Bad credit financial status is often a barrier to borrowing loans, mortgages, credit cards, and all other financial instruments. Some companies offer to remove negative information from your credit reports or even claim to delete your credit history altogether, to assist you with this. However, can you clear your check out to zero and delete your whole credit history?
Problem-Solving: Credit History Deletion Services
There are companies out there that say they can make all the bad things disappear from your reports while keeping the good things. Some of them say they can erase all your credit report profiles, providing you with a new credit profile.
Such services often come intending to offer fast and easily accessible services. Some even claim they can erase bankruptcies, late payments, collections accounts, and other forms of credit report difficulties that ordinarily will take seven to ten years to be cleared off reports. They may even expect you to pay an initial fee of $200-$2000 for this kind of service.
However, the fact is that entering a company that deletes all information that is negative or completely provides you with a fresh slate in terms of credit history will cost you a lot of money, and it is most probably a scam. Keep on reading to find out why this usually does not work or when it does work, it is not very effective.
Facts About Credit History and Why Paying to Delete Credit History Usually Doesn’t Pay
There are a few reasons why services that promise to erase your credit history or remove accurate negative information likely won’t deliver what you paid for:
• It’s not legal – Companies cannot erase genuine, up-to-date negative information from your credit reports. This is in clear breach of the requirements set by the Fair Credit Reporting Act (FCRA).
• Some data, you can delete it on your own – As a rule, you can try to handle some discrepancies and delete some entries independently through the credit bureaus without the assistance of a specialist. But you cannot delete real, adverse, bona fide reports.
• The data deleted can always be requested again – So, a credit repair agency may succeed in having some of the legal information deleted temporarily, but it will soon be requested again.
• No lenders entertain wiped credit – The creation of ‘new’ credit by wiping your history will not be of much assistance because you are starting afresh without any history to indicate the level of risk that the lenders will be taking when extending credit to you. Any creditworthy lender does not accept loan applications for their clients without credit reports.
In other words, if reported accurately, negative credit data is required to stay in your reports for as long as seven to ten years legally. No companies can legally conceal this truthful information from you just because you pay them to do so.
I am sure you have all heard of credit repair scams.
Some warning signs a company that claims it can delete your credit history may be trying to scam you include:
• Demands for payments before getting services being provided
• In this case, they ensure that they can delete all the negative data completely.
• It tells you to dispute information on your own and not hire any professional help.
• Goes on to inform you to apply for an EIN to establish some sort of a fresh credit identity.
Getting trapped with these gimmicks will be expensive to you even if you do not get your reports repaired. It can also lead to extra monetary losses if the company engages in unlawful conduct that negates credit reporting regulations.
But are there better options?
Instead of paying a company unreliable claims to erase your history, focus on legitimate ways to rebuild credit, including:
• Neglect complaints on minor inaccurate entries and dispute them through the credit bureaus.
• Make sure every present bill is paid on or before the due date from now onward
• Pay your down credit card balances and ensure your credit utilization rate is not more than 30%.
• Spend no more than you earn and do not accrue new late payment records.
• As for negative information, we need to wait for it to decrease in reports.
However, responsible credit counseling agencies can also assist in demystifying realistic ways of dealing with negative information and boosting your credit scores. It is just advisable to avoid agencies, which promise you to clean as many wipes as possible.
The Bottom Line
Any service that offers to remove your credit history will not be able to do this because it is unlawful to delete accurate and correct adverse information or delete your credit history entirely. Avoid engaging with credit repair con artists. In its place, concentrate instead on practices that have been shown to help re-establish credit history more sustainably and constructively.
Call now for expert credit repair services: (888) 803-7889
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