| By :
Paul Wise
Bad credit repair is an ever increasingly popular search term on the internet today, all the more so with the economic meltdown of the past two to three years. People are just unable to make ends meet and so the last thing they are interested in is paying back money. Knowing this, collection agencies are especially aggressive in doing all they can to get back the monies owed. Bad credit repair is especially important in these economically tumultuous times as more and more people turn to credit checks for an ever widening range of reasons. For example, many employers now look at an applicant's credit history in order to determine hiring eligibility! The credit reporting agencies are among those encouraging such uses of credit information. Bad credit repair is thus utmost on the minds of evermore people these days. Indeed, those very credit reporting bureaus have raised the standard of what is considered to be a good credit score, with once-good ratings now rendered mediocre, just like that. It's no wonder that bad credit repair is an increasingly popular topic of search on the worldwide web. Many choose to hire credit repair companies to sort out the headaches for them, to file letters of dispute for them and research the very validity of charges claimed. For it has now become a cottage industry in itself for law firms to purchase bad debt for pennies on the dollar, assuming those debts as the creditor and then using the full force of the law in trying to recover the full amount of the debt! And that's just what's legal - many other companies have even taken to unscrupulously post false charges, claiming monies not owed at all in the knowledge that the typical consumer is too busy to deal with such issues, resulting in these companies winning claims by default in a court of law. When looking into bad credit repair, one must realize that consumers do have rights under the law, too. One thing to familiarize yourself with is the United States Credit Repair Organizations Act, or CROA, which stipulates that there are a number of things that credit repair companies must and must not do. Signed into law back in 1996 to regulate the Wild West atmosphere of the industry at the time, CROA prohibits credit repair companies from outright guaranteeing anyone the removal of any negative listing on a credit report. The law also proscribes such practices as the creation of new identities and credit files or any lying about your credit history in general. Other banned practices include accepting payment for services not yet fully rendered and asking consumers to waive their CROA rights. Under CROA, bad credit repair companies must inform you of these CROA rights, and others like being able to cancel a contract within three days of signing. You must also be notified under CROA that you may still obtain personal credit information on your own and even pursue credit repair efforts on your own.
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