has to be done before you make the payment and not after that. The advantage of goodwill offers is that you could settle for a much lower amount than what is actually due and therefore you could save money.

WAIT FOR THE CREDIT REPORTING TIME LIMIT TO GET OVER

The law states that credit reporting entries cannot remain in your credit report till eternity. In most cases the entries can remain for a maximum period of seven years. The only exception is bankruptcy which can remain in your credit report for ten years. The entries may be deleted by the credit reporting agencies but they may use it for other purposes when it comes to the applicant seeking a new job and so on. Hence, you must make sure that the credit agency does not use the deletion tactic to arm twist you for other important matters like reporting your credit history to potential employers and so on.

CONCLUSION

Credit is a big subject and interesting subject also. You must make use of the credit report diligently and ensure that it remains in good shape. However, in case it goes long and in case there are legal ways and approaches to overcome this negative impact of your credit report, you are well within your legal rights to do so.