5Sep/115
Does a credit repair company helps you improve your credit?
I been destroyed after this bad economy we went through.
My business went from heaven to hell, and I lost it all. Just got out of chapter 7 back in January.
Will a credit repair company help me anyhow? Does anyone knows a good one for a reference.
Let me know.
September 5th, 2011 - 19:27
No … they just take your money, and it doesn’t help your credit at all. You can’t just buy good credit … you have to earn it, by making your payments on time.
September 5th, 2011 - 20:11
No. Credit repair companies are mostly scams to make money from people who are already in debt. The few that are trustworthy work with your creditors to prevent you from having to file bankruptcy. If your debts were discharged in bankruptcy, then there is nothing for them to help you with.
You need time. Get a couple of secured credit cards and only use them to purchase things you would otherwise be buying in cash. Pay the balances off each month. After a couple of years, they may be willing to convert these to regular credit cards so you don’t have to pay the higher interest rates and you get your deposits back.
September 5th, 2011 - 20:19
Don’t bother with a credit repair company. All they do is challenge all the accounts on your credit report in hopes they won’t respond and then request that the accounts be removed on a technicality. Which won’t happen because the credit bureaus don’t play these games and the creditors do respond and verify the debt.
In your scenario there isn’t anything to dispute. You just wiped everything out with a chapter 7 bankruptcy. What do you think they can do to help you?
They can’t challenge the Bankruptcy sitting on your credit report and your score is in the toilet because of that. There are no accounts to dispute because they been included in the bankruptcy which means they no longer can come after you anyway and you confirmed that this once was your debt by including them in the bankruptcy.
The only thing you can do is to save up some money and get a secured credit card that reports the payments to the credit bureaus. The rest will take time…. about 10 years for the bankruptcy to fall off your credit report and to get a pristine but empty credit report back.
September 5th, 2011 - 21:12
Disputing inaccurate accounts is not a ‘game’, it’s a legal right. It’s amazing how many creditors and collectors inaccurately report items, whether they are included in a bankruptcy or just a run of the mill negative. For an example of an inaccuracy in bankruptcy reporting, if an account was kept in good standing at the time the bankruptcy was filed then the account cannot be reported as late, as charged off, etc., it simply must be reported as paid as agreed up until the time when it was included in the bankruptcy. If a creditor/collector fails to correct the inaccuracy then the account must be removed until the creditor/collector corrects the mistake. Sometimes they just don’t bother to respond to the credit bureaus (CRA’s).
Using a credit repair company (CRO) can often do more harm then good, besides paying them good money for something that you can do yourself. The CRA’s do not have to investigate anything that comes from anyone other than the person named on the credit report. Once you use a CRO then the CRA’s will often refuse to investigate a dispute, even if it is actually made by you, claiming that the dispute comes from an outside source and not from you.
Read the FTC FCRA. Order hard copies of your credit reports and look them over for any errors. If you dispute an inaccuracy then always dispute in writing rather than disputing online.
You might go to the site I’ve listed in the source box and do some reading in the Bankruptcy Forum. You will be able to read questions and discussions on how others have dealt with inaccuracies on their reports. It’s a free site to read and to ask any questions you may have.
September 5th, 2011 - 22:04
You can do all any credit repair company can do for yourself. All you need is knowledge. A bankruptcy is not the end of the world. Actually some creditors may look favorably (but cautiously) on it as your debt load is removed. If you have some sort of regular income and can handle your necessary expenses comfortably and show it you can rebuild your credit rather quickly. My chapter 7 discharge was in Dec
2010 and I now have a score of 686. It seems that every bankruptcy has a bit of a different story. In mine
my car loan was kept out and I paid that off. I additionally had a store card that was at a zero balance so it was also not part of the bankruptcy. In time I started using that card sparingly. I mostly concentrated on paying utilities and the cell phone on time. The addition of good credit as soon as possible is what is needed for the road to rebuild. When I decided to try for a secured card (orchard bank) they didn’t even require the security. I was just given a low limit that I’m sure in time will be lifted with timely payments.
I know others that have lost businesses, but in time if you are a survivor you will pick yourself up shake off the dust and start again. Good Luck!!