3 Bad Credit Repair Scams To Avoid!

March 2, 2009 by  
Filed under Credit Repair

If you have bad credit, you are already a target for companies that will promise credit repair but not deliver. There are several bad credit repair scams that are on the market today. Most of them offer the same thing – perfect credit repair including your credit score for a fee. Three of the most common scams today are perpetuated by companies that appear to operate as legitimate credit repair companies.

The ‘We Know People’ Scam

The most common of the credit repair scams are those that tell clients that they know people in the industry and can get your credit score wiped clean, even if you have foreclosures and bankruptcies on your credit report. They will charge a fee up front for this service and may even send you some information that indicates that they have repaired your credit. This type of credit repair service is most likely fraudulent and, when you actually get a copy of your credit report, you will see that they did not come through with the credit repair services as promised. Do not fall for this scam.

The ‘Fake Credit Report’ Scam

In one type of phony credit repair scam, clients with good credit are being send reports that they have items on their credit report that are damaging their credit score. They are asked for a fee to remove the item. The fake credit repair services company will send a false report to the customer and urge them to pay a small amount of money to eliminate this debt. Many people will pay, rather than go through the trouble of trying to write to the credit bureaus. The customer will feel satisfied that they have relieved themselves from this burden and never know it was false.

The ‘Wiped Clean Credit Report’ Scam

One of the most popular methods that scam artists perpetrate on those who want credit repair is to say that they can wipe clean the entire credit report for the client. This is another scam as the only way that anything can be removed from your credit report is if it is made in error. Most of the companies that will perpetrate credit report scams will take your money and you will never hear from them again.

You can get free credit repair if you understand how to work with the credit bureaus and remove anything on your credit report that is on there in error and cannot be proven. You should take a look at credit repair software that can help you do this as well as learn as much as you can about legal credit repair by reading a credit repair guide. Do not fall prey to the scam artist that will look at your bad credit as a way to make money from your problems. Look for a way to repair credit that is not only legal, but will actually work to remove erroneous items from your credit report and repair credit score amounts as well as your credit report itself.

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