Fast Credit Repair
Fast Credit Repair Methods
In this world of quick fixes we are always looking for the fastest, and easiest way of getting things done. You might be wondering if this also applies to fixing your credit report. Is fast credit repair possible? That depends on what you consider to be fast.
There are some methods of credit repair that are most definitely fast, but aren't permanent and can even be illegal. Beware of anyone offering these fast credit repair techniques.
Fast credit repair: the "clean slate" approach. If a company advertizes something like "Fast credit repair - improve your score in 24 hours", do not fall for it. What happens here is a brand new credit report is established in your name under a different "social security number". But it's not really an SSN; it's an EIN (Employer Identification Number) that has the same 9-digit format as an SSN and can be mistaken as such. You use this new number on credit and other applications, making sure the new report is the one that gets pulled.
The first problem with this fast credit repair method is that it's illegal. Lying about personal information is fraudulent. If you get caught you could face steep fines or even jail time. The second problem with this fast credit repair method is that it's suspicious. If you, at your stage in life, should have an established credit file but instead have a brand new one with nothing on it - it doesn't look good. In addition, no credit history can be just as detrimental as a damaged credit history. Creditors want to see an established history that demonstrates your credit worthiness before they lend you money. No credit history = no loan.
Fast credit repair: the rapid rescore approach. There are companies that can get your score re-calculated in a few days but you have to go through a mortgage broker or lender to do it. Rapid rescoring is intended to help potential home buyers quickly improve their credit score in order to qualify for a home loan with the best rates possible. While rapid rescoring can be an effective and fast credit repair method, the results are generally temporary.
How it works is the rescoring company disputes negative items and mistakes on your credit report. The credit bureaus have 30 days to investigate those items. By law, anything that is under investigation has to be removed from your credit report. Removing, at least temporarily, these negative items will give your score a substantial boost. Mortgage brokers will quickly apply for loans during this 30-day time period while your score is high.
There are really no other legal or permanent fast credit repair tactics. Effective, long-term results can be achieved, but it will take some time and patience. You can take credit repair efforts into your own hands and challenge mistakes and negative items on your own. Or you can hire a third-party credit repair company who can typically get things done faster than if you were to go at it alone.