getclosure! - Beware of credit scammers

With the recession currently in full swing, more and more consumers want to make purchases on credit, take out a loan, insurance or even apply for a job. However, there is always the risk of being denied credit due to poor credit history. Scammers have grabbed this opportunity to advertise their services which will “clear your credit history for good” or “get you off the blacklist”, with a small price to pay.

Wendy Knowler discusses the dangers of making use of such services in a recent article in the Cape Times titled “Credit scamming is on the rise”, and suggests that consumers save their money and approach the CIO, which may take time, but will save you a lot in the long run. She warns consumers to be suspicious if a company:

• wants you to pay before their service is provided.
• does not offer you free legal advice pertaining to your rights.
• recommends that you do not contact a credit bureau directly.
• advises you that you should dispute all the records on your credit history without having the information verified with your credit bureau.

Caroline Buthelezi from the CIO is quoted in the article saying that “The truth is, there is nothing they can do that you cannot do for yourself – often for free.” The CIO can guide you and offer credit advice, and help you resolve a complaint with your credit bureau.”

The CIO provides consumers with step-by-step tips on how to go about rectifying your credit history, if you feel that there are records which should be disputed. You can find out more information about the process by reading the article by the CIO, published on Moneyweb.

Even if you do not have a poor credit history, it may be a good idea to get a credit check-up, especially if you are planning a purchase or wanting to take out a loan in the near future. It will help to speed up the process, should you encounter any problems on your record.