Can Credit Be Repaired?
I get asked questions about credit all the time. One of the most common is from lenders. They say " Paul, can credit really be fixed?"
The short answer is, yes it can.
Let me start by giving you some stats about your credit reports.
In Feb 10, 2013 CBS News reported about A study indicating as many as 40 million consumers have a mistake on their credit report. Since then there have been a few follow up studies. In the latest update in 2015 the FTC noted that, in the case where an item was disputed as inaccurate with the CRA’s, "…of these consumers (nearly 70 percent) continue to believe that at least some of the disputed information is inaccurate."
Around the same time as the initial reports were released, the U.S. Government reported that,
One in four consumers identified errors on their credit reports that might affect their credit scores – that’s 25% of consumers
One in five consumers had an error that was corrected by a credit reporting agency (CRA) after it was disputed, on at least one of their three credit reports – that’s 20%
Four out of five consumers who filed disputes experienced some modification to their credit report – that’s 80% saw their reports modified
Slightly more than one in 10 consumers saw a change in their credit score after the CRAs modified errors on their credit report
and Approximately one in 20 consumers had a maximum score change of more than 25 points.
That’s what the stats say, and those numbers include both consumers that got professional help with their credit and those that did it on their own.
Now, Heartland Credit Restoration has a combined professional experience of over 50 years in the industry.
So our numbers are even better,
as you can see from these reports that some of our clients received directly from the credit bureaus, after making changes to their credit reports. How you go about the process of addressing negative and inaccurate information on your credit report really does make a difference. Our experience really pays off for our clients.
Now, credit restoration is not a magic wand. Things do not just get removed from your report, especially if they are in fact accurate.
And it does not generally happen over night. I’m not saying that things never get corrected quickly. But remember that we are dealing with large corporations where one hand commonly doesn’t know what the other is doing, where departments are significantly understaffed to handle the work load, and where there is little or no financial incentive to even worry about doing it right, and so it can be a challenge to get them on the same page.
Credit restoration is a process that takes time. For many people that means six months or more.
Remember, you didn’t get into credit trouble over night. So the problem is not going away over night.
So, once a person has their credit " repaired ", what does their credit look like?
Well we could spend a lot of time on that one, but I won’t.
It really depends upon your goals.
Generally, as far as we at Heartland Credit Restoration are concerned, it means your credit is loan ready – your score is high enough and your credit report is clean enough to to meet the requirements of your lender to qualify you for a mortgage.
That is where we at Heartland Credit Restoration would say "repaired" credit starts.
Well, that’s today’s credit tidbit.
I welcome your comments and ask that you share this information with all your contacts on social media. We at Heartland Credit Restoration are all about helping people get positive control over their credit, and the more people that know this kind of information, the better.
If you are facing credit challenges, or you have a client that you are going to have to turn away due to credit challenges, then I encourage you to give me a call, and put the power of our experience to work for you. We can look at how Heartland Credit Restoration might be able to help you turn things around and get that credit loan ready. There isn’t a better company you can go to for help.
I will look forward to talking to you and I hope you have a wonderfully blessed day!