Questions to Ask a Credit Repair Company
Before you sign with a credit repair company or read out a card number, put these to whoever is selling the service; two under Alternatives are meant for a credit counseling agency instead. They are grouped in the order the decision tends to go: the work itself, results, fees, the contract, the alternatives, and whether the company can be trusted. Notes that cite the law mean United States federal rules, so check how each point works in your state or country.
Want questions from the whole vault instead? Try the random question generator.
The questions
Each question, and why to ask it
The work
Which items on my credit reports would you dispute, and on what grounds for each one?
Why ask it
A company that has read your reports can name the accounts and say what is wrong with each: a balance, a date, an account that was never yours. "We challenge everything negative" describes a mailing routine, and an accurate item removed that way can reappear once the lender confirms it. Ask for the list in writing before you agree to anything.
Can you get accurate negative items taken off before they age off on their own?
Why ask it
Nobody can make a bureau or a lender delete information that is correct and current. In the United States, accurate late payments and collections can generally be reported for about seven years and some bankruptcies for up to ten, and a creditor that agrees to remove one early is doing a favor, not obeying a letter. A flat yes is your cue to stop the conversation.
What can you do for me that I could not do myself for free?
Why ask it
Disputing an error with a credit bureau costs nothing, and you have the same right to do it as any company. What a legitimate firm sells is time and paperwork, so the fair reply is some version of "nothing, but we write the letters for you." Talk of special access or an inside contact at the bureaus is a sales story.
Will you go through all three of my credit reports with me before I sign up?
Why ask it
The three US bureaus do not always hold the same information, so an error can sit on one report and not the others. A free review before any contract shows whether there is real work to do. If the review only happens after you pay, you are buying without knowing what you are buying.
Would you ever dispute an item I have told you is correct?
Why ask it
This one separates fixing mistakes from gaming the system. Listen for a test they apply before any letter goes out: checking the report against your statements, court records or the collector's own letters. If disputing everything is called standard practice, ask what happens to you when a bureau decides the disputes are frivolous and stops looking into them.
Do you send disputes to the credit bureaus, to the lender or collector that reported the item, or to both?
Why ask it
Either route can be right, and a company should be able to say why it picks one for a given account. Find out whether letters go out in your name or theirs, and whether you see each one before it is sent. Whoever signs, the dispute is recorded against your file, so you should be able to read it first.
What do you need from me to start: documents, account logins, a signed authorization?
Why ask it
Proof of identity and address is normal, because the bureaus ask for it. Logins to your bank or to a credit monitoring account deserve a second question about who can see them and why. Hand over copies, never originals.
Do you contact collectors for me, and what do you ask them for?
Why ask it
Some firms write to collection agencies asking them to show the debt is valid, and some try to negotiate removal in exchange for payment. Pin down which of those they do, and whether any agreement with a collector would be in writing before you pay a cent toward the debt.
Will you tell me to change anything while you work, such as stopping payments, closing cards or not contacting the bureaus myself?
Why ask it
Missed payments do fresh damage, so advice to stop paying a current account needs a very good reason. Being told to stay away from the credit bureaus is one of the warning signs US consumer regulators list for credit repair scams. You keep the right to check and dispute your own file the whole time.
Besides disputes, do you help with what builds credit: on-time payments, card balances, a secured card?
Why ask it
Removing an error helps once. What moves a thin or bruised file over time is new positive history, and a company that never mentions it is selling half the job. Check whether that coaching is part of the fee or an add-on.
A collector is suing me. Is that something you handle, or do I need a lawyer?
Why ask it
A lawsuit is beyond what a dispute letter can do, and a company that is not a law firm should not be advising you on one. Court papers carry a deadline to respond that depends on the court, so read it off the papers or call the clerk, and contact a lawyer or a legal aid office the same week. Be wary of any firm that tells you to wait for the next round of letters.
Results
Looking at my file, what is realistic, and what would you expect to stay exactly as it is?
Why ask it
You want two lists, not one. The second, the items that will not move, is the measure of how straight they are being with you. Write both down and hold them against your reports six months on.
Do you guarantee a score increase or a set number of deletions?
Why ask it
Nobody outside the bureaus and the lenders decides what comes off a report, so a promise of points is a pitch. The careful ones describe the work they will do and decline to name a number. If a figure is offered, ask for it to be written into the contract and watch what happens.
What have clients whose reports looked like mine ended up with, and how do you count that?
Why ask it
Averages on a website tend to count every deletion, including items that were about to age off anyway and ones that came back later. Press for how many clients finished with nothing changed, and over how many months the figure was measured. You cannot audit the number, so weigh it as a claim and not as a result.
How long does one round of disputes take, and how many rounds do you normally run?
Why ask it
In the US a bureau generally has around 30 days to look into a dispute, so one round is roughly a month plus mailing time. That makes it easy to see how a monthly fee adds up. Ask what would be different about round two if round one changes nothing.
I want to apply for a mortgage or a car loan in a few months. Is there enough time for this to help?
Why ask it
Give them your real date. A good answer may be that you would do better talking to a loan officer about what the lender needs, since some lenders will not finish a loan while a dispute is open on an account. Put that last point to the lender directly as well.
What happens if an item you got removed turns up on my report again?
Why ask it
A deletion can be reversed if the business that reported the item later verifies it. Find out whether they would challenge it again at no charge, and for how long after your contract ends. With per-item pricing, ask whether that fee comes back to you.
How will I see what changed: the bureaus' own letters, or only your summary?
Why ask it
The bureau's reply is the evidence, and it should come to your address or be forwarded to you in full. A dashboard showing "12 items removed" is the company grading its own work. Ask for a sample of what a client receives each month.
At what point would you tell me there is nothing left to do and stop billing?
Why ask it
A subscription has no natural end unless someone names one. Firms that give a clear stopping point, such as when the open disputes are settled, are easier to believe than those that talk about ongoing maintenance. Put a review date in your own calendar regardless.
Could anything you do leave me worse off than I am now?
Why ask it
It can happen: a payment or a written acknowledgment on a very old debt may change how long a collector has to sue over it, depending on the state, and an open dispute can hold up a loan. "There is no downside" means nobody has thought about your file. Ask how the rules on old debts work where you live before anyone writes to a collector.
Fees
Do you take any money before the work is done: a setup fee, a first-work fee, a charge for pulling my reports?
Why ask it
In the US, the federal Credit Repair Organizations Act bars a credit repair company from collecting payment until the service it promised has been fully performed, which is why firms that follow it bill after the fact: letters sent in March, payment in April. Ask how their first charge fits with that and what your state adds, because some states set tighter limits. A request for payment today, before anything has been done, is the clearest warning sign on this page.
What is this likely to cost me in total from the first day to the last, not only per month?
Why ask it
Multiply the monthly fee by the number of months they expect, then add setup and monitoring. One figure lets you weigh the service against the handful of errors it is meant to fix. If they will not estimate the months, assume a year and see whether it still looks worth it.
Am I billed every month even if nothing was disputed that month?
Why ask it
Waiting for a bureau to reply is not much work, and some months that is all that happens. Ask what they count as a billable month and whether the fee pauses when nothing is open. The answer shows whether you are paying for activity or for time passing.
If you charge per item removed, what counts as removed?
Why ask it
One collection deleted from three reports can be billed as one item or as three. Check too whether an item that is corrected but stays on the report counts, and whether a removal that is later reversed is refunded. Get the definition on paper, since this is where per-item bills grow.
Which extras cost more: credit monitoring, report pulls, postage, faster service, a spouse on the same plan?
Why ask it
The headline price is often for the basic tier. Go down the list one by one for each price, then ask what the plain tier leaves out. "Expedited" deserves a pointed question, since a bureau's investigation clock does not run faster for a higher fee.
Do I have to buy credit monitoring through you, and are you paid when I do?
Why ask it
Many firms ask clients to keep a paid monitoring subscription so they can read the reports, and some earn a referral fee on it. That is not sinister, but it is a cost and an incentive you should know about. Ask whether free report access would do, and who cancels the subscription when you leave.
Is there a refund if my reports do not change, and what are the conditions?
Why ask it
Read the conditions before the headline. Refund terms often require a minimum number of months, every payment made on time and no new negative items in the meantime, which narrows who qualifies. Ask how you would claim it and how long the money takes to arrive.
How do you collect payment, and can I stop it myself without calling you?
Why ask it
A card charge can usually be challenged through the issuer if it is wrong; ask your bank how that works for a debit taken straight from your account. Find out whether cancelling is done by email or only by phone during office hours. Never give online banking credentials to make payment easier.
Contract
Can I take the written contract away and read it before I sign or pay anything?
Why ask it
US federal law requires a written, dated contract for credit repair, and a company that follows it has no reason to rush you. Reading it at home is when you find the cancellation terms. Being asked for a card number before the contract is sent gets the order backwards.
Does the contract spell out each service, the total price and how long the work is expected to take?
Why ask it
Those are the things you would point to if the job went wrong. Vague wording such as "credit restoration services" gives you nothing to hold them to. Ask for the estimated end date to be filled in, not left blank.
How many days do I have to cancel at no charge after signing, and how exactly do I do it?
Why ask it
Under US federal law you can cancel a credit repair contract within three business days without paying, and the contract should come with a cancellation form. Some states allow longer, so ask what applies to you and have them show you the clause. Send any cancellation in a way that leaves a dated record.
If I cancel in month three or four, what do I owe, and how quickly does billing stop?
Why ask it
This covers the long stretch after the first few days. Look for notice periods, a final month's charge and any fee for leaving. Month to month with no penalty is the arrangement that keeps the company earning its fee.
Will you give me the written notice of my consumer rights before I sign?
Why ask it
In the US, credit repair companies are required to hand over a statement explaining your right to dispute errors yourself and to cancel. It is a short document, and a legitimate firm sends it without being asked. A salesperson who does not know what you mean has answered the question.
Is there anything in this agreement that asks me to give up a right, or limits where I can take a complaint?
Why ask it
Look for arbitration clauses, waivers and limits on refunds, and have each one explained in plain words. What such a clause is worth depends on the law where you live, so if one worries you, a legal aid office or your state consumer protection office can tell you. Reluctance to explain a clause is a reason not to sign it.
What does the authorization or power of attorney I sign allow you to do in my name?
Why ask it
A limited authorization to send dispute letters is common. One that lets the company open accounts, speak to lenders about new credit or act without telling you goes well past the job. Ask for the narrowest version and for a way to revoke it in writing.
Who can see my Social Security number and my reports, and what happens to my file when we finish?
Why ask it
You are handing over everything an identity thief would want. Ask whether work goes to outside contractors, how documents are stored, and whether your records are deleted on request once the contract ends. A shrug here should weigh more than a polished answer anywhere else.
Alternatives
If I wanted to dispute these errors myself, what would the steps be?
Why ask it
Expect a straight answer: get the reports, write to the bureau with copies of your evidence, keep records, wait for the reply. Hearing it laid out lets you judge whether the fee buys anything you would not do yourself. A refusal to describe it suggests the mystery is the product.
Do I need to pay for my credit reports, or can I bring the free ones?
Why ask it
In the US the three bureaus provide free reports through AnnualCreditReport.com, the official site for them. Being charged for reports you could download yourself is a fee, not a service. Elsewhere, ask the bureaus in your country how to get a copy of your own file.
Is my real problem mistakes on my reports, or is it debt and late payments?
Why ask it
Credit repair addresses errors. If the negative items are accurate, what helps is paying down balances and keeping accounts current, and a dispute service has little to offer. A firm that tells you this and loses the sale has earned some credit of its own.
Would a nonprofit credit counselor suit my situation better than credit repair?
Why ask it
Counseling is about budgets and repaying debt, often through a plan the agency arranges with your creditors, and a first session is frequently free or low cost. Ask the credit repair company where it would send someone who is mainly struggling with payments. Then call a counseling agency and put the same question in reverse.
Is your agency a nonprofit, what do counseling and a debt management plan cost, and how are your counselors paid?
Why ask it
Save this one for a credit counseling agency. Nonprofit status does not by itself mean free or impartial, so get the fees in writing and ask about a waiver for hardship. Counselors paid a commission on the plans they enroll have a reason to recommend one, and if your state licenses these agencies, check the license.
How would a debt management plan change my accounts and what shows on my credit reports?
Why ask it
Another for the counselor, not the repair company. Plans commonly involve closing the cards that go into them, and a creditor may note on the report that an account is being repaid through a plan. Ask how each of your creditors treats that and what happens if you miss a plan payment, then set it against where your credit is heading without a plan.
If I simply paid everything on time from now on and waited, where would my credit be in a year?
Why ask it
Time and steady payments are the free alternative every paid service competes with. An honest company will admit that some of the improvement its clients see comes from exactly that. Use the answer to work out what the fee adds on top.
Which would do more for my score right now: disputing items or paying down my card balances?
Why ask it
How much of your available credit you are using weighs heavily in the common scoring models, and it updates as new balances are reported. If the money for a year of fees would clear a card, ask them to argue against doing that instead. Their response tells you whose interest they have in mind.
Trust
How long have you operated under this name, and are you registered or bonded in my state?
Why ask it
Many US states require credit repair companies to register or post a bond, and the rules vary. Ask for the registration number and look it up with the state office that issued it. A firm that changes its name every couple of years is hard to hold to anything.
Are you a law firm, and if so, will a lawyer licensed in my state work on my file?
Why ask it
Some companies put the word attorney in their marketing while paralegals or software do the work. If legal help is part of the price, get the lawyer's name and check it with the state bar. If it is not, the label should not raise the fee.
Have regulators or clients taken action against the company, and where can I check?
Why ask it
Search the company's name with your state attorney general and in the Consumer Financial Protection Bureau's public complaint database before you call back. Read what the complaints are about: billing before work and trouble cancelling are the ones to weigh. Raise anything you find and listen to how they respond.
Would you ever suggest applying for credit under a different number, such as an EIN or a credit privacy number?
Why ask it
The only acceptable answer is no. US regulators warn that this "new credit identity" offer is a scam, and that putting such a number on a credit application can land the customer in legal trouble along with the seller. End the call if it comes up.
Would you ever ask me to report identity theft that did not happen, or to say an account is not mine when it is?
Why ask it
False identity theft claims are a known shortcut for making accurate items vanish for a while. The statement is made in your name, often under penalty of perjury, so the risk lands on you. A firm should rule it out flatly.
Do you sell or arrange authorized-user tradelines on strangers' credit cards?
Why ask it
Being added to a relative's well-kept card is ordinary. Paying to be added to a stranger's account so a lender sees history that is not yours is a different thing, and lenders and scoring models may discount it. Ask how they would describe the practice to a mortgage underwriter.
Who will work on my file, and can I reach a named person when I have a question?
Why ask it
A named case handler who answers within a day or two is worth more than an app. Try the phone number and the email address before you sign and see what comes back. Slow replies during the sale rarely speed up afterward.
You contacted me first. How did you get my details, and what do you already know about my credit?
Why ask it
A cold call or text that knows you were turned down for a loan means your details were bought as a lead. That is not evidence of a scam, but it reverses the usual order, where you choose whom to ask. Say you will call back after checking the company, and see whether the offer survives.
If I take a week to think this over, does the price or the offer change?
Why ask it
Errors on a credit report will still be there next week, so there is no real deadline. A discount that expires when the call ends is pressure, and pressure is there to stop you reading the contract. Take the week.
How to vet a credit repair company before you pay
Practical guidance for the conversation itself
Before you call anyone
Get your three reports for free
In the US, download them from AnnualCreditReport.com, which is the official source and costs nothing. Outside the US, ask the credit bureaus in your country how to get your own file. Keep the reports open during every conversation, so that any claim about your credit can be checked against the page.
Sort every negative item into wrong or right
Use two highlighters: one for things that are mistaken, such as an account you never opened or a payment marked late that was not, and one for things that are unwelcome but true. Only the first pile can be disputed honestly. If that pile is empty, credit repair has nothing to sell you.
Send one dispute yourself
Pick the clearest error and file a dispute with the bureau that shows it, attaching a copy of your evidence. Doing it once turns the company's service from a mystery into a task you can put a price on.
Write down your deadline and your budget
Note what you need the credit for, by when, and what you could spend in total. A company that hears "a mortgage next spring and a few hundred dollars at most" has to answer in specifics or admit it cannot help.
During the call
Start with the money
Open with the first question under Fees, the one about money taken before the work is done. If that answer is wrong, the rest of the list is unnecessary and you have spared yourself the pitch.
Give out nothing on the first call
No card number, no Social Security number, no login. A review of your reports can be done from copies you downloaded yourself, after you have looked the company up, and a firm that needs your details before it will answer questions has shown you its priorities.
Ask where it says that in the contract
Whenever you hear a promise about results, refunds or timing, ask which clause it appears in. Spoken promises that are missing from the paper are the ones you will not be able to rely on later.
Speak to more than one company, and to a counselor
Two credit repair companies and one nonprofit credit counseling agency make a useful comparison. The counselor earns nothing from dispute letters, so their reading of your reports is a check on the other two.
Signs to end the conversation
Payment before any work
A fee due today, whether it is called setup, enrollment or first work, is a pattern US consumer regulators warn about. Ask what was completed to earn it. If the answer is nothing yet, stop there.
A promise of points or a clean slate
Nobody can commit to a score or to wiping accurate history, because the decision belongs to the bureaus and to the lenders who reported the item. The firmer the promise, the less the person making it expects to be around when it fails.
A new identity
Any suggestion that you apply for credit with a different number, or dispute accounts as fraud when they are yours, moves the risk from the company to you. Those statements go out under your name.
Secrecy and hurry
Being told not to speak to the bureaus, not to take the contract home, or to decide before a discount ends are versions of one tactic. Each keeps you from checking what you are being told.
Credit repair, counseling or doing it yourself
A few clear errors
Dispute them yourself, or pay a company if your time is worth more to you than the fee. The letters say the same thing whoever mails them.
Accurate late payments and high balances
No dispute service changes these. A budget, automatic payments and a plan for the balances do, and a nonprofit credit counselor can help you build one.
Debt you cannot keep up with
This is a repayment problem before it is a credit report problem. Talk to a credit counselor about a debt management plan, and if the numbers still do not work, a consultation with a bankruptcy attorney will show you what else is open to you.
Accounts you never opened
That points to identity theft, which has its own free process: in the US it starts at IdentityTheft.gov, along with a fraud alert or a freeze at the bureaus. A credit repair subscription is the wrong tool for it.
A company you have already paid and regret
In the US you can report a credit repair company to the Federal Trade Commission, the Consumer Financial Protection Bureau and your state attorney general, and ask your card issuer about disputing the charges. Keep the contract, the receipts and every message.