Our Big List of Frequently Asked Questions
A credit repair business can be run ethically and earn big profits. It’s an inexpensive business to launch and there are millions of people who need your help. Any new business takes time to learn. Learning software also takes time. Our software is awesome and super easy, that’s why we’re the leader in this business. Scroll down for ALL the frequently asked questions!
How Does Credit Repair Work with Software?
Scroll down for more FAQs...
How do I get help with Credit Repair Cloud?
All pages of the software have instructions and videos and we have many free guides.
Next, visit our getting started guide to learn the steps of the software.
Also, take advantage of our CRC Software Certification Course! This is a deep dive of our software that will cut any learning curve for you and your team members and it's for free!
If you need help with your software send a friendly support ticket
Is credit repair legal?
Yes, credit repair is legal and it works because of the law. The law is the Fair Credit Reporting Act, which was set up by the FTC to protect consumers. The FCRA gives you the right to dispute any item on a credit report. If that item cannot be verified it must be removed. That is the foundation of all credit repair.
How does credit repair work?
What does it cost to start a credit repair business?
Close to nothing. This is a very affordable startup. All you need is a computer and a phone. To learn more about federal and state laws, as well as other useful information about your state, we’ve gathered all the information that is publicly available and compiled them for you here.
How much money can I make with a Credit Repair business?
Credit repair can be highly profitable, but it’s hard work. This is not a get rich quick scheme. But if you have a head for business and are good with people, this is an awesome field. Here's an ROI calculator that will give you an idea on how lucrative a recurring revenue business can be https://www.creditrepaircloud.com/support/knowledge-base/how-profitable-can-a-credit-repair-business-be/
How much should I charge my clients?
The sky’s the limit, but in this business, you might actually make more by charging less. Learn more at this link: https://www.creditrepaircloud.com/support/knowledge-base/how-much-should-i-charge-my-clients/
How do I collect money from my clients?
Use our ChargeBee integration. That makes it super easy to create billing plans and apply them to each new client. ChargeBee is awesome. Once you’ve created ChargeBee billing plans, you can add a client’s credit card in that client’s profile. You can also add billing plans to your Web Lead Form and then add that Web Lead Form to your website -- and then your clients can sign up with a credit card. It’s awesome!
How do I get a website? Do I have to use your web hosting?
If you have a website you don’t need ours. Just log into your Credit Repair Cloud and visit MY COMPANY>WEBSITE TOOLS and you’ll find awesome tools you can add to any website or blog. If you don’t have your own website click here to get one today http://www.mycreditrepairsite.com
I already have a merchant account. Can’t I just bill my clients without ChargeBee?
Yes, you can! But it will be outside of our software and it will be a lot more work to manage and organize. New to having an online business? This article will help. Please read it: https://support.creditrepaircloud.com/knowledge-base/why-do-i-need-chargebee/
Can I charge upfront fees for Credit Repair?
It’s not our place to tell you how to run your business, but some states will want you to charge after work is done instead of before.
How do you make money that way? Easy: Do some work, and then get paid for the work you’ve just done! Remember, you are being paid for “Document Processing” and “Credit Education” and not to “raise scores.” Yes, this is how all successful credit repair companies get paid. They import a report and send off a round of letters (about 10 mins of work) and then they charge a “1st work fee.” Then every month they send off another round of letters or click to update the status of items that were removed (about 5 minutes of work) and they charge a monthly fee. This is why the monthly recurring model works so well for credit repair.
Want to see the profit potential of the recurring revenue model? Click here www.creditrepaircloud.com/calculator
How do you increase credit scores?
By using the law in your favor. Read this link, it explains this in a few simple steps: https://support.creditrepaircloud.com/knowledge-base/how-do-you-increase-credit-scores/
I got my first client, now what?
Hooray! We created a great article that will walk you through processing your client into the software and next steps: https://support.creditrepaircloud.com/knowledge-base/got-your-first-client/
Who orders the credit reports?
Your client orders their own reports. This link will help: https://support.creditrepaircloud.com/knowledge-base/who-orders-the-credit-reports/
Does my client’s score suffer a hit if he orders his own report?
No, not when they order their own reports. https://support.creditrepaircloud.com/knowledge-base/who-orders-the-credit-reports/
How do I import a credit report?
Which Providers can I import from?
Identity IQ (Affiliate Program available)
Smart Credit (Affiliate Program available)
MyFreeScoreNow (Affiliate Program available)
IdentityClub (Affiliate Program available)
What if my client gives me a report from another provider not listed?
In this case, you are going to have to import the dispute items manually. To read more on this subject, please visit: https://support.creditrepaircloud.com/knowledge-base/import-credit-reports-manually/
Which dispute letter do I choose?
Always start in Wizard 3 and always start with a Round 1 letter, which is sent directly to credit bureaus. This letter is always the same, so you don’t need to worry about it. Just use the Default Round 1 Letter in the Credit Wizard for a quick send that will get your client’s credit repair started (along with your revenue stream). Click here for more details: https://support.creditrepaircloud.com/knowledge-base/which-dispute-letter-do-i-choose/
How many items can I dispute at one time?
Send as few as possible and never more than 5 per month per bureau. This will keep your letters from being flagged as frivolous, which is something difficult to overcome.
Do I have to include a Photo ID and Utility Bill with my dispute letters?
You only need to send them with a Credit Bureau Round 1 dispute. You do need to send a copy of a government-issued photo ID. If your client does not have a Utility bill, an insurance bill will also work or even a phone bill. They must see some official proof of address or the dispute letter will often be rejected.
Who signs and sends the dispute letters?
Most companies sign and send letters on behalf of the client. The client is paying you for document processing, so this is all part of the service you provide. This link will help: https://support.creditrepaircloud.com/knowledge-base/who-signs-the-dispute-letters/
Should I put legalese into my dispute letters?
Absolutely not. Credit Repair Letters are sent “as if” they are from the client so this will definitely be a red flag unless the client is an attorney. The best dispute letters are very simple and very short and just state simple facts as concise as possible.
Should I send all letters certified mail or regular?
This is up to you. Sometimes you might want to send regular mail (like for a round 1 letter) and other times, you might want to pay extra for the certified for tracking if the bureau or creditor is stalling or it’s a particularly important letter. This is all up to you.
Why send everything by snail mail? Can’t I do this online?
Snail mail is how credit repair works best. This is the same method used by the largest credit repair businesses in America who make hundreds of millions of dollars. You’re being paid for a few minutes of work for document processing and sending letters. Spring for the envelope and the stamp. Here’s an article that will help: https://support.creditrepaircloud.com/knowledge-base/why-am-i-sending-everything-by-snail-mail/
How do I stop “Credit Repair Cloud” and your URL from printing on my letters?
Change your print settings in your browser. It’s easy. Here are the steps: https://support.creditrepaircloud.com/knowledge-base/how-to-i-print-letters-without-credit-repair-cloud-showing-on-the-letter/
What happens after round 1?
Round 2 of course! Read this: https://support.creditrepaircloud.com/knowledge-base/what-happens-after-round-1/
How do I update Credit Repair Changes? Should I import it again?
Yes, you can! Optionally, you can also manually update the status of the dispute items if you don't want to do a re-import. You can learn more here: https://support.creditrepaircloud.com/knowledge-base/how-do-i-update-a-clients-records-should-i-re-import-a-credit-report-after-changes-happen/
My clients are undermining my work by applying for credit and keeping high balances. What do I do?
Give them awesome service and educate them: https://www.creditrepaircloud.com/support/knowledge-base/educate-your-clients/
How do I do email marketing?
Not with our software or our tools. We’re not an email marketing platform, so email marketing is something you will do on your own outside of our credit repair cloud software. Be careful because there are many laws about email marketing. Here’s a link with more information https://support.creditrepaircloud.com/knowledge-base/how-do-i-setup-email-marketing/
What are the laws and legalities of starting a credit repair business?
Each state is a little different. Check with your state and consult an attorney. To learn more about federal and state laws, as well as other useful information about your state, we’ve gathered all the information that is publicly available and compiled them for you here.
Do I need a license for Credit Repair?
We’ve never heard of a license specifically for credit repair. We do have a “business license” with our city and that costs us about $99/year. Our neighbor who owns a flower shop also has one.
Do I need a bond?
You might. A few states do require them, but if one is required, you only pay a fraction of the cost. Click here to see if one is required in your state: http://www.bondsexpress.com/credit-services-organization-bond/ Bonds Express can answer any questions you may have about bonds.
What should I know about Compliance?
Don’t make deceptive claims
This is one of the biggest mistakes a new credit repair business owner will make. Never make false claims or guarantees. Credit repair cannot work that way. Be honest. You cannot promise a score increase in 30 days or the removal of everything negative.
But you can explain how the credit repair process works. Give some education to the client on how they can speed up the process by not applying for new and paying bills down, and you can also give some examples of stats on your other clients, for example: “Our average client sees 5-10 items removed in the first 3 months, but all clients are different.” If the goal is to grow and scale your business, take it slow and always be honest and transparent.
Ask your clients which items to dispute
This is another very common mistake made by new credit repair companies. You cannot dispute everything. Consult with the client and only dispute what the client tells you to dispute.
Here are 2 methods for this:
Simple method: Go over the report with the client. The client should tell you which items are accurate and which items are not.
More complex method: Use our “client’s choice” module. Once that is enabled (in My Company>Portal>Client’s Choice, the client must make the choices after the report is imported.
Make sure you have a contract in place before you start adding clients
It should include:
Your company name and address
Your payment terms for services
A clear description of the services you will provide
Any guarantees or refund policies (if offered)
Authorization for Credit Repair Action (this is like a limited power of attorney)
The expected time it will take to achieve results (estimates are fine)
A copy of the FTC’s “Consumer Credit File Rights”
A cancellation notice giving clients 3 business days after signing to legally cancel.
Do work first and then collect payment In some states you’re not allowed to collect money upfront for credit repair.