The Best Credit Repair Book
Bad credit can be limiting and even disastrous to your quality of life, begin restoring your credit and financial health today. Everything you need is included in this one book, Hidden Credit Repair Secrets.
"This book had a lot of good things that helped me repair my credit."
- Direck Chatman
"The best credit repair book I have ever read."
- John Davis
Are you tired and frustrated of being denied credit? Are high interest rates robbing you of your hard earned income and preventing you from getting out of debt? Your low credit score may even be stopping you from getting a new job or home.
Take heart. There is hope because, for the first time ever, Hidden Credit Repair Secrets exposes the heavily guarded credit repair secrets used by certified credit consultants and credit repair law firms. One of their own has actually begun to make these strategies and techniques available to the public. As a Certified Credit Consultant with years of experience in the credit restoration field, Mark Clayborne divulges how to legally restore your credit in his ground-breaking book, Hidden Credit Repair Secrets.
In this book, you will discover how to:
ü Legally restore your credit report.
ü Remove damaging negative marks.
ü Settle your debts for penny’s on the dollar.
ü Stop collection agencies from harassing you.
ü Establish and rebuild your credit.
ü Bounce back from bankruptcy within a year and raise your credit score fast.
"I really loved the letters in the 12 step dispute plan."
As a special bonus, Mark Clayborne has included a 12-step dispute plan that will allow you to send carefully-crafted dispute letters with the appropriate language to get negative items removed from your credit report. All letters were reviewed by attorneys. No thinking or studying is required. Just input your information and send the letters.
Bad credit can be limiting and even disastrous to your quality of life, begin restoring your credit and financial health today. Everything you need is included in this one book, Hidden Credit Repair Secrets.
Understanding Credit Reports
While I was getting ready to start my work shift, Patty, a very shy and disciplined coworker,
stated to me, "I understand you’re writing a book on credit repair and debt settlement." She went
on to say that she had applied for utilities, cable, and a cell phone and was required to put down
anywhere from a $100 to a $300 deposit before the service could start. I asked her why she was
required to put down a deposit, but she wasn’t sure. Then I asked her when she had last
checked her credit report and FICO score, but she also did not know. Patty went on to say that
she owed the bank money for allowing her checking account to be overdrawn, and now
whenever she tries to open a checking account, she gets denied. She said, "I don't know what
to do, Mark!" I told her, “It's not the end of the world and there are people out there in far worse
shape than you are, Patty. You just need a little guidance and education to fix your situation for
good. First, you definitely need to get a copy of your credit report and your FICO score.” I told
her how to get a copy from AnnualCreditReport.com and how to read her credit score. Once she
received it, she noticed multiple errors in the file. She also noticed that her credit score was very
low. After looking through it carefully, Patty was able to see what was damaging her credit and
keeping her score down. She was also able to take action to fix it. The moral of the story is
education is power. If Patty had not followed my suggestions and direction, her credit report and
credit score would still be damaged, preventing her from getting approved.
TAKE ACTION NOW!
Consumers move throughout life without understanding what type of impact their credit reports
can have on their financial well-being. The information in your credit report can allow you to
enjoy some of the finest things in life, or it can make your life a struggle. For example, if you
decide to give up on paying your bills, you could have difficulty getting a loan or an apartment,
your insurance rates could go up, your marriage or relationship could suffer, and you could be
denied employment. It’s important to take responsibility, pay your bills on time, and understand
the importance of credit reports. Take time to become familiar with the credit agencies that keep
tabs on your payment history. These actions could produce great financial success. With good
credit, banks and credit card companies will knock down your door trying to get your business.
You will be able to qualify for the best interest rates when it comes to a credit card, auto loan,
bank loan, or home loan. You’ll be able to take the trip that you have been waiting for and your
job opportunities will increase, all because you took steps to improve your credit report.
What is a credit report and why is it important?
Your credit report is a snapshot of your payment history for all credit transactions that you have
from age 18 until now. It details when you applied for credit, how many positive and negative
accounts you have, who viewed your credit report, and all your personal information. Reviewing
your credit report every four to six months gives you a chance to check for identity theft,
inaccurate accounts, and incorrect information. It allows you to manage your financial situation
before applying for a credit card, auto loan, bank loan, mortgage loan, employment, or
insurance. For example, if you check your credit and notice that there are a few negative items
on your report, you will have a chance to fix those items before applying for credit. By doing this,
you avoid embarrassment and several inquiries, which lowers your credit score.
How does bad information get on my credit report?
Every month, the creditors and collection agencies that you have accounts with will report
positive and negative information to the credit bureaus through a computer tape monitoring
system that is updated regularly. The credit bureaus then turn around and update the
information. A third-party company normally passes public record information (judgments/tax
liens) on to the credit bureaus.
When does negative information come off my credit report?
Each negative item has a federal statute of limitation on when it must drop off your credit report.
Once the statute of limitation has expired, the item must be deleted from your credit report
according to the Fair Credit Reporting Act. The statute of limitation starts 180 days from the date
the account became delinquent.
Federal Statute of Limitations
The statute starts 180 days from the date the account became delinquent. For example, if your
payment was due on January 1st’, but you did not pay it until February 1st’, you would be
considered 30 days late. Now, count 180 days from February, which will take you to July. This
month will be the time the 7-year statute will begin.
Once you become more than 30 days late on any of your bills, the financial institution that you
hold a loan with will disclose your late status to the credit bureau. You can be reported as either
30, 60, or 90 days late, and by law, the late marks will remain on your credit report for 7 years.
Whenever you apply for a credit card or a loan, your credit report is checked, which results in a
hard inquiry. These inquiries could damage your credit score if you have more than six in 2
months. They can also stay on your credit report for up to 2 years.
These are debts that the creditor felt that they could not collect on anymore after 180 days. So
they charged them off as a bad debt. However, the creditor can still sell the account to a thirdparty
collector for collection purposes.
If a creditor takes you to court and sues for a judgment, this destructive item will be placed on
your credit report. The courts issue judgments that can stay on your credit report for up to 7
years, but it can be renewed until it is paid or until it reaches the 20-year mark. See appendix
for your state statute of limitation on judgments.
If you stop making child support payments, it becomes part of your public record and will,
therefore, show up on your credit report. This negative mark can stay on your report for up to 7
Foreclosures take place when you default on your home mortgage and the bank takes the
house back. Repossession is when you can no longer pay your car note and it goes into default.
The lender will then confiscate the vehicle without your permission and sell it in an auction. Both
create negative marks that will remain on your credit report for 7 years.
Tax liens are public records that will find their way into your credit report if you default on your
tax liability with the IRS. Paid tax liens will stay on your credit report for 7 years, but while owed,
they can remain on your record forever.
If you see an old account on your credit report under the collection trade line, this is a bill that
was sold or assigned to a collection agency. It was passed onto the collector from your original
creditor because you refused to pay. This debt can legally stay on your credit report for up to 7
years, but you cannot be sued for it after the state statute of limitation has expired. See
appendix for the state statute of limitation on revolving accounts.
Your credit report will list the date you filed for bankruptcy and the time it was discharged. A
Chapter 7 bankruptcy can remain on your credit report for 10 years, and a Chapter 13
bankruptcy will remain on your credit report for 7 years. A dismissed bankruptcy will stay on your
credit report for 10 years even though it was not discharged. A dismissed bankruptcy means you
started the proceedings but you changed your mind and decided not to complete the process.
Who uses the information in my credit report?
Banks, creditors, car dealers, mortgage brokers, and any other lending institution use your
credit report to determine if you are credit-worthy of a loan. Collection agencies use the
information in your credit report to track your location and see what other debts you owe.
Insurance companies run your credit report to determine your insurance risk, and employment
agencies view your report for employment considerations.
Tell me how to get my credit reports.
Currently, there are 3 main credit bureaus: Equifax, Experian, and TransUnion. You should
request your credit report from all 3 of these agencies. Your information is also available for free
from each credit bureau every 12 months. Another option for obtaining personal credit reports is
to get a 3-in-one report. With this report, all 3 credit reports are merged into one. If you want a
3-in-one credit report, you have to buy it or subscribe to a credit monitoring service.
A good starting point for reviewing your credit history and information is the Annual Credit
Report, a service sponsored by the 3 leading credit bureaus and authorized by the Federal
Trade Commission. By using the Annual Credit Report website, you can see all 3 of your credit
reports instantly as this service is offered to you for free once a year.
How do I get my credit report online?
You can get your credit report by logging on to AnnualCreditReport.com. Once there, select “Get
Your Free Credit Report” and fill out the subsequent form. You will be prompted for basic
information, including a few questions regarding your accounts. It’s important that you review an
old credit report so that you can answer the security questions presented. If you fail to answer
the questions, you will be denied access to your credit file. After you have typed in the security
code, you will be prompted to select a credit bureau to retrieve your credit report.
How do I get my reports by mail?
Also on AnnualCreditReport.com, is the option to request your reports by mail. Simply click on
the link titled "Getting Your Credit Reports By Mail" and print out the form. Aside from basic
information, you will need a copy of your license and a utility bill in order to fill out the form.
While completing the form, make sure to use a black or blue pen. Once finished, send the form
to Annual Credit Report Request Service, PO Box 105281, Atlanta, GA 30348-5281.
How do I request my free credit reports by phone?
Another option is to call the Annual Credit Report at
1-877-322-8228 and follow the automated voice prompts to order your credit reports. You can
request one report or all 3. When you call, the automated system will ask you for personal
information like your social security number, date of birth, full name, and your current and
previous addresses. These actions are taken to prevent identity theft. Once your request is in,
your reports will be mailed out to you within 15 days.
Are there other ways of obtaining my report for free?
According to federal law, you are entitled to an additional free report if you experience the
• If you are denied credit, insurance, or employment. (You then must request your credit
report within 60 days from being denied. Write to the credit bureaus and let them know
that you were denied credit and that you would like a free credit report.)
• You are unemployed and plan to search for a job within 60 days
• If you are on welfare, or a victim of identity theft
• If the bank or a credit card company charges you higher rates or fees, and their decision
was based on your credit report
• If there was a negative change in your credit limit or the collection agency tells you that
they have reported adverse information on your credit report
What are the benefits of a 3-in-one credit report?
• You can request a 3-in-one report rather than dealing with each credit bureau
• In this report, all 3 credit reports are merged into one.
• You can compare account information from all 3 bureaus.
• There is less paper to deal with.
• You are at one website versus 3.
What is the cost for a 3-in-one report?
As of today, many companies offer 3-in-one reports, but I recommend you stay with the 3 major
agencies: Equifax, TransUnion, and Experian. Costs for these reports vary, and may change if
you decide to get a credit score with your order.
What is the cost to obtain my credit report?
If you want to see your credit report more often than every 12 months, you can order them
directly from the credit bureaus or subscribe to a monitoring service. With this service, you can
get updated reports once a month for an annual or monthly fee. The price for the credit report
varies from state to state, but it usually cost between $8.00 and $9.50.
You can purchase your credit report online, by mail, or by telephone from all 3 credit bureaus.
Another way to track your credit report is by requesting one every four months instead of once
per year. If you order your reports by mail, contact the credit bureaus and ask them what
information is needed to get a copy of your credit report.
Send your request to:
Experian, NCAC, PO BOX 9701, ALLEN, TX 75013
Equifax, PO BOX 105518, ATLANTA, GA 30348
TransUnion, PO BOX 2000, CHESTER, PA 19022
What is credit monitoring?
Credit monitoring is a service offered by the main credit bureaus and other organizations. For a
monthly fee, the companies will do the following:
• Pull your credit reports and scores every month
• Give you unlimited access to your reports
• Offer free credit management education
• Provide identity theft programs for your protection
• Monitor your credit report for activity
• Notify you (via e-mail or phone) of any changes in your report
• Offer you the opportunity to review your report for any unauthorized accounts or activity
Credit monitoring is a good service to have because it helps prevent identity theft and damage
to your credit. For example, if you don’t have credit monitoring, and someone steals your
identity and open accounts in your name, creditors will hold you liable for those new trade lines
until you can prove that you were a victim. During this time, your credit will be destroyed, and it
can take years to restore it. This is why having a monitoring service in place is so important.
Go to HiddenCreditrepairSecrets.com and click on the free credit score to start your
What information is in my credit report?
Every credit report looks slightly different, but it contains the same information about you and
your accounts. The consumer credit report starts with a summary of facts and your report
number. The following is a list of critical information that you should pay attention to on your
When you first get your credit report, the cover page will have your name, report date, report
number, address of the credit bureaus, Federal Trade Commission disclosures, and other
information from the credit bureaus.
Creditor/Collection Agency Name:
Here, the creditor or the collection agency will list their name and address, but no phone number
is included. Sometimes they include their number at the end of the credit report near the
address section. A partial number of your account will be listed also, to protect you from identity
Type and Responsibility:
These terms can be confusing at times but it is the type of loan you have and who is responsible
for the loan.
Date Open and Date of Status:
This is the date your account was opened and when the creditor or collection agency first
reported payment information about you to the credit bureau.
Reported Since and Last Reported:
This is the date the creditor first reported your payment history, as well as the last date they
reported your status.
Terms and Monthly Payment:
This is how long you are contracted to pay the debt and how much you pay per month.
Credit Limit/Original Amount:
This area tells you how much your credit limit was when you first opened the account.
Recent Balance and High Balance:
In this area, the credit report displays your most recent balance from your account and the
highest balance you ever had with the trade line.
Status and Account History:
This section shows if you are current on your bills or if the account was closed or paid.
Furthermore, it also displays your payment history.
In this part of the report, the creditor will comment on whether the consumer or the lending
institution closed the account. They can also list other comments here.
History of Your Accounts:
This area will display your entire paying history since you opened the account, and each one of
your accounts will be listed in this section. This section on some of the credit reports can be
confusing. If you don’t understand the listing, make sure you contact the credit bureaus for a full
Record of Request for Your Credit History:
In this section, you can see who requested to evaluate your credit report. Most companies
looking at your information are your current creditors and collection agencies. The shared
inquiry area, which is in this section as well, will display companies that are trying to offer you
pre-approved credit applications.
Here, you will find your name, address, date of birth, telephone number, spouse’s name/coapplicant,
and your employer’s name. No social security number will be listed.
This section displays public record information like bankruptcies, judgments, tax liens, civil
lawsuits, overdue child support payments, and criminal records.
The remaining portion of your credit report contains addresses of companies that requested
your credit report.
What are credit bureaus?
The three main credit bureaus are Equifax, Experian, and TransUnion. These organizations are
part of a billion-dollar industry, and they manage various databases that banks and credit card
companies subscribe to regularly to make lending decisions for most consumers in America.
They also sell specialized information to collection agencies and other major industries. The
credit bureaus maintain negative and positive financial records and payment histories for over
100 million consumers throughout the U.S. Congress has created a watch dog called the
Federal Trade Commission to regulate the credit bureaus through a law named The Fair Credit
Reporting Act (FCRA).
Tell me about the fourth credit bureau: Innovis.
CBC companies developed a new credit bureau called Innovis. This credit agency is still trying
to make its mark in the market of credit reports. Their primary function is to sell two important
products to the credit card lenders. FailSafe is their first service, which compiles data of
consumers who have made late payments in the past. Lenders can use this information to
screen out good candidates for pre-approved credit offers. The second service is called New
Movers, and this product tracks customers when they change their address. This service allows
creditors to send out their credit offers before their competition.
All banks do not report negative information to Innovis, but the following organizations do: Sallie
Mae, student loan lenders, and some banks. Fannie Mae and Freddie Mac require their
mortgage servicers to report any foreclosures and delinquencies to Innovis. The only time you
may encounter a problem with Innovis is when you are applying for a home loan, so it’s best to
get a copy of your report and review it for inaccurate information. If you find incorrect trade lines,
dispute them right away. Your Innovis file will not be as complete as a report from the three main
credit bureaus, but it does contain most of your negative items. Innovis does not offer credit
reports for free; however, it is regulated by the Fair Credit Reporting Act, so, if you request a
credit report, they must send it to you. If they refuse to issue the report, file your complaint with
the FTC. If you experience any of the five events listed in the above paragraphs under Other
ways to get your credit report for free, you will be able to receive your Innovis report without a
To request a report from Innovis, you can call 1-800-540-2505 or write to the address listed
PO BOX 1689
Pittsburgh, PA 15230-1689
Before you send for your report, please include your first and last name, date of birth, social
security number, current and past addresses, and a recent utility bill. They need this information
to prove your identity.
What is ChexSystems?
If you have ever written fraudulent checks or failed to pay an outstanding balance with your
bank, then you have probably been reported to ChexSystems. This business is just like the
credit reporting agencies, except that ChexSystems keeps track of customers who have written
In addition, ChexSystems tracks customers who fail to pay their debts to banks. For example, if
you go to the bank and try to open a checking account, the bank will run your name and social
security number through ChexSystems to determine whether you currently owe money to the
bank, or whether you have ever written fraudulent checks. In such cases, a checking account
may be denied.
To confirm your free ChexSystems report, go to www.consumerdebit.com. If you have a poor
ChexSystems history, you still have the opportunity to consult with various banks to see if they
offer the second-chance program. In this program, you will have to attend a mandatory money
management class, and you will be given a restricted account. During this probationary period,
you cannot bounce checks or accumulate overdraft fees. If you fail to follow the strict guidelines,
you can lose your checking account. If you choose not to go with a traditional bank, you can find
a list of non-ChexSystems banks in the appendex.
As you can see, not understanding the main functions of credit bureaus and credit
reports can have a huge impact on your creditworthiness, especially if you are not
monitoring them at least three times a year. There is no excuse for not paying attention
to your most important asset, which is your credit report.
Get 2 credit reports for free
The FACTA Act allows you to get one free credit report every year from each credit bureau. But
if you experience any of the following events, you can also get a second credit report for free: If
you are a victim of identity theft, unemployed and looking for work, was denied credit, and if
there is inaccurate information in your credit file due to fraudulent activity.
• Understand how long negative information can stay on your credit report.
• Review your old credit report for content before pulling your new file.
• Get a copy of your credit report from AnnualCreditReport.com.
• If you can get it online, then print out the form from AnnualCreditReport.com and request
your report by mail. Make sure you send in all of the appropriate documentation to
establish your identity.
• If you don’t want to wait for the mailed copy, place your order by phone at
• Sign up for a credit monitoring service so that you can prevent identity theft. Go to
HCRS.info and click on “get your free credit score”.
• Get a copy of your ChexSystems report to see if there is any negative information listed.
If so, you must take action to get it removed using the dispute techniques you will learn
later in the book.