No… Some credit repair companies are disingenuous and less than forthright, and others are not and use the dispute process to obtain impressive results. The federal government has imposed strict regulations on credit repair businesses in an attempt to discourage unscrupulous credit repair opportunists.
Enforced by The Federal Trade Commission (FTC), was put in place to protect consumers from unscrupulous practices by organizations who claim to repair credit.
The Act seeks to ensure that consumers who decide to use credit repair services are aware of their rights and are able to make an informed decision about choosing to pay a credit repair company.
Recognizing a Credit Repair Scam
The FTC urges caution when choosing a credit repair firm, stressing the following:
1. Beware of Companies That Don’t Give You A Written Contract.
Credit repair organizations must give you a copy of the Consumer Credit File Rights Under State and Federal Law before you sign a contract. They also must give you a written contract that spells out the terms and conditions of payment and describes in-depth the services to be provided; including any guarantees of performance and your rights and obligations should also be disclosed.
2. Beware of Companies That Guarantee Results
3. Beware of Companies That Charge Fees In Advance
4. Beware When Your Rights Are Not Disclosed
5. Beware of Companies That Imply FTC Endorsement
6. Beware of Companies That Imply CDIA Endorsement
7. Beware of Companies That Recommend Altering Your Identity
8. Beware of Companies That Sell Artificial Tradelines
9. Beware of Companies If They Ask You To Waive Your Rights
10. Beware of Companies That Don’t Allow You to Cancel At Anytime
CREDIT REPAIR PROGRAM
DEBT RESOLUTION PROGRAM
IDENTITY PROTECTION SERVICE