Bad Credit Agency

Has anyone read the article on Yahoo today about how all credit repair companies are all frauds?

Do you think it's true? The SmartMoney.com article was very damning. I use a credit repair service and am very satisfied so the article confused me.

Public Comments

1. Most credit repair agencies are scams. They cannot fix your credit. So tell us, what did you agency do? What was your FICO score before hiring them and what was it after they did their magic? Your credit score is based on your payment history and the percentage of available credit you have used. No company can change your history.
2. There is no such thing as a credit repair service. Credit can't be repaired, it can only be corrected. If errors are in your file, by law they must be corrected in 30 days. The credit repair people have methods of "re-inventing" you thru Tax ID scams, or other such crap. If you didn't pay, why shouldn't it be on your file? You'd want it there if you DID pay.
3. There is nothing which a credit repair service can do which you cannot easily do yourself. As recently as last year, many were advertising the service of having another person be paid to put you on a credit card as an 'authorized user', which would raise your credit score. FICO has changed their systems such that this no longer works as it formerly did. The only other thing a credit repair service can do is require verification of every negative item on your credit report. This works sometimes when the firm involved fails to verify the item as valid, at which time it must be removed from your credit file. You can do the same yourself for NO charge.
4. No you can repair your own credit yourself, Yahoo answers is a great resource with the Internet. If you owe money in collections and you are looking at helping your score, offer them payment in full or even partial for removing all negative info. Next thing you know you have a great credit score. you are paying for a service with they credit repair, they work however they are making a nice profit. With the diligence and research you can do this your self. I have help hundreds charging nothing just gave them to tools, outcome in most cases were very favorable. credit is everything, the person making 40k with poor credit might aswell be making 25k with good credit.
5. According to the article posted on Yahoo. today, SmartMoney.com reports that the FTC claims that ALL credit repair companies are frauds. According to them, we are frauds because we charge people to do something they can do themselves for a lot less money. You can find more info here: http://debt.knowledged.info/credit_card.html Hope that helps.