Credit Repair– Cat & Mouse

Credit repair is like a game of cat and mouse-

The job of the credit repair expert is to know where, how and when to setup the mouse traps. Credit Reporting Agencies, Collection Agencies, Banks and Credit Card companies get sued 1000’s of time per year. Many of the lawsuits that are filed against the companies are born out of neglect.

The collection agencies, banks, credit reporting agencies and credit card companies consistently report inaccurate, unverifiable and outdated data. Reporting of inaccurate, outdated and unverifiable data is a violation of several laws and acts….. The FCRA (Fair Credit Reporting Act), FACTA (Fair and Accurate Credit Transactions Act), FCBA (Fair Credit Billing Act), HIPPA (Health Insurance Portability & Accountability Act) all have consumer protections. The consumer protection sections of each of the laws must be understood thoroughly to best serve your clients…

Each of the mentioned laws and or acts have special provisions that deal with, collection agencies, credit reporting agencies, original creditors and/or medical providers. Understanding which laws apply to which entities is VERY important. For example: If you were to send a letter to a collection agency stating that they have violated the X consumer protection act and the must comply within X days or you will file a complaint will be useless unless the correct law and statute are noted…

Mentioning laws and quoting statutes can be useful and detrimental when writing dispute letters… There are always multiple ways to look at different situations and statements. Understanding the law is important BUT- Quoting it in a FORM letter is not always useful for a couple of reasons… One reason that quoting a law in a dispute letter can work against you is- if you quote the law incorrectly, or if you quote the law in a way that makes your letter appear like a form letter…

Credit Reporting Agencies DON’T LIKE DISPUTE LETTERS!!! In fact- each dispute letter costs the credit reporting agencies money! Credit Reporting Agencies attempt to minimize the time spent per dispute in many ways… they must incentivize their staff based on the time spent and they create and continue to advance computer systems to automate the dispute process…

 

 

 

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