Free Credit Repair

Free credit repair can begin as simply as calling the three major consumer credit reporting bureaus operating in the United States. Thanks to the Fair Credit Reporting Act (FCRA), every American consumer is allowed to obtain one free credit report each year from these companies.

Under the FCRA laws, every consumer in the US is entitled to one free credit report from each of the three major credit reporting bureaus in a 12-month period. This report can be requested in writing or on the bureau's website. The three companies even have a consolidated website that allows a consumer to request all three credit reports from just the one website.

Credit reports provide the details but they don't automatically come with a consumer's credit score. This vital number is often the deciding factor when a lender determines whether or not a loan application will be approved or denied, how low an interest rate will be charged, and how big a deposit must be made to obtain services.

Another way the FCRA laws help with free credit repair information is by allowing a consumer to request a credit report when a loan or services application is denied due to adverse data on the consumer's credit report. There is a time limit for requesting a free credit report under these circumstances so speedy action is a must. Consumers must be notified in writing when a loan or services are denied due to a poor credit report and the notification must include the procedures and time limit for requesting a free credit report under these circumstances.

The down side to getting a credit report this way, as a consequence of a denied application, is that each application and/or report request is counted as negative activity on the consumer's credit history. Although the information can be obtained free of charge, this is one aspect of getting free credit repair data that is best avoided.

Once a credit report is received, it is critically important that the consumer review every detail it contains. Errors are common and can be the reason a consumer's application is denied. Errors can usually be resolved as long as the consumer can adequately document conflicting data but the consumer must be devoted to resolving the dispute if free credit repair is desired. If the problem seems to be beyond the consumer's ability to handle alone, there are organizations and businesses that provide the needed help, although they often come at a price.