Company Credit Report Repair Services

Companies often need additional funds for expanding their business operations, which requires the purchase of new machinery and investing in newer infrastructure. For making funds available, companies apply for secured or unsecured loans and opt for a loan that is available at low interest rates. Companies can increase their chances of getting low interest loans by making their credit report clean and presenting it before the lenders. In case, a company does not have the expertise in making its credit report clean, it can avail of the services of professional firms that specialize in repairing company credit reports and making them more presentable to lenders. However, as an owner of a company, you need to be aware of a few basic facts regarding services offered by credit report repair firms.

The basic techniques and strategies used in company credit report repair are similar to those used in consumer credit report repairs. If your company is in urgent need of funds at low interest rates, you approach company credit report repair services. This is especially true when you have had to face bankruptcy or any other type of credit related problems in the past. However, you need to be aware that from a legal stand point, credit report repair firms cannot do anything more than what you can do on your own to make your company’s credit report clean. For example, if your company has faced bankruptcy related problems in the past, it will remain there on the copy of your credit report for up to ten years. Legally, there is nothing that either you or your credit report repair firm can do to remove it from your company’s credit report.

Company credit report repair firms often advertise that they can help in removing negative entries on a credit report. What they actually do is that they inform you about your rights to dispute the authenticity of your company’s credit report. They may either offer to dispute the negative entries on your behalf or advise you on filing disputes related to your company’s credit report.

Unscrupulous company credit repair firms may sometimes offer illegal advice. Some credit repair firms are known to offer illegal advice. It is important to be aware of the tactics used by such firms in order to recognize them as illegal if you ever come across such a firm. For instance, some firms might ask you to use a method known as ‘file segregation’, which leads to the creation of a completely new credit record, different from your existing credit report. You might be asked to obtain a new Employer Identification Number (EIN) and use a different mailing address and phone number. This way, you can create a completely new identity without any negative references in your company’s credit report. However, you need to be stay away from such activities because as per the IRS, it is a crime to use false statements on loan applications. Obtaining EIN under false pretences is also considered illegal.

If your company’s credit report has negative entries, you should concentrate on removing those through legal methods, even if they require five to ten years to take effect on a credit report since making a credit report clean is worth the effort. Using dubious methods and techniques may lead to problems with the IRS and can complicate your company’s existing credit situation.