What is Credit Restoration?

By
Real Estate Sales Representative with Tara Colquitt, The Credit Woman, LLC

Many people think credit restoration is illegal or immoral. This is simply not true. I am here to give the facts; just the facts.

WHAT IS CREDIT RESTORATION?

Credit restoration removes derogatory items from the credit report using the Fair Credit Reporting Act. It does not remove the financial or moral responsibility for the debt. However, since we are all judged by what is on our credit reports, it is desirable for our 'blemishes' not to show on it. 

WHAT IS THE FAIR CREDIT REPORTING ACT?

From Wikipedia, the free encyclopedia:

The Fair Credit Reporting Act (FCRA) is an American federal law...that regulates the collection, dissemination, and use of consumer credit information. Along with the Fair Debt Collection Practices Act (FDCPA), it forms the base of consumer credit rights in the United States.

Now, I can copy and paste the rest of the dictionary term, but you can easily Google this information. The bottom line is that consumers are entitled to accurate information. But everyone knows that credit reports contain errors. I know mine did. And who hasn't had a least one client (I had Robert Johnson) that you know can't have all that debt!

LEGAL credit restoration uses the FCRA, just like The Miranda Warning is used in criminal law. Note: I am a big fan of the original Law and Order series. if the data is not REPORTED correctly, it must be removed or updated. And the creditors must be able to substantiate the claim.

WHY SHOULD ANYONE USE A CREDIT 'REPAIR' COMPANY?

Well, I like to use the word 'RESTORE' since so many fraudulent companies have turned 'repair' into a dirty word. And not everyone needs to pay someone to do the work. If you are savvy about the law or know you never had a particular debt, it is definitely beneficial for you to dispute on your own. I don't know one mortgage broker that hasn't worked on their own credit or helped a few clients to get the deal done. The FCRA was established for the consumer to dispute items on their reports. But with 29 laws and 524 regulatory subsections... I don't detail my car, sew my clothes or groom my hair because I know professionals that can get me the results I want and I am willing to exchange money for the services.

Remember: The issue is not whether someone incurred the debt or lateness, but whether the information is reported correctly based upon the law. The 'Is' must be dotted and the 'Ts' crossed.

Finally, we all know there are disreputable firms out there for every service. Your job is to investigate who you are doing business with regardless of the product or service. Do they warranty their work? Is the cost affordable? Is it effective? If it sounds too good to be true... I still don't know how those companies that say 'We Can Raise Your Score to 720 in Two Weeks!' get away with that claim. If someone has personally experienced this...I stand corrected. However, if a consumer is looking for real assistance, there are good companies out there.  

Posted by
  • Would you give a thief direct access to your checking account? 
No? Unfortunately, you may be doing just that by regularly using your debit card. And I use mine all the time. Debit cards may look identical to credit cards, but there’s one key difference. With credit cards, users who spot fraudulent charges on their bill can simply decline the charges and not pay the bill. On the other hand, debit cards draw money directly from your checking account, rather than from an intermediary such as a credit card company.
Because of that, even clear-cut cases of fraud where victims are protected from liability by consumer protection laws can cause significant hardship
While debit card fraud is always a possibility, being careful where you use it can help keep your checking account balance out of the hands of criminals.
For details on four risky places, please click on the link below.
http://www.bankrate.com/finance/checking/risky-places-swipe-debit-card-1.aspx#ixzz1pmyqVPXu

 

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Show All Comments
Rainer
210,953
Find a Notary Public needAnotary
QEC Internet Services - Long Beach, CA
I would like to personally welcome you to the ActiveRain community!  This community has a wonderful atmosphere and you will find lots of helpful friendly people and useful information.  I’ve been in the business 25 years and I often find something new and interesting when I read a new blogs

Please tell me a little about your business and please share with me any ideas I can use in helping you find targeted referrals, or to help me to identify your preferred customer in my daily networking.  The Rain is an excellent networking forum with a variety of interesting characters.  Expect to learn a lot and be entertained if you have an open mind.  The opportunities to learn, earn and network are absolutely incredible here on Activerain.

My company's core business is Internet Marketers, as we operate a few websites geared to real estate professionals.  Whatever you need a notary public, www.needAnotary.net provides a solution for realty practitioners and the general public a source for finding qualified professionals for their notarial assignments.
Jan 07, 2008 11:30 PM #1
Rainer
92,342
Bob Carney
Long & Foster Real Estate, Inc. - Mc Henry, MD
Licensed MD/PA Real Estate Agent

Hi Tara, Welcome to Active Rain and congratulations on getting your first post out of the way. Take the time to go over the ActiveRain Community Guidelines to help you get started.

Make friends before you start marketing your wares... Unfortunately your first comment is a bad example of good commenting manners.

Most people are friendly as you will find out.  Make sure you comment at least 10 times a day. ;)  

Jan 08, 2008 08:49 PM #2
Rainer
41,052
Tara Colquitt
Tara Colquitt, The Credit Woman, LLC - Philadelphia, PA
Credit Counselor

Thanks Bob. Another member gave me the heads up to read the guidelines. I did and I think I understand how to use the site now.

Actually, last night I found you and a few other people by reading blogs. Forgive a newbie mistake. smile

I will continue to use the site...correctly this time! Thank goodness for the blog edit button. Now it really is 'just the facts'.

 

Jan 09, 2008 06:20 AM #3
Ambassador
717,344
Mike Jones
SUNSTREET MORTGAGE, LLC (BK-0907366, NMLS 145171) - Tucson, AZ
Mike Jones NMLS 223495

Tara,

Welcome to Active Rain!  Please upload a photo.  You're going to love this community, and I can say from personal experience that my phone rings because I blog on Active Rain.  If you would like to dress up your posts, here's a resource.  For Newbies Only: Where Do I Get Those Great Signs?

Much Success,
Mike in Tucson

Jan 11, 2008 06:05 AM #4
Rainer
41,052
Tara Colquitt
Tara Colquitt, The Credit Woman, LLC - Philadelphia, PA
Credit Counselor
Thanks Mike. A friend is uploading my photo. I will definitely use the resource to 'dress up' my posts.
Jan 11, 2008 02:55 PM #5
Ambassador
717,344
Mike Jones
SUNSTREET MORTGAGE, LLC (BK-0907366, NMLS 145171) - Tucson, AZ
Mike Jones NMLS 223495

I'll look forward to "meeting" you, Tara!

Mike in Tucson

Jan 13, 2008 09:00 PM #6
Ambassador
243,803
Jesse & Kathy Clifton
Jesse Clifton & Associates, REALTORS® - Fairbanks, AK
Fairbanks Alaska Real Estate Specialists, 907-328-9328
Hi, Tara. I'll add my welcome to the 'Rain to the chorus. It really is a great place.  Keep posting and commenting and you'll not only meet some great people, but your phone will start ringing like crazy.  Both very good things.
Jan 14, 2008 01:55 AM #7
Rainmaker
1,072,259
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!
Nice explanation of credit restoration Tara....gotta do something about that photo...look a little pale!  Welcome to AR...nice post.
Jan 14, 2008 08:39 PM #8
Rainmaker
144,353
Gilbert Arizona Real Estate - REALTOR® Candace Robinson Broker Associate
Red Hawk Realty & Property Management - Mesa, AZ
Red Hawk Realty & Property Management

HI Tara -

I look forward to reading your informative posts. Credit Recovery has always been an interest of mine and with two grown sons and coming out of a divorce I have made it a priority! Welcome to the Rain, I just know you will totally enjoy getting to know others and making new friendships. Keep posting and blogging and get involved with the "fun" part of activerain also and you will see your referral base build. Happy New Year!

Jan 21, 2008 12:17 PM #9
Rainer
41,052
Tara Colquitt
Tara Colquitt, The Credit Woman, LLC - Philadelphia, PA
Credit Counselor
Thanks Candace! I am already enjoying the amazing resources of AR. I consider this forum a mastermind group.
Jan 21, 2008 12:29 PM #10
Rainmaker
261,530
Wayne B. Pruner
Oregon First - Tigard, OR
Tigard Oregon Homes for Sale, Realtor, GRI
Hi Tara. Welcome to ActiveRain. There is much you can learn here. This place abounds with generous people willing to help.
Feb 03, 2008 11:11 PM #11
Rainmaker
259,829
Chuck Willman
Gentry Realty - Mesa, AZ
Realtor - Arizona - 480.292.0600
All too often people discover errors on their credit... and no one needs that- especially when guidelines are tougher.
Feb 23, 2008 12:58 AM #12
Rainmaker
73,810
Barbara Hershey
Bath, ME
Realtor, Maine Real Estate
Tara - Another fantastic, very educational post!  Your personality definitely shines through no matter what you're writing about!  Good job!
Feb 29, 2008 06:01 AM #13
Rainer
41,052
Tara Colquitt
Tara Colquitt, The Credit Woman, LLC - Philadelphia, PA
Credit Counselor

Wayne: Two months later and I can definitely attest to that!

Chuck: You are right. People must be vigilant about their credit and protecting it.

Barbara: Thanks for the wonderful comment. My goal is to be educational. And, yes, I am a smiley person!

Mar 15, 2008 05:25 AM #14
Rainmaker
34,789
Ronell Moore
TM Holdings Group - Nashville, TN
Small Business Consultant, Business Lending SBA Loans 7(a) and 504, Loans Loans, Loans
I will be looking forward to doing business with you, thanks
Mar 20, 2008 10:14 AM #15
Rainer
41,052
Tara Colquitt
Tara Colquitt, The Credit Woman, LLC - Philadelphia, PA
Credit Counselor
Ronell: The beauty of ActiveRain! 8-)
Mar 20, 2008 12:47 PM #16
Rainmaker
162,126
Lorinda Ward
Keffer Realty - Norfolk, VA
Serving, Hampton Roads Virginia. Norfolk, Chesapeake, Va Beach

Hi Tara!  Thank you for contacting me I will definitely be using your service I know some would be buyers would be happy to use your service.

Have a wonderful day!

Mar 23, 2008 06:42 PM #17
Rainer
41,052
Tara Colquitt
Tara Colquitt, The Credit Woman, LLC - Philadelphia, PA
Credit Counselor
Lorinda: Thanks for writing your blog about wanting to help people that you have to turn away. A winning situation for everyone. It was great talking to you today.
Mar 24, 2008 10:13 AM #18
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Rainer
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Tara Colquitt

Credit Counselor
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