Archive for December 23rd, 2008
Dec
23
The Amazing Truth About Credit Repair
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Jim Kemish asked:
The Great Credit Repair Misconception
Before starting your credit repair project you must overcome a very common psychological barrier. I’m not talking about the fear of dealing with your credit report. I’ll assume that you can handle the moment of terror many people feel when sitting down with a copy of their credit report. The real credit repair barrier is much more subtle.
Things Are Not What They Seem
There is a widespread misunderstanding about credit repair that if you can recognize the information reported it is accurate. This is far from the truth. It is true that credit reports should accurately represent your payment, or non-payment history. But this is only partially correct. The information the credit bureaus provide must conform to a litany of regulation, much of limits not only the time they are allowed to report information, but the circumstances in which they are allowed to report.
Your Rights
What does this mean? It means there may be many derogatory items on your report that stem from real events, but should not legally be on your report. Millions of consumers proofread their reports with absolutely no knowledge of the reporting rules that may allow them to remove a significant number of damaging items. This is a major issue.
The Cost of Misinformation
I have seen an amazing number of people achieve more than a hundred point increase in their credit score by simply consulting a credit repair expert to help them identify the derogatory items that should not be on their report. I believe that there may be over one hundred million people in the United States who are paying premium interest rates on car loans, credit cards, and mortgages because of the errors on their reports.
The Silent Credit Killer
There is virtually no publicity about this problem. On the contrary, there is a widespread public perception that most credit repair efforts are futile and even of questionable legality. This is an economic travesty, as millions of people who could easily improve the quality of their life through a round of intelligent credit repair are dissuaded by misinformation.
Free Your Mind
Before starting your credit repair efforts you need to eliminate all of your pre-conceptions about credit reporting accuracy. Forget about looking only for the unfamiliar derogatory information. You cannot afford to assume that anything on your report is accurate just because you have a recollection of the event involved. You need to educate yourself or hire a legitimate credit repair service to intercede on your behalf.
Credit Repair Laws
The body of law which provides the credit reporting guidelines that all national credit reporting agencies must adhere to is called the Fair Credit Reporting Act (FCRA). Beyond the FCRA itself there are thousands of Staff Opinion Letters which clarify the intent and practical application of the law. An informed credit repair effort must utilize all of this information. Remember that your credit score is not to be taken lightly. This is truer today than ever before. A lazy attitude about your credit score will take money out of your pocket.
Collections Are Misunderstood Too
And there is more. Many people who have had legitimate credit issues in the past are now being confronted by collectors. The same lack of information that devastates so many people’s credit scores applies to their legal rights in dealing with collection situations. The body of law that governs the collection industry is called the Fair Debt Collection Practices Act (FDCPA). The FDCPA provides consumers with powerful collection defenses, virtually none of which are known by the very people who could benefit the most.
Take Action Now
A little bit of credit repair information can pay amazing dividends. You can either educate yourself or consult a credit repair expert. If you are going to try it on your own make sure to invest time in the learning process. It’s not hard, but will take some effort. One of my favorite books on credit repair by one of the most prominent exponents of the do-it-yourself movement starts by warning you not to take any action until reading the entire book; it is 500 pages long.
Spread the Word
The credit crisis has made it exceedingly clear; the time has come for consumers to understand their legal rights. Credit repair has the potential to offer significant and even life-changing benefits. If you have experienced the potential of intelligent informed credit repair, spread the word.
Copyright © 2008 James W. Kemish. All Content. All Rights Reserved.
The Great Credit Repair Misconception
Before starting your credit repair project you must overcome a very common psychological barrier. I’m not talking about the fear of dealing with your credit report. I’ll assume that you can handle the moment of terror many people feel when sitting down with a copy of their credit report. The real credit repair barrier is much more subtle.
Things Are Not What They Seem
There is a widespread misunderstanding about credit repair that if you can recognize the information reported it is accurate. This is far from the truth. It is true that credit reports should accurately represent your payment, or non-payment history. But this is only partially correct. The information the credit bureaus provide must conform to a litany of regulation, much of limits not only the time they are allowed to report information, but the circumstances in which they are allowed to report.
Your Rights
What does this mean? It means there may be many derogatory items on your report that stem from real events, but should not legally be on your report. Millions of consumers proofread their reports with absolutely no knowledge of the reporting rules that may allow them to remove a significant number of damaging items. This is a major issue.
The Cost of Misinformation
I have seen an amazing number of people achieve more than a hundred point increase in their credit score by simply consulting a credit repair expert to help them identify the derogatory items that should not be on their report. I believe that there may be over one hundred million people in the United States who are paying premium interest rates on car loans, credit cards, and mortgages because of the errors on their reports.
The Silent Credit Killer
There is virtually no publicity about this problem. On the contrary, there is a widespread public perception that most credit repair efforts are futile and even of questionable legality. This is an economic travesty, as millions of people who could easily improve the quality of their life through a round of intelligent credit repair are dissuaded by misinformation.
Free Your Mind
Before starting your credit repair efforts you need to eliminate all of your pre-conceptions about credit reporting accuracy. Forget about looking only for the unfamiliar derogatory information. You cannot afford to assume that anything on your report is accurate just because you have a recollection of the event involved. You need to educate yourself or hire a legitimate credit repair service to intercede on your behalf.
Credit Repair Laws
The body of law which provides the credit reporting guidelines that all national credit reporting agencies must adhere to is called the Fair Credit Reporting Act (FCRA). Beyond the FCRA itself there are thousands of Staff Opinion Letters which clarify the intent and practical application of the law. An informed credit repair effort must utilize all of this information. Remember that your credit score is not to be taken lightly. This is truer today than ever before. A lazy attitude about your credit score will take money out of your pocket.
Collections Are Misunderstood Too
And there is more. Many people who have had legitimate credit issues in the past are now being confronted by collectors. The same lack of information that devastates so many people’s credit scores applies to their legal rights in dealing with collection situations. The body of law that governs the collection industry is called the Fair Debt Collection Practices Act (FDCPA). The FDCPA provides consumers with powerful collection defenses, virtually none of which are known by the very people who could benefit the most.
Take Action Now
A little bit of credit repair information can pay amazing dividends. You can either educate yourself or consult a credit repair expert. If you are going to try it on your own make sure to invest time in the learning process. It’s not hard, but will take some effort. One of my favorite books on credit repair by one of the most prominent exponents of the do-it-yourself movement starts by warning you not to take any action until reading the entire book; it is 500 pages long.
Spread the Word
The credit crisis has made it exceedingly clear; the time has come for consumers to understand their legal rights. Credit repair has the potential to offer significant and even life-changing benefits. If you have experienced the potential of intelligent informed credit repair, spread the word.
Copyright © 2008 James W. Kemish. All Content. All Rights Reserved.
Dec
23
Credit Card Debt Consolidation: Finding The Right Program – Advantages And Disadvantages
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Lokesh Kumar asked:
You never know when and who would need help from a credit card debt consolidation program. Sometimes unexpected circumstances can lead to financial difficulties which in turn would lead you to consider debt consolidation. Some of these circumstances are loss of job, loss in business, death of an earning member and so on. If you are finding it hard to pay off your credit card loans, then it is wise to consider debt consolidation. This is much better than bankruptcy. This article will help you with steps in finding the right credit card debt consolidation program, make you aware of the advantages and disadvantages of debt consolidation so you can decide whether credit card debt consolidation is the best option for you or not.
Basics of Debt Consolidation
Debt Consolidation is a big loan that will pay off your credit card loans. There are several ways these debt consolidation programs work. The most popular way is to take one lump sum amount of money from you (the borrower) and distribute it to your credit card companies (the lenders). All your loans will be consolidated into one payment usually withdrawn directly from your bank on a fixed date every month. These programs make the card holders life easier.
As a general rule, if you have many credit cards from different companies with high interest rates, then debt consolidation can help you manage your debt with only one bill and much lower APRs. These debt consolidation companies negotiate a lower interest rate for you and this can save a lot of money in the long run. This will work out in your favor if you have credit cards with APRs of around 30% because the debt consolidation programs can reduce these interest rates to between 12% – 18%. These programs require a monthly administration fees, which is usually around and this will come off your savings. Remember if the admin fee does not come off your savings, then it is not a good idea to sign up for a debt consolidation program.
So it looks like everything about the credit card debt consolidation is positive. Well, it is not always the case. There are a few advantages and also disadvantages of debt consolidation programs. You have to find a balance between them. The fact is that credit card debt consolidation companies do help you in paying off your debt. Here are some advantages and disadvantages of these programs.
Advantages
1. Decreased payment amounts: The monthly payments will be less than what you were paying before debt consolidation because you are paying off the loan over a longer duration.
2. Simpler to manage: After you signup in the debt consolidation program, you will have a relief from reading your credit card statements, deciding how much to pay for each credit card and then making the payments one by one. Usually, the company will withdraw the money directly from the bank and you will not have to be concerned about late payments.
3. Decreased interest rates: This is one of the major advantages for many credit card owners. Some of the debt consolidation companies bring down the interest rates much lower than the current ones. This can save lots of money for you.
4. Debt Management tips: Many of the good debt consolidation give lots of free tips on managing your debt. They draw out a plan on debt management. These tips are invaluable. They even mail out booklets on debt management.
Disadvantages
1. Lower FICO scores: Many experts debate that debt consolidation does not have any effect on credit (FICO) scores the fact is that debt consolidation has a negative effect on the credit scores. Enrolling into debt consolidation will always be reflected in your credit history. Most credit repair companies mention that it is difficult to increase your credit score if you are currently working with a debt consolidation program. Your credit scores can be raised after you have paid off the loans and are not currently in any debt consolidation program. Even if you can remove one credit card from the debt consolidation program that can help you increase your credit scores.
2. Higher Payment: Since your payments are made over a longer duration of time i.e. in more number of the years, then you will end up paying more in the long run. One way to prevent this is – if your financial situation has improved, then you can pay off larger sum of money. Most of times there will be no penalty for paying off the debt sooner than the agreed number of months. Before enrolling in a credit card debt consolidation program, you can confirm if there is a penalty or not for paying off the debt sooner than the agreed number of months.
3. Credit cards inactivation: If a credit card payment is enrolled in a debt consolidation program, then that particular card account will be inactivated. i.e., that credit card can no longer be used.
4. Negative Impact on Future Loans: Once you have enrolled in a credit card debt consolidation program, this will remain in your credit history. So, all future loan requests (new credit card applications, home loan, car (automobile) loans etc.) will involve references to your debt consolidation. i.e., the lender will have knowledge about your participation in debt consolidation program. Some people are very uncomfortable about this but it is up to you decide. Your credit history is a private record and will be provided by credit score companies only on a need-to-know basis. If you apply for home loan, then the chances of getting rejected is higher and if you get accepted, then mortgage broker will ask for explanation. Again all these conversations are kept confidential.
So, the question is – when should you consider a credit card debt consolidation? If you are paying high interest rates around 30% on a credit card, you have many credit cards, you are unable to make payments or your are barely able to make just the minimum monthly payments, you are finding it difficult to manage all the payments etc., you must consider signing up for a credit card debt consolidation program. After reading through the advantages and disadvantages mentioned earlier, make decision about signing up or not signing up for credit card debt consolidation program.
How to find a good debt consolidation program / company?
Signing up with the right debt consolidation program is critical for saving money and successfully consolidating your debt. There are a good number of scams in the debt consolidation business so it is in your best interest to proceed cautiously to prevent being victim of a scam. Here are some very good sources of finding the right debt consolidation program.
1. References from friends and relatives: It is best to ask your trusted friends if they have any recommendations for reliable credit card debt consolidation program i.e., if they have enrolled in one of these or know of anyone who enrolled in one and is satisfied. As mentioned before, there are many scams and so with this option, you can feel safe. This should be your first option.
2. Television advertisements: Most of big and established companies run advertisements on TV. These are companies that have a lot of experience and have been successful with debt consolidation. But it is a wise thing to research the company. Look for their website and check for their standing in Better Business Bureau (BBB) and must have been in existence for a few years. Also, search http://ripoffreport.com website for this company – this website where victims of scams post their experiences.
3. Mails: When you are unable to payoff debt on time, you will receive mails from some companies that will offer help with debt consolidation. These companies have permission to access some of your basic information. The good thing here is that your fit their profile of enrollees and that is why you received a mail with their credit card debt consolidation services. As mentioned earlier, research these companies using the same methods described above.
4. Telemarketing phone calls: Typically, telemarketing phone calls that you get is because your debt situation is such that it fits the requirement of their enrollees. If you receive a phone call, remember to never enroll in the first phone call. Note down all the details of this company such as the websites, contact person and phone number to call. Research the company extensively as mentioned above.
5. Online Research: Research the internet for good credit card debt consolidation companies both non profit and profit companies. Once you create a list of possible companies, research the companies extensively. Talk to these companies until you are comfortable about enrolling with them.
For a few months or years, if you can handle the disadvantages of credit card debt consolidation programs, then enroll in a program. Debt consolidation can get you out of your current debt problems and save you a lot of money by lowering your interest rates but if you do not spend judiciously, then you will be back into the same debt problems and this cycle will never end. So the long term solution to debt problems is to change your spending habits and live slightly below your means. Remember you need to manage the money / debt and NOT let the money / debt manage you.
You never know when and who would need help from a credit card debt consolidation program. Sometimes unexpected circumstances can lead to financial difficulties which in turn would lead you to consider debt consolidation. Some of these circumstances are loss of job, loss in business, death of an earning member and so on. If you are finding it hard to pay off your credit card loans, then it is wise to consider debt consolidation. This is much better than bankruptcy. This article will help you with steps in finding the right credit card debt consolidation program, make you aware of the advantages and disadvantages of debt consolidation so you can decide whether credit card debt consolidation is the best option for you or not.
Basics of Debt Consolidation
Debt Consolidation is a big loan that will pay off your credit card loans. There are several ways these debt consolidation programs work. The most popular way is to take one lump sum amount of money from you (the borrower) and distribute it to your credit card companies (the lenders). All your loans will be consolidated into one payment usually withdrawn directly from your bank on a fixed date every month. These programs make the card holders life easier.
As a general rule, if you have many credit cards from different companies with high interest rates, then debt consolidation can help you manage your debt with only one bill and much lower APRs. These debt consolidation companies negotiate a lower interest rate for you and this can save a lot of money in the long run. This will work out in your favor if you have credit cards with APRs of around 30% because the debt consolidation programs can reduce these interest rates to between 12% – 18%. These programs require a monthly administration fees, which is usually around and this will come off your savings. Remember if the admin fee does not come off your savings, then it is not a good idea to sign up for a debt consolidation program.
So it looks like everything about the credit card debt consolidation is positive. Well, it is not always the case. There are a few advantages and also disadvantages of debt consolidation programs. You have to find a balance between them. The fact is that credit card debt consolidation companies do help you in paying off your debt. Here are some advantages and disadvantages of these programs.
Advantages
1. Decreased payment amounts: The monthly payments will be less than what you were paying before debt consolidation because you are paying off the loan over a longer duration.
2. Simpler to manage: After you signup in the debt consolidation program, you will have a relief from reading your credit card statements, deciding how much to pay for each credit card and then making the payments one by one. Usually, the company will withdraw the money directly from the bank and you will not have to be concerned about late payments.
3. Decreased interest rates: This is one of the major advantages for many credit card owners. Some of the debt consolidation companies bring down the interest rates much lower than the current ones. This can save lots of money for you.
4. Debt Management tips: Many of the good debt consolidation give lots of free tips on managing your debt. They draw out a plan on debt management. These tips are invaluable. They even mail out booklets on debt management.
Disadvantages
1. Lower FICO scores: Many experts debate that debt consolidation does not have any effect on credit (FICO) scores the fact is that debt consolidation has a negative effect on the credit scores. Enrolling into debt consolidation will always be reflected in your credit history. Most credit repair companies mention that it is difficult to increase your credit score if you are currently working with a debt consolidation program. Your credit scores can be raised after you have paid off the loans and are not currently in any debt consolidation program. Even if you can remove one credit card from the debt consolidation program that can help you increase your credit scores.
2. Higher Payment: Since your payments are made over a longer duration of time i.e. in more number of the years, then you will end up paying more in the long run. One way to prevent this is – if your financial situation has improved, then you can pay off larger sum of money. Most of times there will be no penalty for paying off the debt sooner than the agreed number of months. Before enrolling in a credit card debt consolidation program, you can confirm if there is a penalty or not for paying off the debt sooner than the agreed number of months.
3. Credit cards inactivation: If a credit card payment is enrolled in a debt consolidation program, then that particular card account will be inactivated. i.e., that credit card can no longer be used.
4. Negative Impact on Future Loans: Once you have enrolled in a credit card debt consolidation program, this will remain in your credit history. So, all future loan requests (new credit card applications, home loan, car (automobile) loans etc.) will involve references to your debt consolidation. i.e., the lender will have knowledge about your participation in debt consolidation program. Some people are very uncomfortable about this but it is up to you decide. Your credit history is a private record and will be provided by credit score companies only on a need-to-know basis. If you apply for home loan, then the chances of getting rejected is higher and if you get accepted, then mortgage broker will ask for explanation. Again all these conversations are kept confidential.
So, the question is – when should you consider a credit card debt consolidation? If you are paying high interest rates around 30% on a credit card, you have many credit cards, you are unable to make payments or your are barely able to make just the minimum monthly payments, you are finding it difficult to manage all the payments etc., you must consider signing up for a credit card debt consolidation program. After reading through the advantages and disadvantages mentioned earlier, make decision about signing up or not signing up for credit card debt consolidation program.
How to find a good debt consolidation program / company?
Signing up with the right debt consolidation program is critical for saving money and successfully consolidating your debt. There are a good number of scams in the debt consolidation business so it is in your best interest to proceed cautiously to prevent being victim of a scam. Here are some very good sources of finding the right debt consolidation program.
1. References from friends and relatives: It is best to ask your trusted friends if they have any recommendations for reliable credit card debt consolidation program i.e., if they have enrolled in one of these or know of anyone who enrolled in one and is satisfied. As mentioned before, there are many scams and so with this option, you can feel safe. This should be your first option.
2. Television advertisements: Most of big and established companies run advertisements on TV. These are companies that have a lot of experience and have been successful with debt consolidation. But it is a wise thing to research the company. Look for their website and check for their standing in Better Business Bureau (BBB) and must have been in existence for a few years. Also, search http://ripoffreport.com website for this company – this website where victims of scams post their experiences.
3. Mails: When you are unable to payoff debt on time, you will receive mails from some companies that will offer help with debt consolidation. These companies have permission to access some of your basic information. The good thing here is that your fit their profile of enrollees and that is why you received a mail with their credit card debt consolidation services. As mentioned earlier, research these companies using the same methods described above.
4. Telemarketing phone calls: Typically, telemarketing phone calls that you get is because your debt situation is such that it fits the requirement of their enrollees. If you receive a phone call, remember to never enroll in the first phone call. Note down all the details of this company such as the websites, contact person and phone number to call. Research the company extensively as mentioned above.
5. Online Research: Research the internet for good credit card debt consolidation companies both non profit and profit companies. Once you create a list of possible companies, research the companies extensively. Talk to these companies until you are comfortable about enrolling with them.
For a few months or years, if you can handle the disadvantages of credit card debt consolidation programs, then enroll in a program. Debt consolidation can get you out of your current debt problems and save you a lot of money by lowering your interest rates but if you do not spend judiciously, then you will be back into the same debt problems and this cycle will never end. So the long term solution to debt problems is to change your spending habits and live slightly below your means. Remember you need to manage the money / debt and NOT let the money / debt manage you.
Dec
23
Answering Some Common Questions About Credit Repair
Posted by: | Comments
James Sampson asked:
Credit repair is one of those topics that most people are not familiar with and many of those that think they are, do not have a correct understanding of what credit repair really is. To help provide an introduction to the concept, provided below are answers to three common questions people have about credit repair.
Is Credit Repair Legal?
Absolutely! All a creditor has to do is report a negative item to a credit bureau for it to be added on your credit reports. They do not have to prove that you did anything wrong and the credit bureaus are not going to contact you to get your side of the story.
By disputing the items in your credit reports, you are asking the credit bureaus to perform an investigation to determine if the negative items on your credit reports are being reported correctly. If they are not, then they must be revised or removed.
In a perfect world, credit repair would not be necessary, but because of the obvious flaws in the credit reporting system, the Fair Credit Reporting Act was enacted to protect your rights against unfair credit reporting. Because of this act, you have the right to dispute any items in your credit reports that you feel are not completely accurate.
How Do Inaccurate Items End Up On My Credit Reports?
There are a number of reasons why inaccurate items could end up on your credit reports. For example, a simple human error such as typing in your Social Security number instead of someone else’s could result in their bad credit showing up on your credit reports. Also, mistyped dollar amounts, items reported more than once, incorrect dates, and other errors could results in errors on your credit reports.
Another common reason for credit errors is mistaken identity. It is very common for your credit reports to show negative items from someone else with your same name. This could happen if you have a fairly common name or in some cases, in the case of a son who is named after their father. It has happened many times that someone gets denied for credit only to find out that a bankruptcy or some other serious negative item has been erroneously added to their credit reports because someone else with the same name was not responsible with their finances.
Finally, identity theft is a major source of credit reporting errors. Someone steals your personal information and destroys your credit all in your name.
Can I Save Money and Repair My Credit Myself?
Yes, you have every right to repair your credit yourself. As is mentioned in numerous credit repair articles, anything a credit repair company can do, you can do yourself.
Of course, this is true of almost any service. Just as you have the right to repair your own credit, you also have the right to change your own oil, cut your own hair, or even represent yourself in a court of law. But as is also the case of these services, many people find that is is easier, cheaper, and more effective to hire a professional.
When considering whether or not to repair your credit yourself, also consider what your time is worth. Depending on the severity of your credit problems and the cooperation level of your creditors, effectively repairing your credit reports could involve learning about and analyzing your credit reports, researching the Fair Credit Reporting Act, research the Fair Credit Billing Act, researching the Fair Debt Collection Practices act, writing and sending dispute letters to the credit bureaus, writing and sending dispute letters to your individual creditors, and properly responding to all of these entities.
Many people find that it is simply easier to get help with credit repair than to do it themselves. In fact, a sizable percentage of people who end up using a credit repair company to help them with their credit reports do so after already trying to repair their credit themselves.
Credit repair is one of those topics that most people are not familiar with and many of those that think they are, do not have a correct understanding of what credit repair really is. To help provide an introduction to the concept, provided below are answers to three common questions people have about credit repair.
Is Credit Repair Legal?
Absolutely! All a creditor has to do is report a negative item to a credit bureau for it to be added on your credit reports. They do not have to prove that you did anything wrong and the credit bureaus are not going to contact you to get your side of the story.
By disputing the items in your credit reports, you are asking the credit bureaus to perform an investigation to determine if the negative items on your credit reports are being reported correctly. If they are not, then they must be revised or removed.
In a perfect world, credit repair would not be necessary, but because of the obvious flaws in the credit reporting system, the Fair Credit Reporting Act was enacted to protect your rights against unfair credit reporting. Because of this act, you have the right to dispute any items in your credit reports that you feel are not completely accurate.
How Do Inaccurate Items End Up On My Credit Reports?
There are a number of reasons why inaccurate items could end up on your credit reports. For example, a simple human error such as typing in your Social Security number instead of someone else’s could result in their bad credit showing up on your credit reports. Also, mistyped dollar amounts, items reported more than once, incorrect dates, and other errors could results in errors on your credit reports.
Another common reason for credit errors is mistaken identity. It is very common for your credit reports to show negative items from someone else with your same name. This could happen if you have a fairly common name or in some cases, in the case of a son who is named after their father. It has happened many times that someone gets denied for credit only to find out that a bankruptcy or some other serious negative item has been erroneously added to their credit reports because someone else with the same name was not responsible with their finances.
Finally, identity theft is a major source of credit reporting errors. Someone steals your personal information and destroys your credit all in your name.
Can I Save Money and Repair My Credit Myself?
Yes, you have every right to repair your credit yourself. As is mentioned in numerous credit repair articles, anything a credit repair company can do, you can do yourself.
Of course, this is true of almost any service. Just as you have the right to repair your own credit, you also have the right to change your own oil, cut your own hair, or even represent yourself in a court of law. But as is also the case of these services, many people find that is is easier, cheaper, and more effective to hire a professional.
When considering whether or not to repair your credit yourself, also consider what your time is worth. Depending on the severity of your credit problems and the cooperation level of your creditors, effectively repairing your credit reports could involve learning about and analyzing your credit reports, researching the Fair Credit Reporting Act, research the Fair Credit Billing Act, researching the Fair Debt Collection Practices act, writing and sending dispute letters to the credit bureaus, writing and sending dispute letters to your individual creditors, and properly responding to all of these entities.
Many people find that it is simply easier to get help with credit repair than to do it themselves. In fact, a sizable percentage of people who end up using a credit repair company to help them with their credit reports do so after already trying to repair their credit themselves.