Credit Repair Tips

At Legacy Legal Services, we know the aspects of credit law and can provide credit repair tips while we work on your case. Tips such as how to avoid mistakes and setbacks that will end up sabotaging your credit repair efforts. Unawareness of certain practices will keep your credit score low, despite the removal of negative items.

One credit repair tip we give our clients is to be careful when paying off accounts. It seems that paying off an account would be a good thing. Here's where it gets tricky. If the account is more than two years old and you haven't been paying on it, the account will be listed as "late", "charge-off" or "collection". If you pay on the account, the status will change to "paid late", "paid charge-off" or "paid collection"; all of which are all still very negative.

Another issue to be aware of is the Statue of Limitations on Debt (SOL). There is only a certain amount of time that debts can be collected on. Once the SOL has expired, the creditor or collector can no longer attempt to collect. If you have any activity on a debt (e.g. make a payment, promise to pay or acknowledge the debt is yours) the SOL clock will start all over again. In addition, the bureaus may also re-age the debt. Generally, most negative information can only be reported for 7 years. When activity is taken, the 7-year period could start over; even though the law states negative items should only be reported for a designated length of time and once that time has expired, the item must be removed (another example of how the bureaus don't always abide by the law).

Talk to the credit repair experts at Legacy Legal Services to get tips on what to do with old debts and accounts. Find out the best way to deal with original creditors and collectors, and get other helpful tips to enhance your credit repair efforts and obtain the best score possible.