{"id":358635,"date":"2022-09-06T10:47:28","date_gmt":"2022-09-06T16:47:28","guid":{"rendered":"https:\/\/www.creditrepair.com\/blog\/?p=358635"},"modified":"2022-09-06T11:05:17","modified_gmt":"2022-09-06T17:05:17","slug":"legal-credit-repair-methods","status":"publish","type":"post","link":"https:\/\/www.creditrepair.com\/blog\/credit-repair\/legal-credit-repair-methods\/","title":{"rendered":"Is credit repair legal?"},"content":{"rendered":"\n
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Disclosure regarding our editorial content standards.<\/a><\/p>\n\n\n\n

Bad credit and a bad credit score can be the stuff of nightmares. It restricts many of your freedoms, including lowering your chances of getting a loan or a mortgage. Some employers even reject job applications if you have bad credit.<\/p>\n\n\n\n

If you\u2019re in such a situation, credit repair might seem like a reasonable course of action. The process is legal and allows you to maintain credit that reflects your financial reality. <\/p>\n\n\n\n

However, before you call the first number you find for a company that promises fast credit repair, let\u2019s discuss what to know and what to watch out for so you can avoid getting scammed.<\/p>\n\n\n\n

What is credit repair?<\/h2>\n\n\n\n

Credit repair is simply the act of working to \u201cfix\u201d your credit. Some people think that means erasing everything bad so your credit is pristine and you can jump up into the high tiers of the credit score ranges.<\/p>\n\n\n\n

That\u2019s actually impossible and potentially illegal. Creditors and the credit bureaus have a  burden under the law to provide credit reports that are fair and accurate. If you have a legitimate negative mark on your credit history, you may have to wait for time to erase it while you take positive actions to improve your credit in other ways.<\/p>\n\n\n\n

Ultimately, credit repair means taking actions that can help your credit and credit scores. Credit scores are calculated using your credit reports and several different scoring models, but the general consensus is that scores<\/a> around 680 and up are considered good to excellent.<\/p>\n\n\n\n

Scores between 580 and 680, give or take a few points in different models, might be considered fair. Scores at the lower end of the range, which bottoms out at 300, are considered bad or poor.<\/p>\n\n\n\n

When you engage in credit repair, you may be trying to better your credit for many reasons. Better credit is desirable because it makes it more likely you\u2019ll get approved for loans. Good or excellent credit scores also help you get approved with terms that are more favorable, such as lower interest rates. That can reduce the cost of borrowing money.<\/p>\n\n\n\n

How does credit repair work?<\/h2>\n\n\n\n

Credit repair involves taking positive actions to counter the impact of negative information on your credit report. This may mean that you inform the credit bureaus of inaccurate, negative items on your credit report to have them removed, or it may mean creating positive credit habits that can reflect well on your report over time.<\/p>\n\n\n\n

When you want the credit bureaus to remove inaccurate, negative items on your credit report, you start by requesting your credit reports from the three credit bureaus<\/a>: Experian\u00ae, TransUnion\u00ae and Equifax\u00ae. The reports contain records of your transactions and should match your financial statements.<\/p>\n\n\n\n

However, credit reports can have errors like:<\/p>\n\n\n\n