The first step to fixing your own credit is to challenge everything in your report. If you have a payment, you must delete it using the Pay For Deletion method. Under no circumstances should you pay for a charge if it is not going to be removed from your credit profile. The law requires the credit agency to investigate your claim within 30 days, unless it deems it frivolous.
Although many companies advertise how many negative entries they have eliminated, there is no reliable data that proves the effectiveness of credit repair companies. Generally, customers pay a fee every month while the company deals with all the major issues affecting their credit. While legitimate credit repair companies can do what they promise, there are also many fraudulent ones. To identify a fraudulent company, look for violations of the Credit Repair Organizations Act (CROA).
Depending on the company you work with, you may have access to additional features such as free credit rating updates, credit monitoring, writing cease and desist letters to debt collectors, or even writing letters of recommendation to lenders with whom you apply for a loan. However, if any of the information in a credit report is inaccurate, the consumer has the right to challenge it. This is an indication that credit-repair business owners who buy software and do everything themselves don't make much money. Adding an additional 50 to 100 points to your credit score will go a long way in getting funding.
If you're struggling to pay off your debts, consider seeking help from a nonprofit credit counseling service.