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But there are ways to make money in a home
business that are realistic, don’t cost an arm and a leg, and can be
quickly learned with just a little time and effort. The business of
Credit Repair is one such business.
Now the very name “Credit Repair” may
sound intimidating to some, probably because there are high priced
agencies and attorneys who practice it and charge thousands of dollars
for their services. But that doesn’t mean they do anything the average
person can’t do himself, given the proper knowledge. Nor does it mean
credit repair can’t be done as a home business, rather than from an
office with dozens of employees.
Before we continue, some explanation is
in order. To start with, there are 3 major agencies in the United States
who keep records of the credit histories of hundreds of thousands of
Americans. These agencies are called “Credit Bureaus” and their names
are Experian, Equifax, and TransUnion. They’re private agencies, have no
connection with the US (or any) government, and are a billion dollar a
year industry.
Do you want to take out a mortgage?
Your lender will be checking your credit history with one or more of the
credit bureaus. And once you get your loan, he’ll be reporting your
payment history to the agency as well. And based on the information in
the credit bureaus’ records, you’ll be assigned a “credit score” that
lenders look at to determine your credit worthiness.
The business of credit repair involves
contacting the bureaus in an attempt to improve a client’s (or your own)
credit score. The process really isn’t that difficult, and involves a
few simple steps.
1. Have the client get a copy of his
credit report from each of the 3 bureaus. This can easily be done online
at http://www.annualcreditreport.com
2. Write letters to each of the 3
bureaus and dispute negative information on the credit reports.
By law, the bureaus then have 30 days
to verify the disputed information with the original creditor, or they
must delete it. They must then report their findings to the consumer,
and also send a copy of the revised credit report.
3. When the credit bureaus respond,
examine the revised reports and continue to dispute additional negative
items.
You may be thinking “So is that it?”
Well, while this explanation may be a bit oversimplified, generally
speaking, the answer is “Yes, that’s it!”
If you perform credit repair for pay,
there are some legal matters you need to deal with to avoid running
afoul of the law. For instance, some states require you to be bonded or
licensed. You’re also required to inform clients of their legal rights,
and to give them 3 days to rescind their decision should they decide to
accept your services.
But these steps aren’t anything you
can’t do as a home business entrepreneur. They’re intended to protect
the consumer, and in general, are good practices that any ethical
business person should be following anyway.
So if it’s that simple, why do agencies
charge thousands of dollars for their services? Very simply, because
they can get away with it! Most people just aren’t aware of how
uncomplicated the process is, or would ever believe they can do it
themselves.
Now if you’re looking to start a home
business that will make you rich overnight without any effort, then
credit repair isn’t for you. But then, neither is anything else. You’d
do better to embrace more realistic expectation, or you’ll be forever
wasting your money on the home business “programs” we mentioned earlier.
But if you’re willing to invest some
time and effort in a realistic home business, you might want to take a
closer look at credit repair. Compared to just about every other home
business it has all the advantages. It’s one of the easiest to learn,
least expensive and quickest to start up, there’s a huge demand (nearly
1 of every 3 Americans have some credit problems), and you can make some
very, very good money. You can also choose to do it part time or full
time. The choice is entirely yours.
To get started, you’ll need to do two
things.
1. Get a good book on the process of
credit repair and spend a little time familiarizing yourself with the
process.
2. Do some research into the laws
pertaining to credit reporting and credit repair companies,
specifically, the “Fair Credit Reporting Act” and the “Credit Repair
Organizations Act.”
Both can be researched online.
Finally, once you’ve launched your home
business and begun repairing people’s credit, you’ll have the good
feeling of knowing you’re helping people in need. And you can charge
them way less than the big agencies and STILL make an extraordinarily
good living. That’s a win-win situation for everyone … EXCEPT the credit
bureaus and overpriced repair agencies.
Gives you a good feeling, doesn’t it?
(c) 2005 eBusiness Power |
