Credit repair tip of the week

Veracity's Credit Tip of the Week

Myths of Credit RepairMyth: Credit can be repaired instantly.

Fact: Credit repair is a lengthy process that can take months even when working with dedicated professionals. Any company that offers a guaranteed instant fix to your credit scores should be considered a scam and avoided. Remember, if it's too good to be true, it probably is.

Myth: You can't fix bad credit.

Fact: Inaccurate items on a credit report can by all means be removed through the dispute process. Even accurate derogatory trade lines can be repaired with time and careful repayment of your debts. As old debts are paid and all newer debts are paid on time, even the worst credit will slowly begin to improve.

Myth: I can improve my credit by simply paying off all my old debts.

Fact: As much as we wish this were true, the fact is paying your old collections can drop your scores by updating the activity on those accounts. There is a process for paying off old debts that must be followed if your credit is to improve through paying debts.