Money Talks: Tricks of the Trade " Credit Repair

Money Talks: Credit Repair

Pristine credit and a high credit score: necessary for a good deal when you borrow - important when it comes to renting an apartment, getting insurance - sometimes even getting a job.

That's why so many people try to repair their credit and many go to credit repair agencies. But if you're going to consider that, consider this: a lot of these agencies use unfair tricks of the trade to unfairly separate you from your money.

For example, some credit repair agencies advise you to start a new credit file by getting a Tax-ID number: basically a Social Security number for businesses. The problem with this trick? It's illegal. It's fraud. Don't do it.

Another common trick of the credit repair trade? Protesting all the bad marks on your credit history.

When you protest something on your credit report, credit bureaus have to remove it while it's investigated. It usually takes 30 days. Here's the trick: You protest everything negative on your credit report, it all falls off for 30 days. While it's gone, you apply for new credit because your score and credit history are better. The problem with this trick? It's fraudulent. And besides that, bureaus don't have to respond to frivolous requests anyway.

Another common trick: charging up front to fix your credit. They can't do that - The law requires services to be performed before collecting a dime.

And a final trick: saying they can do things you can't. Hogwash. There's nothing anyone can do to improve your credit history that you can't do yourself.

Bottom line? There are simple things you can do to repair your credit. But anyone promising you a quick fix or dramatic results is probably lying. Want to know how you can repair your credit yourself? Go to and do a search for "Credit Repair."

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