what is the diffrence between a credit repair company and credit counceling?

Answer 1

Simple.

Credit repair companies are scams that charge you tons of money and do nothing that you cant do yourself.

Credit counseling services like Consumer Credit Counseling Services actually help you manage your accounts and return your credit to a good standing by establishing good long payment history's.

Answer 2

Most credit repair companies are scams and charge you for things you can do on your own! The only one I would recommend that is not necessarily a credit repair, but a credit REPORT repair that I did business with myself is Lexington Law.

I went to them because i had a lot of negative and erroneous misinformation on my credit reports after an ID theft and bankruptcy and I needed the advice and help. There was a lot of misleading information that was inaccurate and unverifiable put onto my credit reports by creditors and possibly some finance managers. (Sorry Spiffiman, that is not a slam against you, but you would have to admit it happens!) It took an attorney with the threat of a lawsuit to get 2 of them to see reality!

Don't expect them to do everything for you just because you paid a fee! You MUST be actively involved in your case to get these matters resolved. My credit report contained errors of more than 75% of it from accounts I could not account for, chargebacks for merchandise that failed before the warranty and merchants not willing to honor their promises and incorrect addresses, you name it!

Credit counseling is an agency like consumer Credit Counseling Service that explains and helps you to understand how credit works and how to spend money and budget wisely, hopefully before you find yourself in trouble, but they are there for that too!

My website covers what I went through with an ID theft and bankruptcy and I still got my score up by 236 points from 486 to 730 in a little over a year, so this is something I know about! Get a free copy of your credit report if you don't have one already and if you find errors or items you think you should challenge, you can do this yourself!

You would benefit from the "how credit scoring works" section too!

Consider enrolling in a credit monitoring service because your free credit report is only good for 30 days once a year and if your going to make repairs, you will need to look at your credit often! Beware of all the scams out there and I went into detail on the most common ones people fall for and what was thrown at me!

Biggest thing? Don't give up! This will be undaunting at times, but it's worth it in the end! Good Luck to you!

Answer 3

A lot of credit repair company's charge you a fee and do NOTHING.

Counseling will help you handle your money.

The best free tip-PAY EVERYTHING ON TIME.

Answer 4

from what I have heard they charge you a lot to mail in your payments. And tell you to pay your bills on time.


Not worth the money that you could send to your creditors, to re-duce you debt.