Use plain, self addressed, handwritten envelopes only.
Sign and mail all letters the same day.  Use stamps,
do not use postage machines, include a copy of your SS card.  

There are three "Dr.C Challenge Letter Formats" typically 
the first letter will remove 80% of the derogatory information!  
Understand there is no overnight "magic cure" it will take 
approximately 6 weeks to receive your corrected reports
from the credit bureaus.

Bankruptcies, Judgments, Repossessions, Foreclosures,
Charge Off's and Collection accounts can be removed.
The status of Tax Liens and Student Loans are much more 
difficult to change unless they are paid or now current. 
Late payments can be challenged successfully only if the account
is closed. 

Every time you apply for credit an inquiry will show up on
your report.  Inquiries normally will come off automatically,
if there is no activity, but will stay on for 2 years.

There are three major national Credit Bureaus 
and derogatory information must be removed from all of them:

Experian 
P.O. Box 1017
Allen, TX 75013

Equifax 
P.O. Box 105518
Atlanta, GA 30348

TransUnion
1561 E. Orangethorpe Ave.
Fullerton, CA 92831

Payment history on your file is supplied to the credit 
bureaus by subscribers, collection agencies, public records
and other credit grantors.  Companies to whom payments are
being made to pay for merchandise or services:
 
(major credit cards, revolving store charge accounts,
gasoline charge cards, mortgage payments, auto and
other installment loans) report to one or more credit
bureaus the history or current status of your account. 

This includes both open and closed accounts.
Payment in full does not remove your payment history. 
Such data may be positive (current account, paid satisfactory, etc.).
Or it may be negative (payment 30 days past due, collection
account, charge off, etc.). 

The credit reporting industry consists of over 650 credit
bureaus most of which are owned or affiliated with one of 
the "big three" and are linked to there computer systems.

It is important to understand that negative reports that
are accurate, that is, they do reflect actual past 
due payments or other problems cannot be removed from
your credit report simply by writing and asking. 

The Fair Credit Reporting Act (FACRA) was passed by
Congress in 1970 to regulate the credit reporting industry. 
It specified the rights of consumers in making sure that the
credit bureaus reported only factual and verifiable credit 
related information about them. 

This Act gives consumers a great deal of power to insure that
what is being reported about them is accurate.  In 1996 an 
amendment:

The Consumer Credit Reporting Reform Act

(FACRA) shifted the burden of proof to credit bureaus 
and loan institutions.  This allows consumers to sue
for up to $1000 in civil actions (Small Claims) against
individuals who knowingly obtain a credit report under
false pretenses or a credit bureau if it willfully
or negligently violates the law. 

It also lets the Federal Trade Commission seek up to
$2500 in fines and injunctive relief per violation against:

(1) Companies who knowingly supply inaccurate information.

(2) Lenders who allow such false information to remain in a file.

Credit Bureaus that fail to promptly delete inaccurate or 
unverified information from reports after notification by consumers
may also be liable.

In response to a series of congressional and commission hearings 
on consumer complaints, the amendments now require credit bureaus
to conduct an investigation, review all relevant information
and delete inaccurate or incomplete information within 30 days! 

Do you even know what is on your Credit Report?

Are there any black marks?

Are they yours?  Are they fraudulent? 

The quick and easy way to clean up and repair your credit!

Forget the past -- look to the future!

You deserve a second chance -- it's as easy as 123 with Dr.C!  

Dr.C's Credit Repair Procedures have helped people re-establish 
their credit since 1987.  

No need to pay up front, sky-high consulting fees of up to
$1500, plus authorizing your credit card for future debits
at a cost of hundreds of dollars per item!  

Most major lenders (Banks, Mortgage and Finance Companies) 
are now using "Credit Scoring Systems" that are derived from
data maintained by the three national credit bureaus and are
supplied only to members.

To qualify for the best terms your score must be 700 or above! 

Negative entries, debt ratio, high credit card balances as well 
as too many inquiries will affect your score and your ability
to obtain loans at normal interest rates or even outright 
rejection!

Worse still it could affect your ability to find employment
or even rent an apartment!

FACT  A  paid  collection account is worse than an unpaid account!
(If you pay a collection account you are admitting guilt!)

FACT  It is better to dispute the item or settle with the creditor,
on the understanding that it will be removed upon payment!

FACT  Derogatory information will stay on your file for
7 years. (Bankruptcy for 10 years) and may not be
automatically removed!

FACT  It is generally not a good idea to directly contact
the Credit Bureaus nor post a consumer statement!

FICTION The information in your credit files is always correct.

In fact nearly one of every five credit reports contain 
serious errors!

FICTION  If an error does appear on your credit report it's
virtually impossible to delete.

It's as easy as 123 with Dr.C!

FICTION  Credit repair is illegal.

The right to monitor your credit report and to dispute 
inaccurate entries on your credit report is your legal 
right under the Fair Credit Act!

FICTION  If I don't do anything they will fall off 
automatically after 7 years anyway.

Unless an account is disputed it may stay on indefinitely!

The ability to question entries in your credit profile
is the foundation of credit repair.  If, upon  your challenge
of the entry the credit bureau can not obtain verification
within 30 days of the dispute, the entry in question
must be deleted from your credit report, accurate or not.  
Not being able to get verification is frequently the case.

Time is on your side, most companies and government offices
keep readily accessible and verifiable records for only 
limited periods and they must respond within the specified
time.  Also companies are bought out, go out of business 
or can't produce the records on you (or in many cases
can't be bothered)!

Disputes must be submitted in an orderly manner, in the correct 
"format" and with sufficient time between challenges 
(at least 30 days and no more than three per year) or the
Credit Bureaus will simply ignore your letters. 
Thus credit repair is partly a process of seeking verification
of the information reported about you. 

If the originator of negative information can not verify 
their claims upon your request to do so,  such data must
be removed.  Your right to dispute entries in your credit
report gives you the ability to monitor, and possible change,
what is being reported about you concerning your credit history. 
As long as the credit bureau can not consider your dispute to be 
"false, frivolous or irrelevant" the results must be changed 
promptly!

TIP  Credit Bureaus may use "stalling tactics" such as
requesting a copy of your social security card or drivers 
license to verify id, as well as a copy of a utility bill
for proof of residence. 
   
TIP  Never send a copy of your drivers license or a telephone bill!
Mail a copy of your original letter, with a copy of the request, 
along with a copy of a gas, electric or cable bill only!                                    
TIP  The amended FACRA now provides that within five business
days of receiving your investigation request, the credit 
bureau must contact the provider of the information to verify
its accuracy.
 
TIP  If the provider fails to conduct a proper investigation
after being notified by the credit bureau regarding the accuracy
of the information, you have a right to sue!

TIP  Credit Bureaus were established to reduce the risk of 
merchants in time payment transactions. The recording of 
payment history is very important and derogatory information 
extremely so!

TIP  The easiest way to re-establish credit is to apply for one
of the many secured credit cards available and establish a 
satisfactory payment history of at least six months.

(If you have moved several times in the past or have not been
at your current address for at least three years it is a good idea
to enclose a copy of your Social Security card and a copy of
a utility bill or other address verification).

Good Luck!

To obtain a free copy of the FTC's consumer and business publications Write to: Public Reference, Federal Trade Commission Washington, D.C. 20580
FTC Consumer & Small Business Advisory - Public Document

For more specific information visit the site listed below
Federal Trade Commission
Design by Kevin C.
Updated May 2001

JUMP

Webmaster and Page Design:Dr.C(Kevin C)

This page has been listed as a public service. (1995 by Royale Publications)