Credit Cleaning Companies: Illegal!
You’ve seen the emails promising to "erase bad credit.” Beware! Claims of guaranteed credit repair are out and out false.
A common “strategy”: applying for a new Social Security Number, Employer or Taxpayer ID Number — all illegal. Another method: inundating credit bureaus with letters disputing all negative information on a credit report, in hopes they will default on the 30-day limit allowed to respond to such requests.
Credit cleaning companies don’t tell you that inaccurate info on your credit report usually can be removed with a simple call to the creditor. Be calm and respectful, and you may also be able to convince them to remove accurate but negative marks as well, especially if there were mitigating circumstances.
Beware - you can clean your credit yourself. Get copies of your reports, verify the information, and set up payment plans. The most important thing is to follow through, and stay on target. Set small, obtainable goals for yourself.