A mistake in a credit report is much more common than one might think it to be. While a person can himself remove all the inaccurate information from his credit report, the process might often end up being time-consuming and frustrating.
This is where credit repair companiescome into the limelight.
How does a credit repair company work?
Every credit repair company possesses its unique way of doing things. Generally, the following three-step process is followed by every company:
- Free consultation
A credit repair company will pull your credit report from the three required bureaus, walk you through the process, and help you determine whether you are a good candidate for credit repair or not.
- The written consent and limited power of attorney
The representatives of the company will inform you if they find any mistake in your file. For the same, they will send you a written contract that gives them a limited power of attorney, in simple words, a legal right that they can act for and on your behalf.
- Challenge items
With your legal consent, the company moves on to dispute the inaccurate items with the major credit bureaus and your creditors. Once being notified, the credit reporting agency will investigate within 30 days of receiving disputes. They will remove them from the credit profile once the errors are confirmed.
A credit repair company can make the process of repairing your credit and removing all the inaccuracies faster and easier by doing all the heavy lifting for you, including finding all the accuracies, obtaining the credit reports, and disputing any mistake that they come across directly with the credit bureaus and the creditors.Wish to know more? You can see this here.