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What
if deleted items reappear on my credit report?
Can you guarantee a specific item will
be removed?
What happens when my service agreement is completed
Do
credit reports contain errors?
How does negative credit impact your life?
What is a FICO score?
What
is a tri-merge credit report?
What is the Fair Credit Reporting Act?
What is the Fair Debt Collection Act?
Why
must payments be made by automatic draft or credit card?
What is an electronic transfer?
What are the methods of payment?
How
do you legally restore bad credit?
The
FCRA (Fair Credit Reporting Act) was designed to protect
your credit rights, and installed to hold creditors and
credit bureaus legally responsible for backing all claims
they make against you.
Both
the Fair Credit Reporting Act and the Fair Debts Collection
Practices Act have been put in place to protect consumers.
The FCRA alone allows you to challenge accuracy, validity,
and timeliness of any negative item on your credit report.
Federal law allows a response time of thirty days for the
bureaus to provide documentation to back their claim. If
they do not provide proper evidence, the negative information
must be removed.
Creditors
and credit reporting agencies are legally required to follow
these guidelines. Because of the millions of people the
bureaus are required to keep track of, it's common for the
bureaus to violate at least one of the hundreds of sections
of federal law. In violating any section of federal law,
the bureaus and creditors are required to remove the negative
item from your credit report. The fact is, credit bureaus
do not verify information before placing it on your reports,
this alone could result in 40% of your credit report being
inaccurate in one way of another.
The
FCRA states that all information on a credit report must
be accurate, timely and most importantly, verifiable in
order for it to remain on your report. Very often, though,
disputed items cannot be verified. The creditor either no
longer has the information or does not wish to go to the
trouble to verify it. The bureaus and creditors are given
30 days to provide documented evidence to verify the negative
information on your report. For these reasons, properly
disputed credit listings are removed with remarkable frequency.
Each time an investigation is commenced, the odds of receiving
a particular deletion increases. What we have found is that
the bureaus seldom take the time or spend the money to verify
one item for one person. Remember that in order for us to help you
dispute an item on your credit report, you must state in writing to
us that you believe the information to be disputed is incorrect or inaccurate.
Further, you must state specifically the reason for the inaccuracy or
incorrectness of each disputed item.
There
are hundreds of guidelines both creditors and credit bureaus
are required to follow in order to legally report any negative
credit information about you. The fact of the matter is,
both the credit bureaus and creditors very seldom hold their
end of the bargain. Remember that in order for us to help you dispute
an item on your credit report, you must state in writing to us that you
believe the information to be disputed is incorrect or inaccurate.
Further, you must state specifically the reason for the inaccuracy or incorrectness
of each disputed item.
Who
are the credit bureaus?
Trans
Union
Consumer Relations
P.O. Box 2000
2 Baldwin Place
Chester, PA 19022
(800) 916-8800
Experian
P.O. Box 2002
Allen, TX 75013-3742
(888) 397-3742
Equifax
P.O. Box 740241
Atlanta, GA 30374-0241
(800) 685-5000
How
does a credit bureau make money?
A
credit bureau is a commercial business that makes money
by selling your credit report to others. A person with bad
credit creates more business for the bureaus because people
with bad credit apply for credit about 10 times more than
a person with good credit.
How
long does information remain on my credit report?
Credit
bureaus report information for a period of seven years.
Chapter 7 and Chapter 11 bankruptcies are reported for 10
years, a Chapter 13 bankruptcy is reported for 10 years,
all measured by the date of filing.
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Why
do credit bureaus not want me to use a credit repair company?
The
credit bureaus will tell you that it is easier and less
expensive to do it yourself. While it is true that you
have the right to repair your credit yourself, many individuals
do not have the time, experience and organizational savvy
necessary to deal with bureaucracies. It takes hours of
study to gain a working knowledge of the consumer laws available
to you. Many who start repairing their credit, turn to a
credit repair company after months of work. We have a fine
tuned system that works on your behalf. All laws and provisions
are carefully addressed in a timely manner to repair your
credit. Credit bureaus know this...it keeps them extremely
busy and accountable.
Does
paying off my bills repair my credit?
You
would think paying off your bills would repair your credit,
but, the credit reporting system just doesn't work that
way. When you pay an old debt that was past due or had derogatory
information reported to it, the negative information does
not disappear. In fact, it re-ages and the 7 year clock
begins again with that negative listing. The most ironic
thing is that a paid, current negative listing is not much
better than an unpaid negative listing.
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What
Happens After I Enroll?
| Step
1. |
After you sign up, you will be required to provide the following items to Credit Justice:
Appointment of Attorney in Fact
Consumer Credit File Rights
Credit Report Authorization
Please fill out, sign and forward these documents to Credit Justice as soon as possible.
Also, we request that you provide us with the following items as they may be required by the
credit bureaus to process your disputes:
copy of your social security card or other proof
of your social security number
copy of your driver's license
copy of a current bill showing your name and address
Mail or fax to:
Credit Justice Inc.
P.O. Box 260637
Lakewood, CO 80226-0637
Fax: 720-535-1581
One other item that is needed before any work can be done on your behalf is a tri-merge credit
report (a tri-merge credit report is a consolidation of all 3 credit bureaus; Equifax, Experian,
& Trans Union). Credit Justice Inc. will provide one for you. . |
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| Step
2. |
At this point Credit Justice Inc.
will create your very own personal secured web page.
Your personal secured web page can be accessed 24 hours a day 7 days a week any time
during the contract period. To access your account go to our customer website which is
www.creditjustice.org. Click on the "Client Login" tab
and log in using your username and password. Your web page will host the Fee Agreement
and the Dispute Worksheet that will be explained in step 3. The web page will also
provide you with a status of your account and will allow you to review all correspondence
we make to the credit bureaus on your behalf. |
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| Step
3. |
As soon as Credit Justice Inc. receives your tri-merge credit report we will analyze
your report, identify all of the derogatory items that are lowering your credit score,
and display those items on your secured web page in the form of a Dispute Worksheet.
When the Dispute Worksheet is posted to your web page you will be sent an e-mail notifying
you that it is available for your review. You then agree to promptly examine the Dispute Worksheet
and identify which items are inaccurate or outdated and accordingly, which items you want us to dispute.
Remember to specify the reason why each item is inaccurate or specify that it is outdated.
Once you have completed the Dispute Worksheet please forward it along with the Fee Agreement to Credit Justice Inc.
as soon as possible. Be advised that Credit Justice Inc. cannot dispute any items that you know to be accurate
and you agree not to ask us to dispute such items. |
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| Step
4. |
The Fee Agreement
will provide a summary and explanation of fees for Credit Justice Inc.'s services
based on the number of items you have selected to be disputed. It is important that you
complete and sign the Fee Agreement and submit it with the Dispute Worksheet as soon as possible. |
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| Step
5. |
Once Credit Justice Inc.
receives your completed Fee Agreement and Dispute Worksheet we will immediately dispute the derogatory items
that you have selected. This process involves sending a dispute letter for each derogatory item to the applicable
credit bureau or bureaus (Equifax, Experian, Trans Union). Keep in mind that 1 derogatory item could involve 3 separate
letters if it is being reported by all three agencies.
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| Step
6. |
The 3 credit reporting agencies will be sending you correspondence reflecting the results of the dispute
letters that were sent on your behalf. You will be receiving the correspondence or updated credit reports
within 30 to 45 days from the time you submit your Fee Agreement and Dispute Worksheet to Credit Justice Inc..
The agencies will send this information directly to you, none of the information will be sent to Credit Justice Inc.
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| Step
7. |
You will be billed and charged the amount you have agreed to pay based on the Fee Agreement. Credit Justice Inc. will charge
you bank account or credit card approximately 7-10 days after receipt of your Fee Agreement and Dispute Worksheet.
You will not be billed until Credit Justice Inc. has completed all services. The exact date that you will be billed
and charged will be posted on your personal web page. If necessary you may chose to set up payment installments
with a minimum payment of $124.75 per month until all fees are paid in full. The first payment will be due approximately
7-10 days after receipt of the Fee Agreement and Dispute Worksheet.
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What
if deleted items reappear on my credit report?
The Fair Credit Reporting Act requires that the credit bureaus inform you that a deleted item
is going to be reinstated. The FCRA also makes it very difficult for credit bureaus to re-report items.
Therefore, it is extremely uncommon for an item to reappear on your credit report once it has been deleted.
Can
you guarantee that a specific item will be removed?
It
would be illegal for us to guarantee a specific result for
our service.
It would be like an attorney offering his/her clients a
guarantee that they would be released on all charges in
a court of law.
What happens when my service agreement is completed?
Once Credit Justice Inc. has performed all services promised and you have been billed, charged,
and paid for all services, the contract is completed. However, should you then decide that you
would like to have additional items on your credit report disputed, Credit Justice Inc. may be able
to provide additional services under the terms of a new contract.
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Do
Credit Reports Contain Errors?
Studies
by Ralph Nader's US Public Interest Research Group show
that 70% of credit reports contain errors and 50% of those
errors are serious enough to derail a loan. The three credit
reporting agencies each process more than two billion pieces
of information each month.
How
does negative credit impact your life?
Lenders
use credit reports as the basis for granting loans, credit
cards, mortgages, and leases. Negative items on our credit
reports may cause a denial when trying to rent an apartment
or cause you to need a high deposit. Insurance companies
use credit reports to determine insurance rates. Your credit
history impacts your ability to gain favorable interest
rates. You could be paying hundreds more a month because
of high interest rates. Employers use credit reports as
a factor in offering employment.
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What
is a FICO Score?
The
FICO score is a score that is used by most lenders to determine
your creditworthiness. The score is a collection of data
from all three credit bureaus. There are different names
given to this score at each bureau:
Equifax uses the name: Beacon Score
Trans Union uses the name: Empirica
Experian uses the name: Fair Issac
The factors used to determine your scores with any given
bureau are:
How you have previously paid your debts
The different types of credit your have had in the past
How often you have applied for new credit (inquiries)
How long your credit accounts have been open
How much you owe on credit
If you have negative items - how recent they are
How late are your late payments - 30, 60, 90 days late
How many of your credit accounts became delinquent compared
to how many did not show delinquency.
All of these factors are taken into consideration when your
FICO score in calculated.
Not all inquires will be a factor in figuring your FICO,
mainly the ones that are being used for opening a NEW credit
account.
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What
is a tri-merge credit report?
A
single report pulled that includes scores from all three
credit bureaus merged into one credit report.
What is the Fair Credit Reporting
Act?
The
Fair Credit Reporting Act was enacted in 1970 and last amended
November 12, 1999. Section 602 (15U.S.C1681) states the
purpose of the FCRA.
S602.
Congressional findings and statement of purpose
a)
Accuracy and fairness of credit reporting. The Congress
makes the
following findings.
(1)
The banking system is dependent upon fair and accurate credit
Reporting. Inaccurate credit reports directly impair the
efficiency of the banking system, and unfair credit reporting
methods undermine the public confidence which is essential
to the continued functioning of the banking system.
(2)
An elaborate mechanism has been developed for investigating
an evaluating the credit worthiness, credit standing, credit
capacity, character, and general reputation of consumers.
(3)
Consumer reporting agencies have assumed a vital role in
assembling an evaluating consumer credit and other information
on consumers.
(4)
There is a need to insure that consumer reporting agencies
exercise their grave responsibilities with fairness, impartiality,
and a respect for the consumer's right to privacy.
Reasonable Procedures. It is the purpose of this title to
require that consumer reporting agencies adopt reasonable
procedures for meeting the needs of commerce for consumer
credit, personnel, insurance, and other information in a
manner which is fair and equitable to the consumer, with
regard to the confidentiality, accuracy, relevancy, and
proper utilization of such information is accordance with
the requirements of this title.
The
above information is taken directly from the FCRA, distributed
by the Federal Trade Commission. If you would like to know
more about the FCRA you may view it on the FTC web site:
www.ftc.gov
Click
above to link to the Federal Trade Commission
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Fair
Debt Collection Practices Act
If you use credit cards, owe money on a personal loan, or
are paying on a home mortgage, you are a "debtor."
If
you fall behind in repaying your creditors, or an error
is made on your accounts, you may be contacted by a "debt
collector."
You
should know that in either situation, the Fair Debt Collection
Practices Act requires that debt collectors treat you fairly
by prohibiting certain methods of debt collection. Of course,
the law does not forgive any legitimate debt you owe.
There
are many sections of the Fair Debt Collection Practices
Act which you may choose to address, the provision that
relates to your credit report is addressed in the section
called: false statements.
Debt
collectors may not use any false statements when collecting
a debt. For example, debt collectors may not:
- Falsely
imply that they are attorneys or government representatives;
- Falsely
imply that you have committed a crime;
- Falsely
represent that they operate or work for the credit bureau;
- Misrepresent
the amount of your debt;
- Misrepresent
the involvement of an attorney in collecting a debt;
- Indicate
that papers being sent to you are legal forms when they
are not;
- Indicate
that papers being sent to you are not legal forms when
they are;
Debt Collectors also may not state that:
- You
will be arrested if you do not pay your debt;
- They
will seize, garnish, attach, or sell your property or
wages, unless the collection agency or creditor intends
to do so, and it is legal to do so;
- Actions,
such as a lawsuit, will be taken against you, which legally
may or may not be taken, or which they do not intend to
take.
Debt collectors may not:
- Give
false credit information about you to anyone;
- Send
you anything that looks like an official document from
a court or
- government
agency when it is not;
- Use
a false name
As mentioned before, there are many more provisions in the
act, to see in full, go to: www.ftc.gov
Why
must payments be made by automatic draft or credit card?
Over
the years we found that many client payments weren’t
coming in on time or sometimes not at all. It became so
expensive to collect our fees that we began considering
significant price increases. Our company decided, instead,
to set up all the payments as electronic drafts or credit
card drafts. In the final analysis, direct drafts succeeded
in reducing late and missed payments and prices did not
increase.
What
is an electronic transfer?
An
electronic transfer works just like a bank debit card. You
provide us authorization to withdraw funds from your checking
or savings account. The draft will show on your bank statement
just like a debit or ATM card draft.
If any form of payment you supply is uncollectible for any reason, Credit Justice Inc. may charge
you a dishonored payment fee of the lesser of $20.00 or the maximum rate permitted by applicable law.
What
are the methods of payment?
For
your convenience we accept payments by credit or debit card,
or by automatic draft from your checking or savings account.
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