Credit Restoration Company Scandals

Credit Restoration Company Scandals

Credit Restoration  : Thousands, if not millions, or Americans are having to file for bankruptcy, foreclosures, and deep credit card debt. If you are one of those unlucky individuals, know that there is a way out of the dark tunnel. You can still build and improve your credit so you can get it back to where you want it to be.

Scam artists are always going to be around. Don’t get caught up in their lies. There are a lot of credit restoration companies that can promise you things that seem too good to be true. They boast that they can turn your credit score around in a short amount of time.

While we completely understand why this option is attractive to you, the truth is that these are scams. These companies are scamming you, or worse – performing illegal services. A good rule of thumb to remember is that if it sounds too good to be true, it probably is.

These are common lines that are used with scam artists in the industry. “We promise we will increase your credit score in 30 days or less!” “We guarantee your bad credit will be erased!” “We will take all bankruptcies, judgements, liens, etc off of your credit file within 30 days!”

“We “work with” specialized credit restoration companies that can…” “We will create a new identity for you – LEGALLY!” These lines are in almost all cases given by dishonest credit restoration companies.

Typically companies that promise these types of items will ask for a payment before they start their services. Or they ask for a fee if you want a consultation with them. These companies are legally obliged to not bill you until after they complete the services they promise to do. (Credit restoration Organization Act)

These companies can also deal in the illegal services as well. You cannot legally apply for a new identity. If the company says they are applying for an Employer Identification Number (EIN) instead of a new SSN, they are clearly off base and dealing in illegal practices. It is a federal crime to falsify any statements on a credit or loan application, and you will be prosecuted just like they will.

Don’t become a victim to these types of scams. Be smart when you are repairing your credit. Don’t get caught up in false promises of quick fixes.