If your credit score isn’t where you want it to be, certain ads may target you promising an easy solution to fixing your credit report. Unfortunately, there is no quick fix when it comes to credit reports.
While mistakes on your credit report can be corrected and your score can increase over time through building your credit, legally removing accurate and up-to-date information isn’t possible – no matter what those ads claim. Credit report fraud is just another scam that has been on the rise lately.
Recently, the Federal Trade Commission (FTC) shut down one group of businesses that were falsely claiming they could permanently erase negative information from people’s credit reports and improve credit scores. According to reports, this network of companies charged illegal upfront fees, provided customers with form letters to send to credit agencies, and falsely promised results.
Some people turn to legitimate credit repair companies to help correct errors on their credit reports. However, these companies are required to provide a detailed contract that outlines your legal rights and total costs before they can begin work. It’s also illegal for them to charge you before delivering results.
The truth is: you can handle credit repair yourself, often at little to no cost. Here’s how:
- Request Your Report – Get your free credit report from AnnualCreditReport.com, where Equifax, Experian, and TransUnion provide free weekly reports online.
- Review Your Details – Inspect your credit reports carefully. If you find any errors, write to both the credit bureau and the business that provided the incorrect information. Do a search for a “dispute letter” template to help get you started.
- Maintain Good Habits – Continue paying bills on time, reduce debt, and avoid taking on new debt. These actions will help improve your credit report over time.
If you encounter issues with a credit repair company, or if you spot scams, fraud, or bad business practices, report them to the FTC at ReportFraud.ftc.gov.
Thanks for joining us for another Fraud Friday! Share with a friend to help keep them safe from credit report fraudsters.