Credit Repair Scams – Top 5 Warning Signs
Suspicious of all those credit repair ads floating around? You must be. The credit repair market can be a bit of a minefield and it’s be difficult to sort out the good out of the bad.
Credit repair businesses have become an awful reputation lately, and rightly so in certain ways. Complaints to the FTC and BBB have risen considerably over the years and there is no sign of it slowing down.
The safest thing to do is just focus on doing the own credit repair of yours. Although let’s face it, not every person has the time or inclination to be persistent and diligent enough to follow through. There’s nothing bad credit loans online approval (Look At This) with that, however, it’s important to tread very carefully in case you choose to work with some help.
Here is 5 large red warning signs to watch out for so you are able to avoid getting scammed by a terrible credit repair service:
1. Large In the beginning Fee
A sure fire sign of a credit repair scam is charging a hefty up front service fee before any services are in fact performed. Most credit repair scams will generally request $1000’s up front before doing anything, that violates the Credit Repair Organizations Act (CROA).
This’s to never be confused with an ordinary “set up fee” that most credit repair companies charge. However, even a set up fee cannot be charged until your case setup and/or initial consultation service has been completed.
The primary point is, if you are asked to pay right away before anything is completed at all, that’s a red flag you’re probably being ripped off. If you are expected for a charge card number, make sure you can see information that is distinct about when and under what conditions it’ll be billed.