Personal Loans and Credit Repair
Borrowers who repair their credit may boost their chances of qualifying for a personal loan. It’s important, however, to avoid quick-fix credit repair schemes. In many cases credit counselors offering super fast results may be running a scam.
Credit Repair Scams
A Federal Trade Commission (FTC) survey found that about 2.1 million people were taken in by credit repair scams. Many of these counselors claim they can get negative information deleted from an individual’s credit report, which isn’t true, according to an article at Military.com.
People who want to repair their credit before applying for a personal loan should be skeptical if a credit counselor tells them to:
Create a new credit identity
Avoid speaking to credit bureaus
Pay money upfront to receive help
Credit Repair Checklist
Many people can probably put together their own credit repair plan.