Credit Restoration - How to Repair Your Credit
Credit restoration is a process that takes time and effort. Companies that promise an easy way out of bad credit for a fee are often scams that accomplish nothing (learn more about
credit repair services). Their bad advice can even lead to more legal trouble for you. However, there are a few measures that citizens are entitled to when it comes to credit. For example, if your loan, insurance or employment application is denied, you can obtain free credit report within 60 days of the action. Free credit reports are also entitled to those who are unemployed and planning on looking for a job within 60 days, those on welfare and those whose report is inaccurate because of fraud such as identity theft. Everyone else can request a free credit report from each of the nationwide consumer reporting companies once a year. You are also entitled to dispute mistakes or outdated items for free under the FCRA law.
Steps to correcting your bad credit first involve notifying the consumer reporting company, in writing, the information you believe is incorrect. You must include copies of documents that help support your claims and your letter should clearly list each fact you wish to dispute. Credit reporting companies are required to investigate all disputed claims and usually issue their results within 30 days. Upon finding a mistake in your credit report, the company must notify all three credit reporting companies, notify you of the results of the investigation in writing, give you a free credit report which includes the corrections and, upon request, must send your new credit report to all who received a copy within the last six months. If no corrections are to be made, you may have a written record of your dispute placed in your credit report. For a fee, the credit report company can also provide your dispute record to anyone who has recently requested a credit report. If the disputed items are investigated and found correct, only time can remove them from your report. Most negative information remains on your report for seven years, while bankruptcy information remains for ten years.