Credit repair scams have always been here, but in a weak economy scams of all types seem to get worse. Don’t fall for the most recent credit repair scams. Learn our tips on how to spot unscrupulous credit repair companies.

Credit Repair Scam Red Flags

Here are a few red flags that can warn you the credit repair company you are dealing with is about to scam you!

  • 1. They ask for payment before services are performed…this is illegal.
  • 2. The don’t go over your rights under the law.
  • 3. They promise to erase all the negative items on your credit report, even if they are accurate.
  • Credit repair scams linger and still catch the unaware due to the fact that there are procedures codified in law to verify the accuracy of credit report entries. Of course, that means there are procedures to fix inaccurate entries. It is this truth that scammers used to dupe the public into sending them money. Behind every good con is a sliver of truth.

    Yes, it is true.

    Consumers can use the law to clean off inaccuracies in their reports.

    What is also true…and a truism most scammers rely on to steal money and conveniently forget to mention?

    Nobody can clean off the accurate entries.

    You would think common sense would kick-in and remind potential victims, if this were possible (removing accurate data from reports) the whole credit repository and reporting system would disintegrate. Banks, credit card companies, mortgage lenders would have no faith in the reports or scores and cease using them.

    So if you actually have late payments, bankruptcy filings, and collection actions…they will be on your report no matter what. After all, it is accurate data.

    Many of the scammers “sell” their services by convincing victims they know techniques the consumer does NOT know.

    Now you know that is hogwash.

    My guess is if everyone who fell for a credit repair scam was NOT attempting to remove actual, accurate, damaging entires…attempting to circumvent the law…there would be no credit repair scams.

    I think the scammers actually bring out the larceny in the average person who falls for the pitch that he can get something he doesn’t deserve. In this case, a good credit score without earning it.

    Isn’t that the basis of all scams…a short cut to something valuable….the proverbial “something for nothing”.

    Another con-man proverb: “You can’t con a truly honest man” gets you the protection you really need from all scams.

    So check your own misplaced desires, be the “honest man” and the scammers of the world will have no hold over you.

    Good Luck!

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