When you have a low credit score or even no credit it can be very hard to rent an apartment, buy a car, or even land a good job. Aside from basics you also need good credit in order to qualify for a credit card or any other type of loan. There are a number of causes for bad credit, some preventable and others inevitable. Regardless of the cause, with professional Kansas credit repair companies on your side, you can be on your way back to financial health in no time.
Kansas is one of the cheapest US states to live in, in terms of cost of living. Real estate is especially cheap, but even basic necessities are cheaper than the national average. It comes as no surprise then that the average credit card debt in Kansas is $4,944, around $200 lower than the national average credit card debt levels.
Credit scores in Kansas are also a healthy 721 on average, above the national average of 714. While these are good credit scores, not everyone has this high of a score. If your credit score is not improving even after having a strong payment history, or if your score is going down despite you not having made any credit mistakes, you might be eligible for credit repair as a way to help you improve your credit score.
The Kansas Credit Services Organization Act (KSA 50-1116) is a piece of state legislation that impacts how credit repair companies can work in Kansas. There are a few key features of this law, including these requirements:
In the US, there’s also a federal law that governs all companies in the credit repair industry within the country. The Credit Repair Organizations Act (CROA) dictates how companies can operate, in terms how contracts should be given, what they’re allowed to charge for, how payments can be made, and more.
No, there’s no need to hire a lawyer for credit repair in Kansas. While it’s common for lawyers to offer this service, it’s not a requirement that you work with a law firm, and you can choose to work with any company that’s registered to offer this service in Kansas. There are many reputable credit repair companies working in Kansas that can assist you through the full process.
In Kansas, the credit repair process involves these 3 main steps:
Step 1: Requesting 3 credit reports
While it’s common to refer to your credit report as one single thing, there are actually 3 separate reports that go into your credit score calculations. Credit reports are compiled by the 3 major credit bureaus in the US, with each one being slightly different to the others. You need to request credit reports from all the bureaus, which can be done once every 12 months for free online.
Step 2: Analyzing credit reports for mistakes
After you’ve received all your credit reports, it’s time to check them over for issues. This needs to be done thoroughly so you don’t miss anything important. Any inaccurate entries on your report could be affecting your credit score, so analyze each report to check if things are in order or not. Pay close attention to any negative entries and credit accounts that are currently opened.
Step 3: Sending in dispute letters
Dispute letters are only sent if you find inaccurate entries on any of your credit reports. These entries can impact your credit score, so you need to send in a dispute letter to the credit bureau that maintains the report where you found the inaccuracies. This letter will initiate an investigation into the legitimacy of the entry, which can lead to it being removed if it’s found to be illegitimate.
Note: Although the process sounds simple, it’s more complex than you think once you get into it. There’s a lot of specific things that need to be done at each step, plus a lot of follow up with each credit bureau to finally get some resolution. If you make mistakes at any of these 3 steps, you’ll be setting yourself back by a lot and potentially delaying having your credit report fixed by even longer.
In order to qualify for credit cards, personal loans, or even rent an apartment you need moderate to good credit. For those that have bad credit, direct denials are most common. When approvals are given, the rates and terms tend to be higher than what is offered to people with good credit. Credit repair can fix a variety of problems such as:
Pairing your credit repair service with financial counseling is the ideal way to make sure your finances stay on track. Not only will you learn how to manage your expenses, but these sessions will also teach you essential skills that will help you save money and organically increase your credit score over time.
Credit repair services, credit consolidation, and credit counseling will vary. Cost depends on the state you live in, how comprehensive the services provided are, and if your credit repair is performed by a licensed attorney. In Kansas, the average cost of credit repair is $120 to but can range as high as $160 for some higher-end services. If your credit repair is performed by an attorney, the charges may be per item removed as opposed to a monthly or one-time credit repair fee. Responsible credit repair companies will also seek to teach their clients about money management to prevent future problems with poor credit scores.
In Kansas, all legitimate credit repair companies or credit repair specialists must have an active bond and a license in order to offer services to consumers. There is also no quick way to turn your credit score around. It takes time to dispute derogatory marks and also to negotiate with collections agents to settle a debt or remove a negative mark. Any company that claims they can repair your credit in under a month should be avoided at all costs. Also, companies or credit repair agents that ask you to do something illegal are not only scamming you, but you may also find yourself in a worse situation than when you started. There is no way to delete legitimate debts on your credit report, and anyone claiming otherwise is up to no good. Always look for reputable companies that have a track record for getting real results before handing over your private information or your cash.
You can improve your credit score a lot by simply having inaccurate entries removed from your credit report. Inaccuracies happen often, usually when something is marked on your credit report accidentally. Even though these negative entries could be there by mistake, they will still impact your credit score. Credit repair helps you remove false credit entries, allowing your credit score to be recalculated to only reflect your actual payment history and credit status.
The main cost of credit repair in Kansas is a monthly fee charged by the company you work with. This is around $120 on average, paid throughout the process while the company follows up on your disputes and continues to update you about the progress. There’s a wide range of prices you can pay, depending on who you work with and other services they’re offering with credit repair, so the cost can actually be anywhere from $99 - $199 per month, plus potentially a one-time setup fee.
Even though credit entries are put on your report quickly, it can still take a long time to remove inaccurate entries. The average time this process takes in Kansas is 3 – 6 months, depending on how many credit bureaus are involved and what kind of inaccurate entries are present. Credit bureaus can cause significant delays in the process by not responding in a timely manner or by requesting more information or evidence.
All residents of Kansas are able to hire a credit repair company, no matter where they live. You could be in a large city like Wichita, Kansas City, or Overland Park, or you could be in a smaller city like St. George, Mound City, or Dearing and you’ll have the same access to quality credit repair. As long as a company is following all state and federal regulations, they can safely operate in Kansas.