Bankruptcy is usually the last resort for people in Minnesota who have gotten into a financial hole. You may feel relieved when bankruptcy is over, even if the process damaged your credit. During this critical time, credit repair companies and scammers may try to take advantage of you.
Credit repair doesn’t have to cost you anything
The first thing you should keep in mind when you start getting offers for credit repair services is that credit repair doesn’t have to cost you anything. All of the advice that these companies are offering you can be obtained through your own careful research. Credit repair companies usually charge between $19 and $149 per month to help you.
After going through the bankruptcy process, a new monthly bill is probably the last thing you want as you start rebuilding your financial life. That being said, there are some legitimate credit repair companies that offer money-back guarantees if you don’t see an improvement in your credit within a certain time period. It’s just important to know that you are paying them for advice, not actions. It’s you who actually takes the steps to repair your credit.
Beware of scams
Scammers target people who have recently filed for bankruptcy with offers of phony credit repair services. If you feel overly pressured to make an upfront payment, it’s likely that you are talking to a scammer. Another red flag is an unrealistic promise to remove accurate but negative information from your credit report. Only false information can be removed from your credit report.
Learn about credit repair
Whether you decide to repair your credit on your own or pay for some advice, it’s important to take time to learn about credit repair. No credit repair company can do everything for you, since it will be you that actually has to follow through on the steps.