New Credit Card Law Bans Deceptive Allocation Practices

June 16, 2009

By Mike Wayman

The recession has American Citizens in an uproar and for good reason. As people throughout the country lose their homes to foreclosure and the unemployment rate continues to increase, watchdogs and legislators are on the lookout for companies, especially credit companies, who typically earn money from the misery of others.

When families fall behind in payments, often times, they engage in balance transfers on credit cards to avoid paying high interest payments or they simply acquire more credit cards to compensate for a lack of household income.

In the past, these strategies may have worked, however, sometimes at a very high cost. This is because credit card companies have had the power to “allocate” the payments made to the credit card company as it feels it should. What this means is that the credit cards you typically use have at least three different rates for the types of transactions we engage in: typical purchases, balance transfers and cash advances.

Allocation refers to the practice of the credit card issuer dividing your payments between these three types of “bills within bills” in your monthly statement. So, as an example, if the rate on a cash advance is 25%, purchases 9.9% and balance transfers 2.5% and you pay $100.00 as a payment, the credit card issuer controls how much of the payment goes to pay down the balance of each type of transaction. Guess what? They don’t allocate the payments in your best interest!

This new law bans the credit card companies from allocating the least amount of money going to the highest rate balance on the card. This is the most profitable form of keeping you in debt within the credit card industry.

If you find yourself in a situation where you need cash advances and balance transfers please read the credit card’s agreement that you signed to determine what the rates are. Call your issuer to ask if they are in full compliance with the new law enacted in May of 2009 that bans them from misappropriating your payments away from the highest interest rate due and by all means…avoid the cash advances if you can. These are the most expensive types of transactions you can make on a credit card.

From CreditCards.com:

Here’s an example of how the new law will work:

Say you have a $3,000 balance on your credit card and a $39 minimum payment. That balance includes $1,000 in purchases at a 12 percent interest rate, $1,000 in balance transfers at a 0 percent interest promotion rate and a $1,000 cash advance balance at an 18 percent rate.

If you make a $500 payment, the first $39 will most likely go toward the zero percent interest balance transfer, leaving that balance at $961.

The remaining $461 will go toward the $1,000 cash advance balance, leaving that balance at $539.
None of the payment will be applied to the purchase balance.

Missouri AG Sues Credit Solutions of America

June 10, 2009

By Mike Wayman

Credit repair companies don’t have the greatest image in the eyes of many consumers and governmental protection agencies. It isn’t necessarily because credit repair is a scam in general, but that a few rotten apples can really tarnish the image of the industry.

It surely doesn’t help when credit repair companies take in a bunch of fees and utterly fail to perform any of the services they promise to perform.

Choosing a credit repair company wisely is important especially in difficult economic times. Recently, the Missouri Attorney General sued Credit Solutions of America for failing to perform adequate services for their clients. The Missouri AG claims Credit Solutions of America took in a great amount of fees but never really did work on behalf of their clients.

From OzarksFirst.com:

The Texas-based company advertises to consumers it could get people out of credit-card debt and lower their monthly payments.

The Attorney General’s investigation found that the company took customers’ money, but did little or nothing to solve their debt problems.

Here’s some tips when considering a credit repair company:

Ask them to explain the entire process of repairing credit. Who will be handling your file? How will you receive updates and notifications on progress?

What is the timeline for the credit repair process?

Can the company provide you with testimonials or referrals from other clients?

Do they put their claims and guarantees in writing?

These are just a few of the strategies you can use when considering the right credit repair company to handle your case.

Affiliates

Certified Credit Repair maintains an affiliate program that offers an extraordinary business opportunity for existing credit repair companies and for entrepreneurial minded individuals that wish to effectively, ethically and legally provide guaranteed credit repair and credit deletion services.

Our affiliate program is designed to provide credit repair brokers and those interested in selling credit repair the ability to offer an industry wide, exclusive unique selling proposition: a $10,000.00 money back guarantee.

In addition to the power of this unique selling proposition, Certified Credit Repair provides a generous compensation program for affiliates with the back end support our affiliates need. Unlike other affiliate programs, our proprietary back end tracking system insures our affiliates sales are tracked accurately and that compensation is paid regularly and on time.

To inquire about becoming an affiliate of Certified Credit Repair call us now at 1-888-854-8351 or simply fill out the Contact Us section and one of our credit deletion experts will contact you soon.

Testimonials

“I didn’t believe it was possible to delete my six bankruptcies permanently.
I’m blown away by the results especially after trying so many other credit repair companies. I even tried a non-profit firm.
I am happy that I decided to trust your organization.”

Ron Q.
Toledo, OH

“Thank you guys for doing everything you said you could. You guys definitely promised a lot but certainly delivered me with results.
My credit score is now over 700 and it’s easy for me to finance whatever I want now.
Before I used you I tried an attorney that said he would get my credit fixed. Well, it worked for a short time but the negative items just kept popping up.
This was definitely not the case with you guys.
After 10 months all of the negative credit was off of my report and it has stayed off.”

Cathie Williams
Orange, CA

“In only a few short months my credit score went from the low 500’s all the way in to the 800 range. This is simply unbelievable.
Everyone I knew said this had to be too good to be true but it wasn’t.
Now after getting a score higher than I thought possible I’m happy I went through with your program.”

Sam Greenley
Las Vegas, NV

“My score went up over 120 points in only 3 months and I wanted to let you know how pleased I was with your services.
I have a background in lending and I never thought what you said you could do would be possible. Everyone that I know that has credit problems I have referred to you and everyone that has participated in your service has seen similar results.
I am now able to buy things that I took for granted before my credit went in to the toilet. Anyone that is considering credit repair should definitely use your company.”

Greg Gaynor
Marietta, GA

“For the first time in many years I actually got a cell phone contract without any hassle from the cell phone company. I can’t explain how good it felt to be able to walk in to the store and get what I wanted without feeling like a terrible human being because I had a low Fico score. This service means so much more to my family than just good credit. What it really means is that we can get the basic necessities without haggling with people. Thank God for your service.”

Carl and Judy S.
Oceanside, CA

“Thank you for everything you’ve done. You accomplished more than I thought possible and I’m an attorney.”

J.R.

“Having perfect credit is necessary in today’s world in both our personal lives and in business. This program has been a benefit to me in both my personal life and in business. I never thought my credit would be as bad as it got but you helped me get over the hump. Now my credit is perfect again and I couldn’t ask for more.”

F.D.
Business Owner

“I was very skeptical at first when you told me that you could delete virtually anything. I’m still amazed at the results.
You have definitely performed far better than I ever expected.
I think you guys could charge an arm and a leg more for your deletion program and it would still be worth it.”

Judy and Peter F.
Nebraska

“We would not have a home if it wasn’t for you. After going through your program our scores went back up to the point where we could buy a new home and we thought it wouldn’t be possible.
You were able to get our bankruptcy removed from our credit. I am eternally grateful and I will recommend you to everyone I know.”

Bethany and Alex H.
New Haven, CT

“Thanks for all of the outstanding results you and your company have done for me.”

N.F.
Louisville, KY

To start the process of repairing your credit permanently call Certified Credit Repair at 1-888-854-8351 or simply fill out the Contact Us section now and one of our representatives will contact you shortly!

Apply Now

Applying for credit deletion couldn’t be easier. You can download our application directly from this page. We understand that you’ll most likely want to first speak to a credit deletion representative prior to submitting your application and there are two ways to get in contact with us. First, call us directly at 1-888-854-8351 or, alternatively, you can fill out the Contact Us section on the right hand side of this page and a representative will contact you in 24 hours or less.

Our credit deletion experts will explain the entire process in detail, answer all of your questions and explain the minimal documentation required to start the credit deletion process.

Contact Certified Credit Repair today at 1-888-854-8351 or just fill out the Contact Us section right now and one of our representatives will call you right away!

APPLICATION

Are You a Candidate?

If you have considered credit repair then you are most likely a candidate for credit deletion. What credit deletion offers is what most people that want credit repair are really after: a permanent solution to derogatory trade lines. There are some factors that you should consider however:

Will the damage to your credit report be ongoing?

If you think that you are going to continue to have new derogatory credit issues in the future then you may want to consider holding off on credit deletion. We will not delete derogatory credit lines that appear on your credit report after you submit your application.

Are you considering bankruptcy?

If you are considering bankruptcy, especially filing a chapter 13, then you may want to wait until the chapter 13 bk is discharged. Our program will not delete an open chapter 13 bk. If you have recently had a chapter 7 bk discharged then you are ready to move forward with credit deletion.

Are you hoping to avoid paying back your creditors?

Credit deletion does not eliminate your obligation to repay your creditors. If you are considering credit deletion and you are eligible to file for a chapter 7 bk, then you should consider holding off on credit deletion until the chapter 7 or chapter 13 bk is discharged.

Are you in the middle of a loan modification?

If you are attempting to modify an existing loan you should wait until the modification is permanent.

Typically speaking, the clients that want traditional credit repair services are perfect candidates for credit deletion. The main difference between the two different services is that credit deletion is permanent and you should wait to file for credit deletion until after a bk is discharged. Otherwise, credit deletion is the clear choice when compared to credit repair. The best part is that the cost of credit deletion is comparable, if not less expensive, than paying a traditional credit repair company an ongoing monthly fee for years.

Credit Repair Vs. Credit Deletion

The main difference between credit repair and credit deletion is that in credit deletion, derogatory credit is permanently removed from your credit profile. At most credit repair companies the process of improving your credit score is virtually identical. A representative from the so-called credit repair company will author letters of dispute on your behalf. These letters of dispute are intended to provoke a creditor to respond to the dispute within 30 days. If the creditor fails to respond, then the derogatory trade line is supposed to come off of your credit report. This strategy is poor at best. Here’s why:

There are multiple credit bureau’s and this strategy may not work with all of them. Therefore, your overall credit score average will still remain low.

Whenever the creditor decides to report the same derogatory credit item to the credit bureau’s in the future the same trade line will most likely reappear.

Finally, this strategy is contingent on your creditors not responding to disputes and not on the skill or effectiveness of the so-called credit repair company. This is perfect for most of these “credit repair” companies because what they are really after is to charge you a monthly fee for AS LONG AS IT TAKES to get not just one creditor…but all of your creditors to “forget” to respond to a dispute. You could literally spend thousands of dollars and multiple years waiting for your credit to improve.

Don’t fall for the claims of the so-called credit repair guru’s. Get your credit repaired permanently today via credit deletion.

Credit Deletion is Superior to Credit Repair!

Instead of hoping one of your creditors will fail to respond to a dispute letter our attorney backed service will remove derogatory credit from your credit profile permanently!

Here’s an overview of what we guarantee:

Permanent removal of derogatory trade lines
Credit score improvement at all of the main bureau’s
You will not have to pay us ever again because there are no revolving fees
$10,000.00 to you if we fail to delete derogatory credit items

We can permanently delete foreclosures, mortgage late payments, revolving debt payments, and all bankruptcies except an open Chapter 13 filing