The FTC recommends do it yourself credit repair for many reasons. In some ways we agree but, in most cases, hiring a credit repair attorney may be a better solution.
Time and Cost of Do It Yourself Credit Repair
Consumers who engage in do it yourself credit repair may save a little money over consumers who hire credit repair attorneys or credit repair organizations but those savings are minimal at best. Learning the credit repair process takes a significant amount of time and effort, and time is money after all. The danger of do it yourself credit repair becomes apparent here as consumers can spend many hours learning to repair their credit on their own and will find a lot of misinformation about the process as they search. The best method is to consult an experienced credit repair attorney for proper advice. Many will consult for free and can be surprisingly affordable.
Effectiveness of Do It Yourself Credit Repair
Do it yourself credit repair can be somewhat effective but is generally less effective as hiring a credit repair attorney. Credit repair attorneys can cut through the garbage that consumers and less knowledgeable credit repair organizations can’t. For example, the credit bureaus stall and ignore consumers more often when dispute letters come from credit repair organizations. Yes, the credit bureaus can often determine who the letters came from. They take note of the postmark, signature, font, format of the letter, and other details that earmark the letter as originating from a credit repair organization rather than directly from the consumer or his lawyer. Dispute letters from credit repair organizations are frequently sidelined to be ignored or stalled and many do it yourself consumer letters are also stalled or ignored in many cases. In some cases the credit bureaus will request more information from the consumer in an attempt to delay the process and thwart the efforts of the credit repair organization. When properly drafted, attorney credit disputes get handled far more seriously.
Credit repair attorneys are also better at protecting consumers rights than consumers and credit repair organizations. Indeed, credit repair organizations are outright abysmal at protecting consumer rights. One glaring example is when credit repair organizations send letters admitting the consumer owes the debt or missed payments on the debt as a dispute tactic. This commonly used “goodwill” request is patently bad advice. A competent attorney would never advise consumers to admit or acknowledge the debt since doing so may reset the statute of limitations on which the creditor may collect the debt. Acknowledging the debt also constitutes an admission that can, and certainly will, be used against the consumer later if litigation ever ensues. Admitting the debt is a decidedly bad idea.
Conclusion
Do it yourself credit repair can be a good choice for some consumers, but for most, hiring an experienced credit repair attorney is almost always better. The costs of hiring a lawyer can be surprisingly affordable and the results are far more effective. The task of learning do it yourself credit repair may be too daunting for many consumers. If true for you, consult a credit repair attorney for advice and guidance. You may be surprised and how little it costs to get competent assistance from an experienced attorney.