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Blog > Internet Scams > What You Need to Know About Credit Repair Scams
 June 01, 2016

What You Need to Know About Credit Repair Scams

An elderly couple discussing documents.

If you have a poor credit rating, the promises made by credit repair companies, to provide clean credit histories and access to fresh lines of credit, may seem like a dream come true. Unfortunately, these offers are too good to be true and may leave you in even worse shape than when you started. Here are some of the critical facts you should know about credit repair scams:

Fraudulent credit repair companies often:

  •  Demand payment upfront.
  • Fail to explain your legal rights.
  • Instruct you to provide inaccurate information to credit reporting agencies or lenders.
  • Dispute accurate information on your credit report; and Tell you not to contact or respond to credit reporting agencies yourself.

Companies offering “new credit identities” often charge a fee for what they call a “credit profile number” or “credit privacy number.” These companies will instruct you to apply for credit using this new number. These numbers are often either stolen Social Security Numbers (SSN) or fraudulently obtained Employer Identification Numbers (EIN). Using a fraudulent SSN or EIN is a federal crime and you could be held responsible. Penalties may include steep fines or possible jail time.

The process of improving your credit score takes time and effort, but it can be done. There are many steps you can take and your LegalShield provider law firm is ready to help. Your provider law firm can help dispute inaccurate information on your credit report. They may also help you negotiate payment or settlement agreements for outstanding debts. Call and talk to your provider law firm today! 

IDShield is a product of Pre-Paid Legal Services, Inc. d/b/a LegalShield (“LegalShield”). LegalShield provides access to identity theft protection and restoration services. For complete terms, coverage and conditions, please see an identity theft plan.  All Licensed Private Investigators are licensed in the state of Oklahoma. This is meant to provide general information and is not intended to provide legal advice, render an opinion, or provide any specific recommendations.

ESS

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