Over the past several months I’ve received many questions regarding credit repair firms – ranging from the actual service these firms provide to why I remain so dead set against them.
These questions reveal how little mortgage professionals understand about credit repair. How can an industry so vocal in their advertising (just try a Google search on “credit repair”), remain so mysterious about what they actually do?
I realized I needed to write an expose on the credit repair industry – and shed light on why these firms actually harm both consumers and mortgage lenders. This idea became an article which was recently published in Mortgage Banking magazine, and you can download the article here.
As mortgage lenders tighten their qualifying criteria, and credit score thresholds increase it may be tempting to refer your declined applicants to credit repair firms. This article explains why credit repair firms are not a good solution for you – or your applicant.
Note: If you just happen to be an individual referred to a credit repair firm – please take my advice: save yourself the money and avoid them. See a mortgage broker skilled in credit proofreading instead.
Posted by Caped Crusader 