Is Hiring a Credit Repair Company Worth It?

When it comes to improving your credit score, you may be wondering if it's worth it to hire a credit repair company. After all, you can dispute credit report information yourself, free of charge. However, there are certain advantages to using a credit repair service that may make it worth the cost. Credit repair services promise to help you improve your credit score by challenging outdated or incorrect information in your credit reports.

This can be an effective way to increase your score and help you meet your goals, such as buying a house or car, or lowering your credit card interest rates. However, there are costs associated with these services, so it's important to investigate any company you're considering hiring. The credit repair industry is full of companies and it can be difficult to know which ones are legitimate and reputable. There are legitimate companies that provide credit repair services, but the field is also known for scams, so it's important to do your research before signing up with any company.

Be aware of laws that prohibit credit repair companies from charging upfront fees and that are required to give customers a three-day right of cancellation free of charge. Also remember that debt settlement could be considered a separate service depending on the credit repair service you choose. If you decide to hire a good credit repair company, it's not going to be cheap and it won't happen overnight. By law, you are entitled to a free credit report every 12 months from each of the three major national credit bureaus Equifax, Experian and TransUnion.

Having a low credit score can be a major obstacle when trying to open a new line of credit, whether it's a new credit card, car loan, or mortgage. Just remember that while legitimate credit repair companies can do what they promise, the field is rife with scammers. Once you have the EIN, you will be instructed to apply for a new credit with it, so that you can create a completely new credit history. This means that if you want to hire a good credit repair company, it's important to do your research and make sure they are reputable and trustworthy.