Credit repair - Fixed in a Jiffy?

The commercials are intriguing should you have money trouble; they promise that you can get a completely new credit report within a day. The late night advertisers feature a credit fix system that purports to use " The exact same credit secrets that actors and actresses use!" The ads promise not just a repaired credit report, with bad credit removed, but a brand new history with no earlier notations! Can you really just start over with a brand new credit report overnight? What actors and actresses have a need for brand new credit reports? What do you receive for the $50 you must pay for the system? What, precisely, are these organizations going to do? Can you eradicate judgments, personal bankruptcy filings, and late payments?

Details are not widely available, but this service apparently has you create your completely new report using an Employer Identification Number in the place of a Social Security number, which is the traditional way that the credit bureaus keep records of individual credit reports. One Web site that purports to offer to fix your bad credit overnight is run by someone who claims that they worked for one of the major credit agencies for more than twenty years. The system offered is one that basically creates a brand new and independent account for you that is completely independent of your previous record. For $50, they'll claim to clear up all of your credit hassles. Fast credit fix companies claim to have learned "secrets" of credit repair that the credit bureaus don't want you to know.

The concept of this mechanism of "credit repair" is that by establishing a new credit report, which can be done "immediately", you can have your prior debt eliminated and you can create different credit right away. Do these methods really work, or are they only a scam? The Sites that market such services are full of glowing reports from pleased people who say that they have obtained mortgages, credit cards and automobile loans after having participated in this "secret" model.

There are a couple of problems with this credit repair process, which is a total waste of money.
 

Ultimately, the credit bureaus will figure out who you are and your prior bankruptcy, judgment or other financial matters will show up on both credit reports, leaving you precisely where you were before. Your Social Security Number is unique; it is tied to you personally. By providing a Social Security number, the credit bureaus will soon decide that the two different credit reports belong to the same borrower. You can use an Employer Identification Number to establish a record, but you must produce a Social Security number in order to obtain an Employer Identification Number.

A blank financial report is almost as useless as a poor record. If you have a new record, then there is no history of any financial business. Even if this "system" worked as advertised, you would have a problem with that. With no history, you will not be able to qualify for any loans. You have got to have something in your history that qualifies you for having a loan or mortgage granted to you. No one is going to offer you an auto loan or a mortgage without some sort of previous track record.

The only way that you can repair a history of horrible debt is to begin, today, to repay your bills in full and when they are due. The offer to fix a bad financial history almost immediately, like most other promotions, is a scam.