FTC & Credit Repair
Avoiding Credit Repair Scams
Fraudulent credit repair organizations have long been the target of FTC investigations. Here are ways to avoid unethical credit repair companies:
Beware of credit repair services that request fees in advance
At Lexington Law, you pay only after services have been rendered.
Beware of credit repair services that don't disclose your rights
Consumers have the right to attempt credit repair on their own. Lexington offers its legal services to those clients who prefer having legal professionals help them manage their credit concerns and creditor interventions. The Fair Credit Reporting Act outlines your rights as a consumer in this regard.
Beware of credit repair services that advocate "new" identities
It is unlawful to create a "new" identity by applying for an Employer Identification Number (EIN) to replace ones Social Security Number. File segregation, i.e. establishing a new credit report with a falsified social security number, is a serious crime that can result in fines or imprisonment.
Beware of credit repair firms that misrepresent their expertise
It is unethical for credit repair companies to claim that they will remove items from your credit reports. The truth is that only data furnishers or credit bureaus themselves can make such changes. For decades, Lexington Law Firm has helped its clients to direct the right questions about their credit to the appropriate recipients. As a result, significant credit report revisions have often followed.
Beware of companies that imply FTC endorsement
The FTC does not endorse any business. If a credit repair organization implies FTC endorsement, proceed with caution.