There are many ways a company says they can improve your credit and one of the newer trends
in credit repair scams refers to file segregation.
Most credit repair scams and schemes and just a worthless waste of money and don't help you to legally rebuild your credit.
With so many
credit repair scams on the internet I wouldn't feel comfortable paying anything in advance, specially when the FTC says that credit repair is not possible.
If you feel you have been the target of an
illegal credit repair scam, contact the district attorney in your local area for more information about reporting the scam and seeking reimbursement for expenses paid.
Financial experts and government agencies like the Consumer Financial Protection Bureau offer a number of tips for
avoiding credit repair scams.
If you want to avoid being caught up in
a credit repair scam, look for these three warning signs:
Don't fall for
any credit repair scams that promise to raise your score, especially if the promise is specific, like «by double digits» or «from average to good».
A common trademark of
a credit repair scam is to con you into paying all the money right away so that by the time you realize you are being taken for a ride, they already have what they want.
One thing you don't want to do when you've got bad credit is get roped into
a credit repair scam.
State law enforcement officials may be helpful if you've lost money to
credit repair scams.
Federal Trade Commission received complaints from consumers who had lost money due to
credit repair scams.
Avoid
credit repair scams.
Credit Repair Scams may also have you change your social security number.
Although many of
the credit repair scams have been shut down by the FTC, it is always a possibility that more will pop up.
If you have been the victim of
a credit repair scam, file a complaint with the Consumer Financial Protection Bureau and the Federal Trade Commission.
Credit protection and
credit repair scams are one of the top consumer complaints reported to the FTC.
Credit repair scams have been on the rise; unfortunately, when someone is vulnerable and in a bad situation, there's always someone looking to take advantage of that.
We've identified all the ways you can spot — and avoid —
those credit repair scams here.
We've identified all the ways you can spot — and avoid — those credit repair scams
Don't fall victim to
a credit repair scam!
(See also: How to Spot
a Credit Repair Scam)
The Federal Trade Commission released a survey in 2013 showing that of the 25 million people victimized by fraud, an estimated 1.5 million and 1.7 million Americans were scammed by debt relief or
credit repair scams, respectively.