Credit Repair: The 5 Laws You Shuold Know About
Marc Chase
Whether or not your credit is bad, understanding the various laws that govern credit, credit repair and debt collection can help you to manage that perfect credit profile. Take time to understand just the basics of these laws-they can take you a long with your financial goals.
The Main Laws that Govern the Credit Industry
* FDCPA* FCRA* FACTA* CROA* SCRA
FDCPA: The Fair Debt Collection Practices Act governs the actions taken by debt collection agencies to collect on debts. It was enacted to prevent collection agencies from using unfair, unreasonable or illegitimate methods of debt collection.
FCRA: The Fair Credit Reporting Act governs the activities of the consumer reporting agencies, or credit bureaus. Credit bureaus accumulate consumer credit information for the purpose of providing credit reports to third parties (such as credit card companies, lenders, service-providers, employers etc.).
FACTA: The Fair and Accurate Credit Transactions Act is somewhat of an extension to the FCRA (Fair Credit Reporting Act) and is intended primarily to help fight the growing crime of identity theft. Privacy standards, accuracy, information-sharing guidelines and consumer-rights disclosures are all included in FACTA.
CROA: The Credit Repair Organizations Act protects consumers interested in using credit repair services from unfair, illegitimate or ineffective services. Violators of CROA are operating illegally-and in many cases, their services could result in complications with the credit repair process and/or cause unnecessary hardship to overwhelmed credit consumers. CROA oversees the credit repair industry to ensure fairness.
SCRA: The Servicemembers Civil relief Act was passed in order to allow military members to postpone their civil obligations so that they can devote their full attention to military service. Those covered under the SCRA include military members, reservists and National Guardsmen who are in active service of the U.S. Government. In many cases, dependents and family members of active servicemen are entitled to SCRA benefits.
These are just basic descriptions of the most important laws surrounding credit repair. For more information about credit repair or credit laws, contact a certified specialist at My Credit Group.
<div style=”MARGIN: 0in 0in 0pt”>My Credit Group. Inc. is a nationally recognized credit repair company that has assisted over 100,000 clients and large institutions improve their credit. Consultations are free and all credit repair services are backed by a risk-free guarantee.</div><div style=”MARGIN: 0in 0in 0pt”> </div>