Three Crucial Laws That Can Be Useful For Credit Repair
The source of most credit repair is the Fair Credit Reporting Act or the FCRA. This law was enacted back in 1970 to protect consumers from inaccuracies and inconsistencies on credit reports. This law enables consumers to dispute untruthful or incorrect listings on their credit report. It also permits a consumer to receive one free credit report each year from each of the three main credit bureaus.
This is an key law when it comes to credit repair and most people who are familiar with credit know about this law. However there are two more laws relating to credit that affect you as a consumer and a reliable knowledge of all three of these laws is critical to your credit repair efforts.
While the FCRA or the Fair Credit Reporting Act is the underpinning which makes all credit repair doable, the FCBA or the Fair Credit Billing Act and the FDCPA or the Fair Debt Collection Practices Act are also critical to a sound credit repair plan.
The FCBA or the Fair Credit Billing Act requires creditors to invoice completely and accurately. It prohibits charges that have the mistaken date or wrong amount, not permitted charges, charges for goods or services that you did not consent or were not delivered as settled upon. It prohibits a company from failing to post payments or other credit and failing to send billing notices to your current address, provided that any changes of address were received by them 20 days preceding to the billing cycle. This law also allows a consumer to request written proof of purchase or requests for explaining.
The Fair Debt Collections Practices Act was enacted to protect ordinary consumers from unreasonable and unfair collection agency tactics. Many collection agencies engaged in despicable practices in the past in order to collect a debt.
For illustration, a collection agency can no longer contact any third party who does not owe the debt. They cannot issue false threats of referring your case to an attorney or to reporting it on your credit in order to scare you to pay. They can only telephone you within reasonable hours normally between 8:00 am and 9:00 pm but for they have your authorization for them to call at other hours. They may not call you at undesirable or unusual times or places if you let them know that what is improper.
The FDCPA has a long list of boundaries and conventional behavior for collection agencies to follow. You can specially ask for that they do not call you at undesirable places or times and to be safe you should probably do it in writing. If you have questions about the Fair Debt Collections Practices Act you can carry out an Internet search and read the law in its entirety.
These three laws are crucial to you as a credit consumer. You can use any of them as a constructive measure when you need to achieve credit repair so it is wise to be conscious of them and know where to find extra information if necessary.