There’s nothing as exciting as a comeback – seeing someone with dreams, watching them fail, and then getting a second chance.
– Rachel Griffiths
Credit Repair is Real and Possible
If you’ve found this page, it most likely means that you have less then stellar credit, and that’s OK.
I was once in your shoes in a VERY real way, so I want to begin by letting you know:
- You are not alone in this type of situation; countless people have been down this path before
- Do NOT give in to fear and file for bankruptcy, it’s best left until you know the most feasible course of action based on your situation
- What you’re dealing with is just a stepping stone towards the next chapter; a better and more fruitful stage in your life
What is Credit Repair?
Credit repair is the ART of fixing your credit score when it’s less than desirable – it might even feel like you’re in a helpless state with your credit. There are multiple reputable options to seek help with credit repair.
Also, there are a series of calculated, measurable steps you can take to get back on track.
I say “art” because that’s precisely what it is. Each individual situation is different, and each item on your credit file that needs your attention should be handled differently.
What does this mean in a practical sense?
Put simply, how you go about handling a tax lien is very different to how you’d handle one 30-day late payment on a credit card.
One is a bit more simple, and one is more complicated. Both can be managed with some care and attention.
When you put the right team with the right skills in place, you can get tangible results in terms of healthier credit.
How Can You be so Confident this is Possible?
Let me take you back to October 2008, when the world collapsed around me, my finance company, and all my real estate assets.
I was a multi-millionaire on paper, at least. I had somewhere around 20 properties that were stacked with plenty of equity and a finance company turning over $5M+ a year.
All around, life was pretty good.
Then, within a few short months, that whole situation turned on a dime, and I walked into a complete nightmare. This was the crash of 2008, the worst recession in 80 years.
I tumbled from being a paper millionaire to being swamped by MASSIVE amounts of COLLECTIBLE debt.
I was in a TERRIBLE spot.
I turned to Lexington Law, and with their help, they were able to clear over 100+ items off off my credit report.
So essentially, I’ve got the first-hand experience that their process works.
When you think about it, 100+ individual items needing to be dealt with is SIGNIFICANT.
MOST people who believe they are in a lousy spot don’t have anywhere near that many.
These credit items ranged across the board – mortgage lates and credit card lates, I had a full house of financial difficulties that needed sorting.
Why Should I Ask for Help with Credit Repair?
I thought I’d be able to repair my own credit; that I’d do it better than anyone else, professional or not.
I had run a 100+ person finance company, how hard could this be?
About a month into my own attempts, I realized it wasn’t as easy as I’d anticipated. I was most definitely not the expert this time.
I didn’t have the time to devote to the process; I was building towards the NEXT stage of my life, and THAT needed my full attention.
With a future to focus on, spending 40 hours a week getting good at something that wouldn’t be any use further down the line seemed pointless.
That’s when I came across Lexington Law, who specializes in credit repair. Based on my past experience with these types of companies, I was skeptical, for sure.
I figured it was worth giving it a shot. Looking back, it was a choice I’m incredibly thankful I made, and the people I’ve referred there since all agree, too.
What Does a Credit Repair Company Do?
In a nutshell, a credit repair company will request to review your credit report from the major reporting agencies. You’ll probably already know them: Transunion, Experian, and Equifax.
The company will analyze each negative item to understand the problems and then work out a plan to fix discrepancies and start the process of credit improvement.
The company you work with will look for:
- Credit report errors
- Duplicate accounts
- Incorrect inquiries
- Inaccurate accounts
At Lexington Law, the credit repair process will look like this:
- Case intake and assessment
- Legal action where needed
- Credit score assessment
- Follow up, in addition to the escalation of credit items
Who is the Best Credit Repair Company?
Without any doubt, the best credit repair company I’ve come across to now is Lexington Law.
Jump back to pre-2008, before I lost everything, I ran a finance company, and for many years, my employees and clients had tried DOZENS of these types of “credit repair” companies.
Not to mention plenty of little mom and pop shops trying to do the same thing. These were just 1-2 people operations that were not automated or sophisticated.
The reputation of the companies was TERRIBLE, and their results were unpredictable at best.
They had no real process in place for credit repair and were, essentially, just trying to collect fees.
I didn’t know about Lexington Law at that point, and they were a newer company back then, so I could not refer to clients.
It was more than REFRESHING to find them, work with them, and see the results.
I was so impressed that I started to recommend them to dozens of friends and colleagues to them. They’ve all come away with similar positive results.
How Much Does Credit Repair Cost?
Let’s first discuss how much doing nothing to improve a bad credit score costs.
Long-term, a bad credit score can cost you tens of thousands of dollars in higher interest charges whenever you need to get credit. A 3% higher interest rate on a mortgage is a BIG number over a 30-year loan.
On a $300,000 mortgage taken over 30 years, a 3% rate hike means over $200,000 in EXTRA interest.
Credit repair, in comparison, is VERY inexpensive.
Lexington Law charges a monthly fee (the fee varies upon the chosen plan), which is insignificant to the amount of work and follow-up.
With an effective, proven process in place, you can focus on your current progress in life and not focusing on fixing past mistakes manually.
Your time is worth an hourly amount.
It may be helpful when looking at the costs associated with anything, to determine how much an hour you feel you are worth, then see if the cost of outsourcing makes sense.
Lexington Law’s work, for me at least, was extremely cost-effective per the output and resulted provided.
Can’t I Just do it for Myself?
If you don’t have to work, are SUPER organized, and have a passion for the credit repair process, then possibly.
If it’s going to be the thing to get you out of bed in the morning with excitement, it is still a maybe.
Otherwise, it’s not a great idea to do it on your own.
In life, EVERYTHING has an opportunity cost.
Repairing your own credit is one of those things that will:
- Suck your time
- Deplete your energy
- And give you almost nothing in return
Take it from a person who tried to do it on his own at first.
We’ve all got a limited amount of brain cycles each day; only so much intellectual capacity available.
If I were you, I’d spend that brain space on worthwhile pursuits that’ll enhance your quality of life and outsource the credit repair work to experts.
Are There Legitimate Credit Repair Companies that can Help Me?
Besides Lexington Law, there are a few other companies that come to mind who are skilled, professional, and able to fulfill the promises they make. One of these companies is Sky Blue Credit
Besides, this area of expertise is VERY narrow, I wouldn’t trust anyone who said they can do it for you without a proven track record.
I’m living proof that credit repair works and can change your life.
If these folk can deal with the mess I was in back in 2008, they can deal with most anything an average person has going on in their credit file.
Remember, be STRONG, face it HEAD on, and take MASSIVE action.
Do not avoid it!
Its significance and the initial fear SHRINKS as you run right through it.
You will look back in 5 years, and this will NOT matter, it is just a necessary task to get through to BUILD your character.
Going through it gives you STRENGTH, which is the silver lining!
Paul Martinez is the founder of BendingDestiny.com. He is an expert in the areas of finance, real estate, and eCommerce.
Join him on BendingDestiny.com to learn how to improve your financial life and excel in these areas. Before starting this blog, Paul built from scratch and managed two multi-million dollar companies. One in the real estate sector and one in the eCommerce sector.