Credit repair fraud is targeted by FTC : Bad Credit Advisor

Credit repair fraud is targeted by FTC

FTC has joined 24 state agencies in Operation Clean Sweep, targeting 36 fraudulent credit repair companies in 22 states, that deceptively claim they can remove negative information from consumers credit reports, even if that information is accurate and timely. In the seven FTC actions the Commission is seeking to halt the defendants allegedly unlawful business practices, prohibit further violations, and make them pay consumer redress and give up their ill-gotten gains.

You can find more information including several companies and individuals directly involved in credit repair fraud here. Basically, anyone who promises to scrub your credit reports of accurate, negative information for a fee are lying - plain and simple. Here is the FTC advice for consumers,

Avoid any company that wants you to pay for credit repair services before they provide any services. It is against the law.

Avoid any credit repair company that will not tell you your legal rights and what you can do, yourself, for free.

Avoid any credit repair company that tells you not to contact a credit reporting company directly.

Avoid any credit repair company that advises you to dispute all of the information in your credit report.

Avoid any company that suggests creating a 'new' credit identity - and then, a new credit report - by applying for an Employer Identification Number to use instead of your Social Security number. That is against the law. If you follow illegal advice and commit fraud, you also may be subject to prosecution.

Mon Oct 27, 2008 12:10PM by Tony | More in Credit Repair | Comments (0)

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