How Credit Repair Works
    Posted on 06/13/2022

Those who have a spotty credit history do have the option of repairing their credit, in fact the ability to do so is ensured under the Fair Credit Reporting Act (FCRA). The single most used way that people go about correcting their credit is by writing letters to the three major credit bureaus. The bureaus require letters because of the necessary documentation and evidence that must be provided in order to dispute or correct any part of one’s credit report. Although it may seem easy to just write letters, the actual credit repair process is much more complicated than it may initially seem.

Disputes, Payments, and Time

Under the guidelines set by the FCRA the credit bureaus are required to preserve accurate reports on all individuals. If there are indeed any errors or inaccuracies, they must be removed in order to properly maintain that accuracy. If you review your credit report and find any negative entries made against you that you think have been inaccurately made, then you have the legal authority to pursue the correction of them. This can be done either via the internet or by sending in the required forms through the mail. It is recommended to go by regular mail because you can then attach unlimited evidence and documentation proving the error which of course would strengthen your case for correction.

A negative payment history is one of the more straightforward types of credit entries to make repairs on. Paying bills regularly, on time, has a direct effect to those negative entries. It is important to remember to always stay current on any bills that you have, because for lenders reviewing your credit history, they will see all of the made payments and view your credit history in a more favorable light.    

Although the removal of valid negative entries on a credit report is a near statistical impossibility, time can heal the majority of all wounds in regards to credit reports. Negative entries such as judgments, bankruptcies, charge-offs, and late payments have a limited duration of time that they can remain on a credit report. Subsequently, when the negative items are no longer valid they are removed from the report and the credit rating gains a substantial enhancement as a result.

To Conclude

Credit repair is not only possible, but it is a legal right that anyone who has a credit report is guaranteed. The dispute process can be a tedious one, with a lot of back and forth between the bureaus and the individual attempting to repair the inaccuracies of their report. That being said, although the process can be a headache to deal with, the removal of negative and invalid information on a person’s credit report has direct ramifications to their credit score, which only improve their financial situation.  

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