Credit repair is a procedure in which an individual has the power to hire a specific company to support them in building a credit repair plan. This can include the company reviewing the individual’s credit reports and initiating the removal of any inaccurate information from the reports. Specifically, this is the act of restoring or correcting a credit score that someone has.
Credit Repair is legal in Georgia, assuming that the information being removed is inaccurate. If the information is 100% accurate, the information cannot be removed even if it negatively reflects on an individual’s credit score. It’s important to learn about all of these aspects before selecting a credit service in Atlanta.
Credit Repair and Its Role
Credit repair companies aid individuals struggling with bad credit to strategize ways to improve their credit scores and build better credit. One way these companies help you improve your credit is by auditing your existing reports to find inaccurate or outdated information. Then, the repair service works to have this information removed, improving your score quickly.
The credit repair company works on behalf of the individual to remove this information through establishing communication with the credit bureaus, such as Experian, Equifax, and TransUnion for example, or other financial companies. This can also include banks, debt collectors, and other credit-related institutions. For example, they can offer Caine and Weiner Pay for Delete services.
Note that credit repair companies cannot help anyone manage their money, as this is a different service that is typically offered by credit counseling firms.
The Legality Surrounding Credit Repair
Georgia currently features legislation pertaining to credit repair. In other words, there are laws that apply to the state that the customer is located in and not the credit repair company. The goal of the credit repair service in Georgia would be to catch fraudulent transactions or inaccurate data surrounding an individual’s credit score–they can rebuild and repair it.
Another way you can improve your credit legally is by paying current debts owed on time and in full. The payment history of an individual plays an important role in credit standing. By keeping up with current debts owed and making regular payments on loans in full, you can have a positive impact on your credit score.
Aside from removing legitimately inaccurate information, Georgia law prohibits specific credit repair services. Georgia law prohibits anyone from legally removing negative information if the information is actually 100% accurate. Your credit repair company may be able to send a request for “goodwill deletion,” but that does not guarantee creditors will remove accurate, negative items.
Credit Repair in Georgia
All of the major consumer credit bureaus have a department responsible for the process of screening the dispute letters they get. They have a system to detect where the letter came from.
Keep in mind that nobody can remove information from a fully correct credit report, and credit repair companies only have the power to remove information that is incorrect. This is the case even if the correct information negatively reflects on the individual in question.
Legitimate credit repair companies cannot guarantee several services in the state of Georgia:
- They cannot remove bankruptcies, liens, bad loans, judgements from your credit forever.
- They cannot legally create a new credit identity for clients.
- They cannot guarantee they will erase your bad credit.
With all of this in mind, legitimate credit repair companies can analyze your current reports and petition your credit agencies to remove inaccurate or outdated information from your report. They can also petition for goodwill deletion in certain circumstances.
Moving Forward With Credit Repair
The credit repair process is completely legal, assuming that the information is false, illegitimate, or an error. This means that individuals do not have to worry about hiring credit repair companies that can genuinely help them fix any mistakes with their credit.
Do you have more questions about credit repair, such as who Southwest credit systems collects for? Check out our recent article!