Real Credit Repair (writing sample)

Introduction


My first introduction to credit was much like anyone else’s – when I turned eighteen, I applied for a credit card and was promptly denied because I didn’t have a credit history (something many consumers learn when first applying for credit, it is just as bad, and in some cases worse, than having derogatory credit).

Eventually, I did get a credit card and that’s where the trouble started. Having credit is a double edged sword, you need it to get a mortgage, car loan, or unsecured credit, but the more you expand it, the less creditworthy you become.

And that’s where nearly two out of three consumers end up, maxed out on high interest credit cards, with a mortgage, car loans and student loans to repay. Their dilemma is they may have accomplished securing the credit, the problem is they have too much of it. And if they fall behind in repaying those loans, their creditworthiness dramatically suffers.

So how does one repair their damaged credit? Call an attorney, use gimmick tactics such as creating a new identity or pay a credit cleaner to erase derogatory items?

None of the above.

The cold, hard truth is none of these is truly effective or guaranteed. But the methods presented in this e-book are. Why? Because they have been real-world tested and government sanctioned.

Government sanctioned? Yes, that is indeed the case. And to prove it, at the end of this e-book is a reprint of the Federal Trade Commission’s report, “Credit Repair: Self-Help may be Best” – if you compare and contrast the methods in this e-book, you’ll find they fall right in-line with the Federal Trade Commission’s recommendations.

So how exactly do you repair and maintain good credit? The answer, summed-up into the simplest explanation is, keep yourself credit-minded, and act accordingly. Now, that may sound simple but it isn’t. In fact, it’s the reason that about 60% of Americans have “good credit” at any one time. And that in itself is important to remember as a credit score is more or less a monthly snapshot that can change drastically in 30 days.

Before getting into repair, it’s crucially important to understand some fundamental things about credit and credit reporting.

Firstly, there are only three credit bureaus in the United States and they are governed by federal law, imposed and overseen by the Federal Trade Commission (more detailed information on this is later explained).

FTC regulations outline how and what the three credit bureaus can report. But that doesn’t mean they are intimately involved in policing every credit report produced by these bureaus, it does however, give you as a consumer, some important rights that you should be aware of and as least somewhat familiar with.

Unfortunately, this federal regulation and oversight does not mean that the bureaus’ reporting is mistake-free. On the contrary, their reporting is far from what any reasonable person would consider to be proficiently accurate.

For instance, statistics place the accuracy of the average consumer’s credit history at only 50%. That percentage is shamefully low, considering we live in the age of information. So, the chances that you’re credit history report is inaccurate, erroneous or outright false information is quite high.

Consumers are often unaware of such inaccuracies until they apply for a mortgage, car loan, or unsecured credit. It is usually then that a consumer will find anything from minor to major inaccuracies.