Credit repair companies traditionally don’t have the best reputation in the financial service sector. There were a lot of fraud incidents reported because scammers simply can’t resist when they see desperate people looking for a quick fix to their credit score. But there is no denying the fact that credit repair is as legitimate as they come because the industry is protected under federal law. People have the right to their repair their credit score and every reason to do so.
But why do you need to repair your credit? Let’s dive in and find out the reason why pushing for better credit scores can completely change your life.
Available data states that about 1 out of 4 credit reports have errors in them. That makes for about 150 million erroneous reports from the three credit reporting agencies, which handle about 200 million active accounts each. About 80% of these errors have some kind of negative effect on a person’s credit score, which is no small matter especially since this involves that person’s financial flexibility. These errors may be a sign of credit card fraud so knowing this fact can help you do what needs to be done to address these issues.
Make no mistake. Repairing your credit doesn’t mean that you will be repairing your credit score. Credit repair is about detecting the incorrect items on your report and filing a proper dispute when you find them. Since your credit report contains your reported credit history, finding the errors will help you detect potential attempts to steal your identity, like when you see an unauthorized hard inquiry or credit card account on your report. This way, your financial and credit security are protected.
Of course, that is not to say that repairing your credit will not repair your credit score. It just means that when you file disputes for incorrect entries on your credit report, there is a big potential that financial institutions will see your credit differently and give you a higher score than you normally would have with a credit report that you did not dispute. And having a higher credit score means that you will be given lower interest rates on loans and mortgages by these financial institutions, thereby giving you the flexibility to refinance your mortgages and loans with a lower interest rate. Over time, this method will save you a great deal of money.
You can also renegotiate your credit card rates to be as low as your new and improved credit score could make it. Same as with the mortgage, auto, and student loan, this will save you a lot of money and has the added benefit of providing a better credit utilization rate.
Of course, for faster credit repair, you can enlist the services of Blue Water Credit, one of the top credit repair companies in the Sacramento area. Increase your credit score faster than a 30-day credit repair e-book by going and scheduling a free consultation now.