How long does the credit repair process take?
It's not the answer most want to hear, but it is difficult to predict how long the process will take. Every clients credit report is unique and every situation will take different steps for rebuilding. The steps will vary in time. Client participation is a contributing factor and something we have no control over. We will guide you to success but some things are in your hands. Our average client stays with us 6 months and sees a substantial improvement in their credit profile.
Does it fit my budget?
The last thing you need is to get further behind on bills trying to fix your credit. One question we always ask a potential client is, “Are you current on your monthly bills”. We do this because it will not benefit the potential client if they continue to have late payments on their credit profile. If you are tired of bad credit you will find a way to cut expenses to fit a credit program into your budget. It just has to be a priority, if you are not 100% ready to make the necessary changes needed to fix your credit, don’t waste your money.
Can't I just repair my credit on my own?
The simple answer is yes, we offer a DIY Credit Repair Kit if that suits your needs. If you are on a tight budget this is an excellent alternative. You are hiring a credit repair company to leverage their knowledge of the FCRA in your favor. Credit Repair is a process and some, either do not have the time or just want a professional to follow through with the process for them.
What is your cancellation policy?
When hiring a Credit Repair Company the consumer has legal rights. After enrolling in any service you have three days by law to cancel and receive a full refund. After three days, Approved Credit Resources has a cancel anytime policy and will no longer charge you for services. We do not lock you into a certain timeframe like most credit repair companies, but believe if we are providing the services you deserve you will allow us to complete the process.
What is your guarantee?
Of course, this is the most asked question to our sales agents. A big reason credit repair companies get a bad reputation is over promising and under delivering to just get a sale. Approved Credit Resources guarantees that all items deleted from your report will remain deleted or we will provide the correct documentation to the Credit Bureaus to have it removed again for free.
**There are laws set in place to guard your rights and certain guidelines all Credit Repair companies have to follow. Warning signs for credit repair scams include companies that claim it can guarantee a specific increase in your credit score or get rid of negative credit information on your credit report even though the information is accurate and verifiable. Do not work with any company that guarantees results, refuses to explain your legal rights, claims you need a new identity or asks you to misrepresent information.
Where does my score need to be to buy a home?
Every state has different lending guidelines and policies. Just know, the lower your credit score the more down payment you will need. You will also have a much higher interest rate and pay tens of thousands of dollars more over the timeframe of the mortgage. It's always best to get your credit scores the highest you can to receive better lending terms. Be sure to find a local mortgage lender you trust to walk you through all your options. Approved Credit Resources works directly with MTX Realty to assist with finding an experienced realtor & lender that fits your needs.
Will deletions improve my score?
You have to think of it this way, rebuilding credit is what rebuilds your credit score. Payment history, credit mix and length of credit, accounts for 60% of your credit score. So in theory, you can delete all the items you can, but without the rebuilding portion it is difficult to get those needed score increases. Don't get me wrong, the deletions are a necessary evil and will increase your scores, but rebuilding history coupled with deletions is the only way to get you across the finish line.
Is Credit Repair Worth The Cost?
A few questions we get from potential clients is why should I hire you to fix my credit? I can just do it on my own and save the money. Another one is, if I am not trying to buy a house or car, why should I care about my credit.
Below are a few topics to think about if cost is a concern:
- Should I just use the money to pay off collections?
- How do I decide which company to go with, they all vary in cost?
- If I am not buying a house or car why should I care about my credit?
Should I just use the money to pay off collections?
A lot of people think I will just negotiate the Collections on my report and everything will be ok! This is not true. Paying off a Collection does not boost your credit scores. The way the system or credit calculation views a collection has nothing to do with the balance, but the simple fact that it is a collection. Paying off a collection will help lower your Debt-To-Income Ratio, which may help in getting a home loan but has nothing to do with your actual credit score.
You can always ask for a pay for delete but most collection companies do not offer that anymore. By calling them you now have now verified the debt and the timeline can restart and be stuck on your report for seven more years. If you decide to settle, no collection company will delete it and it will state “Settled For Lesser Amount” on your credit report. This does not help your credit score, just your DTI.
The best approach is trying to get it deleted from your credit report first before looking at other avenues. Deleting it will lift your scores and lower your risk factors.
How do I decide which company to go with, they all vary in cost?
So you have made the decision to hire a Credit Repair Company. Now the tough decision, who should I go with. Some think, well this company charges $750 so they have to be better or the exact opposite, they are way too cheap. Credit Repair should never cost you thousands of dollars. The main concern should be if they are knowledgeable, so ask questions. Be leery of companies that guarantees results or states something too good to be true.
Credit Repair and Rebuilding Credit is a process and takes 6-12 months depending on what is impacting your credit scores. Make sure they show you terms of service and have a cancellation policy. Communication is key, if you do not hear from the company you hire within the first 40 days of enrollment I would think about looking for a different path.
If I am not buying a house or car why should I care about my credit?
Having bad credit affects your overall financial stability more than you know. Did you know that every time you acquire car insurance or any other insurance products that your rates will be higher due to poor credit. You also have to put up deposits for things like electricity and natural gas services. Another financial impact is much higher interest rates on the loans you can get.
Over time you will spend thousands of dollars more for all the little things that are needed for living in our society. In the long run this impacts your overall financial security and savings. Look at the big picture and make the decision that credit must be a priority and whether you hire a company or fix your credit on your own, just do it.