credit repair software
I’ve recently had quite a few readers write in and ask me about credit repair software. The questions generally center around what exactly is credit repair software and is it an effective way to repair credit.

I think it will be beneficial to go into this topic a bit because I feel like a lot of people might be getting roped into purchasing bogus software products that promise to help repair credit, when in reality there are simply better ways to go about the process.

What is So-Called Credit Repair Software?

Credit repair software is a rather loose term. That is, there are several so-called credit repair software products out there and they all do different things. The vast majority of these products don’t really do anything that you couldn’t do with a spreadsheet.

When you break down credit repair software products, what you’re really looking at is a piece of software where you can input your credit report information, including negative items such as late payments, collections, and charge offs, and the software will provide you with dispute letters.

In turn, you can mail these dispute letters to the credit bureaus. There is really nothing uniquely valuable here.

What Does Credit Repair Software Promise?

Credit repair software often claim that they will help you increase your credit score by hundreds of points. The gimmick here is that the software itself isn’t doing anything. It’s certainly not directly increasing your credit score. Rather, it’s providing you with steps to take in order to improve your credit score.

You don’t need software to do this, just the correct information which is widely available on the internet, and in particular on this website (for free).

You’re going to be doing all of the work yourself even with the software, so you don’t need to purchase the software at all. No software program has the ability to interact directly with your credit score or the credit bureaus. This is highly sensitive information that they simply don’t have access to.

What’s the Actual Cost?

Credit repair software can cost anywhere between a flat fee of $30 to upwards of $400 a month (yes, outrageous). Again, you’re not even really getting anything for your money because you’re still the one who will have to do the heavy work.

These ripoff products are charging people up to $400 a month for information that can be found on the internet for free.

Are There More Effective Ways to Repair Credit?

The two most effective ways to repair your credit is to either repair it yourself (the do-it-yourself method), or to hire a reputable credit repair company. On this website we recommend Lexington Law Credit Repair.

If you only have 1 or 2 negative items on your credit report, such as a late payment or collection, it’s not that difficult to remove the item using the do-it-yourself method. I’ve written on how to remove negative items from your credit report quite a bit on this website.

When you have multiple negative items on your credit report, or you’re in a hurry to raise your credit score, it’s usually best to have a professional handle the situation. You can read more about credit repair companies in this post.

The Verdict

Don’t waste your time or money on so-called credit repair software products. They are essentially useless. Instead, either repair your credit yourself or get in touch with a credit repair company.

I’d love to hear your experiences with credit repair software so let me know down in the comments!