FAQs
Question or problem?
Find Your Solution.
How long does credit repair take?
The credit repair process unfolds differently for each client because each person’s credit profiles are unique to them- like DNA.
There are many factors that impact the process.
From our experience, many clients see scores improve, it is common to see the majority of the positive results by the end of month 3 or 4 when the account is properly addressed.
This is not always the outcome, some clients have more complicated situations, or need more time to establish required accounts.
Ultimately, the sooner you take action and let the process unfold, the sooner you will see improvements.
01
What will my credit score be after you fix my credit?
The proprietary algorithm of “FICO” makes it impossible for any credit repair company or person to claim to know just “how many” points their scores will improve by during and after the process.
What we can say with confidence is that when our clients follow their credit building game plan with precision:
-
establish the required accounts to meet FICO’s minimum requirement.
-
avoid any new missed payments, defaulted accounts, or acquire new collections
-
avoid going over the limit or maxing out on any credit line
Scores will absolutely improve.
02
How long does can negative credit info remain on my credit report
Great question!
Creditors and collectors pay 1, 2, or 3 of the big bureaus - Transunion, Experian, and Equifax to report. At any time a creditor/collector may spontaneously remove negative information.
Just the same, they may report to your credit.
It's important to understand each of these companies stands alone.
Some bureaus report more or less information than another, another explanation for varying credit scores.
Their responses to disputes also differ, which is why we call this journey a “process.”
Fair Credit Reporting Act (FCRA) was enacted to hold creditors liable for the information they report, and how they report it. This set of laws is also what makes credit repair legal and ethical.
Even if you owed a debt in the past, it does not mean the creditor is accurately reporting every aspect of reporting to each bureau. By law, they must report each account 100% accurately; correct it, or delete it from your credit file.
The FCRA, which mandates that most negative items must be deleted from the credit report in no more than 7 years from the date of the last activity (DOLA).
03
Why is the score my lender gave me different credit score different than the credit score on Credit Karma?
There is currently NO consumer credit monitoring1
Whether it be FICO score monitoring or Vantage score monitoring site like Credit Karma that provide the scores that a lender sees because they simply pull a different version of your scores- one that consumers do not have access to.
The most important things to understand about credit and scores. Scores are generated based on the information that is reporting.
Credit scores are not static, they change throughout the month based on that information that reports updating, as well as any new information or updates reporting; good or bad.
Don’t focus on scores. Focus on the information that is reporting.
Do you have more positive than negative accounts?
Do you lack credit lines?
FICO likes to see a min of (5) revolving accounts (credit cards). Installment accounts like auto loans, hard finance loans, or secured loans weigh much less than do credit cards.
Always look at your reports first, to understand why your scores have increased/decreased/stayed the same.
04
How often are scores updated?
Credit karma updates on a weekly basis. Experian updates on a monthly basis, as does Credit Sesame and many others. Most scores you see through credit monitoring sites are Vantage scores.
For premium cost, you can track FICO scores, but it is not more or less accurate. The scores are based on the information reporting and if the information you are looking at is old, your scores are not accurate as of the day you are looking at it.
Remember these scores change constantly through the month and timing is everything.
All you can do is what is in your control:
-
focus on staying current on all active and open accounts
-
have a sufficient number of positive accounts
-
sufficient mix of credit (installment + credit lines)
-
low inquiries, little to no derogatory accounts like collections + charge offs ( (paying collection accounts does not improve credit scores because they are still derogatory accounts)
-
most importantly keep your utilization ratio under 10% for very good scores month to month.
05
Will I build credit by using my credit/prepaid cards for purchase?
No.
Debit card and or prepaid card activity directly deals with your available cash and is not reported to Transunion, Experian, and Equifax.
They only report if you default and the information they report is negative.
Do not fear credit!
You do not have to be in debt to have fantastic credit. When managed properly, you have the benefit of having cash, savings, and amazing credit.
Let us help you!
06
Will closing credit cards help my credit score?
In most cases, No.
Closing revolving lines of credit typically hurts scores because most people carry high balances month to month, so their utilization or credit usage is high.
Utilization controls 30% of our credit scores, so we want to show as little usage as possible by paying down or paying off balances before the billing cycle closes, before the statement is issued.
By closing a credit card, you then lose that “available credit, credit + payment history.
Another reason it usually hurts your scores is because most people do not have a sufficient number of credit lines + mix of credit in the first place, so when a credit line is closed in these two specific examples, scores suffer.
Revolving credit payment history, the average age of revolving credit, and utilization percentages are responsible for over 65% of your credit scores.
If you are paying fees on a credit line and wish not to, it is important to stragetize so that when you do close the account, you are sure your utilization will not increase, which makes your scores decrease, and that you have enough supporting, active lines of credit reporting before you close that account.
07
If one Credit Reporting Agency deletes an item, will the other two also delete?
The Credit Reporting Agencies: Experian, Equifax, and TransUnion are privately owned businesses that operate independently from each other. If one or two credit reporting agencies adds or deletes an item to their report, it does not mean that the third is required to do so, however, we will attempt to leverage those deletions with the opposing bureau(s).
A report of Fraud or Identity Theft is among the only times the Credit Bureaus are required to cooperate and notify the other. Note: We are partnered with fantastic lawyers who can assist if you have been a victim of fraud.
08
I recieved an offer to settle for less than I owe. Should I accepts?
Unfortunately, paying off collections or charged-off items may actually harm your credit scores because it re-ages old debts and the accounts are derogatory, so paid or unpaid, they are derogatory.
Believe it or not, many collectors and creditors can not prove their reporting is accurate or that you owe the debt in the first place. They have insurance which covers their “loss
It only benefits you when these derogatory accounts are challenged for deletion.
And, your time, attention, and money is better invested in building a new foundation. There are very specific credit accounts that you can establish, which guarantee your approval despite the reporting of derogatory accounts.
Beyond adding new positive credit, consumers benefit greatly from an experienced, knowledgeable professional to carry out the dispute process on their behalf. Again, credit repair is legal and ethical. Bureaus discourage consumers because they/creditors benefit from consumers who suffer with low scores and credit profiles. Those with bad credit pay at least 10x more for the same product or service than those with good/great credit scores.
09
How do I know my information is safe with you?
You are absolutely warranted to be cautious of anyone you are sharing sensitive information with because there are some bad actors. However, we exist to serve, aide and, guide our clients.
Further, we are registered and regulated by The Department of Justice, Office of The Attorney General.
We can also be located on the website of The California Secretary of State website registry.
The documentation we request accompanies the disputes and ensures the dispute process is not stalled for failing to provide proof of identity. Once the process is completed, we do not retain records of your personal information. We operate with integrity and Our clients’ safety and success is paramount.
10
Is the collector licensed to collect debts in your state?
Has the debt past the statute of limitation? You may now live in a state that has an SOL of 6 years, but the original debt was accrued in a state where the SOL is 4 years, therefore, they can not reasonably sue you, and if they tried, raising this one argument would dismiss the case.
Can they prove you owe the debt? Do they have a contract bearing your signature?
Are they making promises to delete the item, but unwilling to first mail an agreement in writing stating that?
Never, ever call and confirm any of your personal information. They typically do not have your full information and ask you to “verify” so they can fill in the gaps. Furthermore, the debt can be a phantom debt you paid in the past, or never owed. Beyond that, it may be well past the SOL and the 7-year mark and the collector may be violating your rights under the Fair Credit Reporting Act and or Fair Debt Collection Practices Act.
Please ask us before contacting these companies for a free analysis of the offer.
11
I recieved an offer to settle for less than I owe. Should I accept?
Never blindly jump to pay a collection account because of a settlement offer because there are many factors to consider, including but not limited to;
Is this collector reporting to your credit reports? (And, if they are, this does not mean you are legally liable to pay)