FRANKLIN FINANCIAL GROUP, INC.

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IS CREDIT REPAIR LEGAL?

Yes. It is your legal right to dispute items on your credit report. Franklin Financial Group exercises your legal rights pursuant to the Fair Credit Reporting Act, Equal Credit Opportunity Act, Fair Credit Billing Act, and Fair Debt Collection Practices. Franklin Financial Group helps consumers with credit reports that contain information that is inaccurate, misleading, incomplete or unverifiable.

 

HOW DOES THE CREDIT REPAIR PROCESS WORK?

The credit bureaus, as well as creditors, are required to follow accuracy procedures before they can legally place information on your credit report. Any information that is not complete, or not accurate, or not verifiable is not supposed to remain. During the process we force the creditors and credit bureaus to back up their claims of accuracy. Once an error is identified, if it can't be proven 100% accurate, the item must be removed.

There are other methods also used in special situations. These are explained on a case-by-case basis.

We start by examining our client’s personal credit file held by each of the major credit reporting bureaus (TransUnion, Equifax and Experian). Then, we identify any accounts that contain information that could be considered adverse. Next, upon the client’s request, we dispute all of the accounts that contain inaccurate, erroneous, or obsolete information on the client’s behalf and have the accounts deleted or updated accordingly. Finally we consult our clients on how to avoid future negative credit listings while educating them with helpful tips on how to use their credit to their advantage and boost their scores.

 

HOW LONG WILL THE WHOLE PROCESS TAKE?

In the vast majority of cases, our clients see results in as little as 60 days. The length of time to complete the full program will vary from client to client. Each case is unique. The number of issues, the type of issues, and the participation level of the creditors and bureaus will all have an impact on the speed of the process. Typically, the range will be from 6-12 months. You can help insure the fastest process with timely participation when necessary.

 

HOW LONG DO NEGATIVE ITEMS STAY ON MY CREDIT REPORT?

Accurate negative information generally can be reported for seven years, but there are exceptions:

1. Bankruptcy information can be reported for 10 years
2. Information reported because of an application for a job with a salary of more than $20,000 has no time limitation.
3. Information reported because of an application for more than $50,000 worth of credit or life insurance has no time limitation.
4. Information concerning a lawsuit or a judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer.
5. Default information concerning U.S. Government insured or guaranteed student loans can be reported for seven years after certain guarantor actions.
6. Tax liens stay on 7 years from the date PAID.

SHOULD I PAY OFF MY CREDIT ACCOUNTS?

As a consumer it is always in your best interest to pay off any balances that you owe. When disputing items and accounts on your credit report, it is always easier to pursue deletions when accounts have been paid off (zero balance). It is advantageous to pay your accounts off because it facilitates the dispute process and further collection activities are ceased. As a collection tactic, creditors prefer to invest their time and efforts in verifying negative information that still has a balance due. As you are paying off your creditors ask them to send you a confirmation letter that the account has a zero balance. Important Note: If a creditor or collector agrees to settle an account for less than the full amount, have them send you a written statement to protect yourself from further collection activity and unethical collectors harassing you for the original balance later.

 

WHAT DO FRANKLIN FINANCIAL GROUP'S ATTORNEYS DO?

Franklin Financial Group's attorneys review current trends in the law, develop new programs and enhance our current programs, review client files and work closely with our case advisors to ensure that our clients receive state of the art credit report repair programs. We specialize in credit report repair.

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Fair Credit Reporting Act The Fair Credit Reporting Act promotes the accuracy and privacy of information in consumer credit report. It also controls the use of credit reports and requires consumer reporting agencies to maintain correct and complete files. According to this act, you have a right to review your credit report and to have incorrect information corrected. Equal Credit Opportunity Act The Equal Credit Opportunity Act requires that individual creditors apply credit standards in a fair manner, so that all consumers are given an equal chance to obtain credit. It does not require all creditors to have the same standards, nor does it guarantee approval of loan applications. In reviewing your credit application, lenders cannot discriminate on the basis of sex, marital status, race, religion, national origin, age, income from assistance programs, or if you exercise your rights under the Consumer Protection Act. The only acceptable criteria are your ability and intent to repay funds borrowed. Fair Credit Billing Act The Fair Credit Billing Act provides for the prompt correction of errors on open-end credit accounts (department store credit accounts, for example) and protects consumers' credit ratings while they are settling disputes. Under this law, if a consumer is disputing a charge, creditors cannot report the consumer's account as delinquent. This applies to open-end credit instruments, such as credit cards, revolving charge accounts, and overdraft checking. Consumers who question an item are responsible for notifying the creditor in writing within 60 days of receiving the bill. The creditor must acknowledge the notice within 30 days and may not do anything to damage the consumer's credit rating while the item is in dispute. Fair Debt Collection Practices Act The Fair Debt Collection Practices Act promotes the fair treatment of consumers by prohibiting debt collectors from using unfair, deceptive, or abusive practices. This act applies to professional debt collectors who collect on loans they did not originate. Though it technically does not apply to banks, department stores, and other lenders who collect their own debts, no reputable lender is permitted to use such practices. Debt collectors are permitted to contact people other than the debtor only to locate the debtor or make a reasonable effort to communicate with the debtor about the debt. After making contact, debt collectors are required to send written notice informing the debtor of the amount of the debt, the name of the creditor, and the fact that the debt will be considered valid unless disputed within 30 days. Debt collectors are prohibited from harassing, oppressing, or being abusive in collecting a debt. This includes using threats or obscene language, publicizing the debt, making annoying or anonymous telephone calls, and misrepresenting the identity of the collector, the status of the debt, and the consequences if it is not paid. If debt collectors violate the Fair Debt Collection Practices Act, consumers can sue for actual and punitive damages.