Do you know how to remove a Student Loan from a Credit Report?
Do you know why Bankruptcy Courts are the key to removing a Bankruptcy?
Do you know what Qualified Written Requests are or when to ask for a Goodwill Adjustment?
Well, today's podcast is about SECRET DISPUTING STRATEGIES, so we’ll answer all these questions and more! Credit Repair Expert and Millionaires Club Member Bruce Politano is here to count down his Top 7 Tactics for successfully removing Student Loans, Collections, Foreclosures, Late Payments, Repossessions, Inquiries, and Bankruptcies!
A few months ago, I had an amazing talk with one of our most successful Credit Repair Millionaires, Bruce Politano.
Bruce is the founder of the largest outsourcing agency for Credit Disputing, he’s an encyclopedia of proven Credit Repair strategies, and he handles more disputes than anyone else I know.
He believes that Credit Repair is all about knowing the laws, being persistent, and getting leverage to strengthen your disputes. And I couldn’t agree more.
During our talk, he revealed so many of his very best Top-Secret Credit Repair Dispute strategies that I had to share them again!
But this time, I wanted to get right to the very best moments.
So, here are the TOP 7 SECRET CREDIT REPAIR DISPUTE STRATEGIES from Millionaire’s Club Member Bruce Politano…
SECRET #1 - HOW TO REMOVE A STUDENT LOAN FROM A CREDIT REPORT
Alright, so, and this is something that was proven by trial and error for multiple times, right? In Credit Repair, nothing is guaranteed. And I'm not want to sit here and say, “I guarantee you're gonna get student loans deleted every time if you use the strategy.” I'm not that guy. I'm never going to do that. I'm never going to tell you that. I will tell you that in my experience, more often than not, when done this way, we see some sort of better success rate.
Alright now, this works for Federal student loan debt only, okay? Only for Federal student loan debt. If it's a Private student loan debt, this strategy doesn't apply. Okay, so that's the disclaimer there. When you dispute a student loan, it's taken the same way as any other account. But with student loans, there's programs that the Department of Education offers to borrowers or Federal student loan debt programs that include consolidation of the loans and lowering monthly payments with income-driven plans and different forgiveness programs and things like that. That's actually what I got into when I sold my credit card company. So I mean, I've still been doing this for the last five years, and I never stopped.
When you consolidate a Federal student loan debt, what happens is, when you look at a credit report, you'll never see one student loan account, right? Like you're gonna see 4, 5, 8, 10 different, you know, Navient, or Great Lakes or Fed Loans. Rarely see 1, right? You're always gonna see multiple events. And why is that? For every semester that you go to school, the Department of Education disburses a loan to pay for that semester. And on the credit report, that's what it looks like. Right? So if I see ten accounts, I know that guy went to school for ten semesters because the disbursement that the Department of Education gives to the student is per semester. So for every semester, you gotta pay for classes, books, blah, blah, blah. That's why there's multiple loans on a report, right? When they graduate, or they're no longer in school full time for six months, they have to start paying those loans back. And it's one payment for all the disbursements, right? On the credit report, it looks like you have six different loans. But really, it's one payment that's going to cover the entire debt. And if you miss that one payment, what happens to all six of those on a report?
They all show to miss a payment.
It's terrible…Now, the Department of Education gives you a 90-day cushion. So in order for it to show late, you have to be 90 days past due or more. So they will not report if you’re 30 or 60 days late. They will only report you once you go 90 days late. So I mean, it's a little bit better. They're the only furnishers that will do that. Everybody else, you're 30 days late…BOOM, you’re dinged, right? So Federal student loan debt, you will never see a 30 or 60-day late payment on a Federal student loan debt on a credit report. You will always be okay. Okay? Okay. 90 days late. And people use that as a dispute reason. “How is it that I'm, you know, on time in March, and then in April, I’m 90 days late?” Right? But that's why they didn't report you late. They reported you 90-days late when you were 90 days late.
So what does the consolidation do?
The consolidation takes those six loans. I'm using six as an example, obviously. They take those six loans, and the Department of Education pays them all off. Right to the servicer, so Navient, Fed Loans, Great Lakes, Sallie Mae, these are all Servicers of the Department of Education loans. Servicers. Think of them like the bank that is collecting the debt. So the Depart of Education says, “You know what, here for loans, I'm gonna pay you off these six loans.” Okay. And then the Department of Education reissues one brand new loan, in a total amount of the six loans that they had before, back to the client, back to the borrower, right? So on the borrower's credit report, what does that look like? All six loans, the old ones, are paid in full and closed, right? It doesn't say that was paid in full through consolidation…It reports exactly like it would as if the client had mailed them a check to pay them off in full. It's exactly how it's gonna report. So all those old loans are now paid and closed. Right? That's a benefit of itself. Right? Like, now it looks like you borrowed a bunch of money, you paid a bunch of money back, right? It looks good on you. And one loan is reissued back to the student in the form of one account and the total debt amount, right? So you had $30,000, between 6 loans. Now, you still have $30,000 but in the form of 1 loan. And that's what happened.
So now those six loans, if you're disputing them, they're all loans. It's probably because there's some sort of negative aspect to them, probably a payment history problem, right? So what happens is, while those loans are open, and they have a balance, every single month, they get reported because it's an open account. It has a balance. Every single month, the furnisher is going to report to the Bureaus what the account information is, right? But what happens once they're closed and paid? What reports?
Nothing…There's nothing to report. The accounts paid off. You pay off your auto loan, you trade in your car, or is the lender still reporting that loan to the reports? It's not, right? So student loans are the same thing. Those old loans are all paid and closed, meaning they're no longer reporting every single month anymore. You have one brand new account.
Now is the time to dispute those old loans because the chances of the furnishers even responding to the dispute are very slim, and that's why they come off. They're closed. They're paid. They're not going to go back and dig old graves to try to find stuff to verify information. They're just gonna delete, “we don't care.”
SECRET #2 - HOW TO REMOVE COLLECTIONS FROM A CREDIT REPORT
Alright, so let's talk about collections for a second. What is a collection? It could be one of two things. One, your debt defaults with Bank of America, Chase, Wells Fargo, or whoever’s the original creditor where you incurred the debt originally. Normally, what happens is after about 180 days, the debt is charged off, right?
And what is the charge off? It's nothing more, nothing less, than an accounting term. Right? It means that we're writing the debt off as a loss. And at that point, the furnisher, the original creditor…let's say, Chase…they have an option to sell the debt to a collection company or to hire a collection company to collect on the debt. Right? There's a difference. When they sell off the debt, they're selling off all the rights to that debt. They no longer own it. Midland Funding now owns it. When they hire a collection company, it’s still their debt. The collection company is just hired to collect the debt. Right?
Either way, now you have a collection on your credit report for the…you know, Chase credit card…It'll say, “Chase. Charge Off Balance: Zero,” hopefully, right? If they sold the debt. And then “Midland Funding. Original Creditor: Chase. Balance $5,000.”
That's how it shows up. Right? So when collection companies buy debt, they buy them in bulk. They go to Chase, and they say, “Hey, what do you got for me? You got anything to sell,” and Chase is gonna be like, they're gonna bundle all of these defaulted debts, a total of $100,000. And then the fund is gonna say, “Cool, I'll give you $15,000 for all of that.” And Chase will be like, “huh…Do I take 0, which I'm getting from the clients, or do I take the $15,000 that I'm being offered for Midland Funding?” Then Midland Funding purchases all these debts from Chase. They own the rights to them now, and they're going to collect. Right? So that's very important because Midland Funding just purchased a bunch of debt from Chase. But all they purchased, Daniel, was what?
Name, Email, Phone Number, and Debt Amount.
Do you think that Chase sent documents and documents and documents from every single one of those debts that they sold to Midland Funding? They don't. They just sell the customer's information. Now Midland Funding goes to collect it. So that's how it works.
Now, when collection companies, they have to first validate a debt before they're able to collect it. And there's something called a Dunning period, right? Where the collection company needs to notify the consumer that they now own this debt and they're going to come collect it. Right? And the consumer has 30 days from that Dunning period to request validation of that debt from the collection company before the collection company can actually start pursuing the debt in a legal manner. So my strategy for collections is very simple…
A collection company cannot collect a debt they have not validated to the consumer…So, what we do is we will send a debt validation request to the collection company. Not to the Bureau's…bureaus don't validate anything. Collection companies validate, right? Original creditors, Chase, Bank of America, Wells Fargo, they don't VALIDATE anything. They VERIFY things…There's a difference between validation…they're not interchangeable.
Validation is under FDCPA for collection companies…So now I've sent a debt validation letter to Midland Funding. And I'm going to wait 3 to 5 days, and then I'm going to send a dispute to the credit bureau for that same account. Okay. Now, if the collection company verifies the debt with the Bureau before they validate the debt to the consumer, that's considered an attempt to collect the debt. If the collection company verifies debt information with the Bureaus, that's considered an attempt to collect the debt because they're verifying a debt to the Bureaus, right? And they cannot collect a debt that they have not validated yet. Right?
So why don't we send a letter to the collection company first?
Because we want to make sure that they receive our notice of validation request validation first before the Bureaus even get our dispute because now we know they received our validation request before they received the verification request from the Bureau. And if they verify that, that's the bureau before they validated that to the consumer. That's a FDCPA violation.
Can you use FDCPA violations as leverage to potentially get accounts removed? Absolutely.
And if you work with an attorney, the attorneys will eat that up all day. They'll love that. So now you're not only potentially getting the accounts removed, you're potentially even getting money back for your consumer if your companies partner with an attorney.
So that's our strategy. When it comes to collections, we always send a validation letter to the collection agency first, wait a few days, then send a regular dispute to the bureaus. And if the collection company should verify the debt without validating to the consumer, which happens more often than not, then you really got something. You got some leverage now, right? There's a difference when you file a BBB complaint or a CFPB complaint with leverage versus “uh, they just didn't respond to my dispute.” You know what I'm saying?
When you have more leverage, you have more power.
So that's the name of the game, right? You want more power on your side to fight them with than not. And that's why every strategy that we have is focused around trying to get as much power on the consumer side as we can to push against the collection agencies and bureaus to get stuff removed.
SECRET #3 - HOW TO REMOVE A FORECLOSURE FROM A CREDIT REPORT
Alright, so with a mortgage foreclosure, it's a little bit different. Let's go back to laws…because the only reason credit repair works is because of the Consumer Protection laws that are in place…Or else it wouldn't work. Credit Bureaus wouldn't exist. You know, Bureaus don't just do things because you motivated them to. No, it’s because there's leverage. So the only way you get leverage against the Bureaus and the Furnishers is if you can catch them doing something they shouldn't be doing.
So let's talk about mortgages. So there's a law in the real estate world called RESPA, which is the Real Estate Settlement Procedures Act. And there's a bunch of different things in there that pertain to realtors and to lenders and to all that. But there's something that's really powerful. Something called a Qualified Written Request for QWR. Okay? And what that is, is a consumer can send what's called a Qualified Written Request letter to the original creditor with who the mortgage was with, okay? And what that Qualified Written Request is it's requesting all documentation regarding the real estate loan. Everything. Not just the closing doc. Have you ever closed on a house? If you bought a house? You know what it's like, right?
So just the starting documents of a real estate loan is like this, right? Now, imagine every single billing statement for that account. Right? The older you've had a mortgage for, the more statements you're gonna have, right? If the bank says, I owe them $3,000 today. And I've had this account for, let's say, three years, the only way that I know that the $3,000 balance on the current statement is correct, is if I know what was the previous statement and the previous and the previous and the previous all the way to inception. Because what if there was a math error in any one of those statements? Then is my last statement with the $3,000 balance correct? It's not. Right? So that's what the Qualified Written Request is. You're requesting all documents regarding that account directly to the mortgage bank, the lender who will lend the mortgage.
And what are they going to do?
Do you think they're going to go into their filing cabinet, open up the drawer like the Bruce Almighty movie, right? And then get all those documents and scan them all or make a copy? Chances are, they're not going to do that. Right? So because of, what is easier for me to do is to lead as opposed to sending you all this information. They just delete. Or they will ignore you. They won't respond, which is great. Because now, “Hey, you didn't respond. Hey, you didn't respond.” CFPB complaint. “Hey, I've been requesting, requesting, requesting, and you haven't responded,” and once they get something from the CFPB, they're probably gonna respond, right? And now, do you think they still want to go into their big filing cabinet and get everything? Or do you think they're just going to remove the account?
The name of the game is leverage, right? That's the name of the game. Who has the most leverage? The banks have the most leverage, or you find a way to get more leverage against them. That's the name of the game.
SECRET #4 - HOW TO REMOVE A LATE PAYMENT FROM A CREDIT REPORT
So late payments are very tricky, right? Late payments are tricky. And you have to be careful. Let's talk about late payments. When it comes to how much does it impact you…Speaking of a mortgage account, right? If you're trying to get a mortgage, for example…a 30-day late payment will affect your credit score for two years. Okay? A 60-day late payment will affect your score for five years. A 90-day late payment or longer is a KEY DEROGATORY ITEM. It's gonna affect your score for seven years. Right?
Now, you got a late payment on a credit report that happened 16 months ago, 18 months ago. It's getting to that 24 months range, right? Let it go. My personal opinion. In a couple more months, it's not even going to be impacting the score anymore. And the impact, and it's gradual, right? It's gonna hit you hard when it's first 30-days late. Or once it's been three months that a 30-day late happen, or six months out of 30-day late happened, or a year down the 30-day late happens, it starts losing its impact on the score. It starts impacting less and less and less. Up towards 24 months, it's no longer than impacting it at all. So first, you have to consider is it worth even disputing in the first place?
If it is, how many late payments are there? Right? If you're talking about one or two late payments on an account that you've had for three years or five years. They've never been late before. Your chances of getting a Goodwill Adjustment are high.
And I've had that happen personally on mine. I had a bad motorcycle accident a couple years ago. I was in the hospital for 11 days. God knows what I went through. And I didn't make a payment on one of my accounts on my American Express card…I was in a hospital, couldn't figure it out…Couldn't do it. I looked at my credit report and “crap, I forgot the American Express payment.” Right? Dude, I called up American Express got to speak to whoever the highest supervisor was that I could explain my situation. The next monthly payment was gone.
So based on the relationship that you've had with your lender, right, with the furnisher….are you willing to do a Goodwill Adjustment on this? Right? I'll always start there. Right? If it's just one or two late payments on a really aged account, and chances are they're gonna work with you. They will do their adjustment.
All right, now, if you're talking about you got a whole bunch of 60 and 90-day lates, and all that, and you're worried about getting the whole account removed because it's still open. But you have all these late payments. I wouldn't even go after the late payments. I'll go after the entire trade line and try to get the trade line because the chance of you removing multiple late payments and keeping the account. I don't think I've seen it. I don't think I've ever seen it…So at that point, it's more advantageous to try to get the whole thing removed than to try to fix eight different late payments on an account, especially if they're all Key Derogatory payments.
So I go, you know, if it's one or two late payments, there's a 30-day late and or a 36. And then you never been late before. Obviously, something happened. Write a letter, man. You know: “I got sick,” or “I lost my job,” or whatever it is, “we've had such a great relationship.” Otherwise, “please, please, please, are you willing to, you know, forgive this late payment, do a Goodwill adjustment? Here's what I've done on my side to make sure this never happens again. I've enrolled in auto pay or whatever.” Send a letter like that, and chances are the banks will adjust. Now, if your account has like bird poop all over it, chances are you…just try to get the whole account removed instead.
SECRET #5 - HOW TO REMOVE A REPOSSESSION FROM A CREDIT REPORT
Alright, so Repos are, again, a different monster, right? It all goes back to laws. And I'll tell you if you're spending your time not understanding and learning how credit repair works, you're spending your time doing the wrong things. Right? The service that you're getting paid for, is to try to remove inaccurate, unverifiable, obsolete information from a credit report, right? If it's accurate and verifiable and not obsolete, it's not gonna come off, right? So that's why you can't guarantee it because you don't know if it's going to be proven to be accurate and it's going to be verifiable, right? So you don't know that until you start the process.
So with Repossessions, it's the same thing. What laws are around the repossessions? Right? You got to study those, and there's different loopholes that you can get through. And when it comes to repossessions, what we like to do is first, we ask, “how old?” Right? We find out how old the repossession is. If it just happened and the car was financed, right? Not leased, but financed, and they had GAP Insurance, right? Did they get their GAP insurance money back after the repo? Right? And if not, then now you're starting to see some inaccuracies on the account itself, right? This used to work tremendously well a few years ago with Santander Bank, you know? But then there's other laws that are regarding contracts with auto loans, right? And you got to read them, and you got to know them, and it's gonna be different for every single account.
But my strategy is very simple. I go to the Bureaus first. I'll hit them three times. The Bureaus are just sending my request over to the furnishers anyway. Right? Then I'll find something…Oftentimes you'll find some loans, auto loans, or leases. They have to be multiples of six. Always. Your loan will always be able to be divided by six, meaning it's a 12-month loan…24, 30, 36, 72, 84. Right. 66? If you see a 67, under the term for the loan…How's that? All those are divided by the variable by six, right? So that's a violation there. Right? Now, remember, you're sending all this stuff to the Bureaus. The Bureaus send all this stuff to the lender. The lender is verifying everything. When you get the lender to verify something that you know is not right, that's your leverage, right? That's your leverage.
So that's what we do. We want them to verify it, right? Like, “if you're not deleting that, I want you to verify it.” Right? I want to get that letter back that says “verified” because then I can take that letter from the Bureaus that said, verified, not once, not twice, but three times, right? And I can write a letter now to the lender. And I can say, “you verified not only once or twice but three times that XYZ is ABC. Right? “It's correct.” It's clearly not because “bla bla bla bla bla, you're reporting inaccurate information on my credit report, you're violating my consumer rights under the FCRA. I demand you remove this damaging information on my credit report immediately.”
It's all about leverage. Find what's wrong on the account…try to get the Bureaus to verify wrong information. So now you have even more leverage when you go directly to the furnisher. And you rub that all over their face. You say, “you did this! You messed up, get it off my report now, or I MAY have to find some legal help against you.” Right? Never say, “I'm gonna sue you.” I “MAY have to look at my options with an attorney.” I like that you have that language in your letters to the furnishers. And you scare them.
SECRET #6 - HOW TO REMOVE INQUIRIES FROM A CREDIT REPORT
So I have a love-hate relationship with inquiries and with what people say about inquiries. I personally don't care for inquiries. And I'll tell you why…We all know inquiries are 10% of your credit score, right? And from a 300 to an 850. That's, you know, 550 points you get to play with. So that's a potential 55 points that you can gain or lose on inquiries alone. Right? But that's assuming that you got all your inquiries today. Because just like late payments over time, they lose their weight. Okay? And a big misconception when people dispute inquiries…Number one rule is never dispute inquiries tied an open account. Never do that. Okay? We made a mistake, actually, recently with one of our clients. And we did that. Their credit card, the oldest account that they had on our credit report, got shut down because we disputed an inquiry with an open account. Never do that. Right? We’re humans. We all make mistakes, you know? So they happen. So I know that happens when you dispute inquiries tied to open accounts. You run the risk of that account getting shut down. Right?
Because what is an inquiry? An inquiry, 100 times out of 100 times they, actually happen. Because unlike anything else on the credit report, inquiries are placed on the report by the Bureaus themselves. They’re not reported to them by a furnisher.
How does that work? When you apply for a credit card with Chase? Before Chase approves or denies you, what do they do? They go to the credit bureau, and they say, “hey, Equifax let me see a copy of Bruce's credit report.” At that point, before Equifax releases a report to Chase, Equifax is going to notate on their own records: “Chase has requested a copy of Bruce's credit report.” Meaning that's the inquiry. So the Bureau's put the inquiries on report themselves. They're not reported to them by the bank. So someone requested that information with the Bureaus when I put it on there. Right? That's number one. Nine times out of Ten. The consumer did it unless their identity was stolen. Right?
So first, let's understand how the inquiries get on a report in the first place. The Bureau's placed them there. Then I'll report it to them by the furnisher. That's the first thing.
The second thing, when people have a ton of inquiries on their credit report, more often than not, it's because of a car loan or a mortgage. Right? And we all know you go to the dealership, they ding your credit 300 times. I'm being facetious, 10, 12 times, whatever. And because they're shopping around trying to get you the best rate for your brand new car. Right? But what happens is, according to FICO, and the FICO algorithm, within a 30 to 45-day period, all inquiries tied to auto loans will only count as one. They only ding you once. So if I go here to Honda, and I apply for a car there, and Honda runs my credit and tries to approve me with six different banks today. And I was like, “ma'am, I gotta think on this,” and I walk across the street to Toyota. And Toyota does the same thing. And then, two weeks later, I go, “man, I'm going to drive a Benz.” I go to Mercedes, and they ding my credit. The only inquiry that's hurting me is the first one from Honda within that 30-day period. Right?
So even though you have multiple inquiries on your credit report, it's only hurting your score once because you're not trying to buy six different cars. You're trying to buy one car. You're shopping around for a loan, so you're not going to get penalized as if you had applied for six different credit cards, right?
Same is true for mortgages. Right? “Man, I'm gonna apply for a mortgage for this lender.” They run my credit. I didn't like what they gave me. They gave me a 4% rate, and it's 2022. No, I'm gonna go over there. I got the 2 and 1/2% rate with them. Only the first one counts within a 30-day period towards hurting the score. Right?
So that's the next thing to understand, it’s like man….Inquires only stay on the report for two years. And after 12 months, they don't even impact the score anymore. So how old is the inquiry? If it's close to 12 months or older than 12 months, I don't care if you're removing the scores and changing. Right? And they come off after 24 months. So now, people dispute all the inquiries that did not get approved…So they bought the Honda and then disputed all the other inquiries? That's great and dandy, but it's not really doing much to the consumer. Right?
And even when you apply for a mortgage, they're going to ask you, “man, you have a lot of inquiries on your credit report. Here's a piece of paper, and you got to tell me what each one of those inquiries are for.” They're not saying “denied” because you have too many inquiries when it comes to a mortgage. Right?
Now, for a credit card. Right? It's the same thing. If you apply for a credit card with Chase today, and then you apply for a credit card Bank of America tomorrow, and then you go with Wells Fargo tomorrow as well…Those are all separate inquiries because you applied for three different accounts. Right? So when people are denied for too many inquiries on their credit report, they're not…The banks are not denying them because of too many inquiries due to auto loan accounts or mortgage accounts. It’s because you've been applying for credit very often recently. Right? And that makes you risky. Like, “why are you trying to borrow money so much? I don't want to lend you anything.”
So let's say you are going to dispute the inquiry. Then again, FCRA says everything on a credit report has to be accurate, verifiable, and timely. So with anything, I'm not saying, “it's not mine. Can you verify it's mine?” Right? We never just do “it’s not mine.” That's just unethical. Right? We're never going to do that. Unless it really isn't. Unless the customer is like, “I have no idea what this is. This is not mine.” Then I'll say, “Okay, are you willing to file an affidavit with the FTC, with the government agency? If you're lying, you're gonna get in trouble. Are you willing to file that? Are you even willing to go file a police report because somebody stole your identity? If this isn't you, somebody did it.” And then that's how you know if they're lying or not, because if they're just “not mine” because they know it could work, and they're not willing to do all the other stuff, then you know, they're probably not going to do it.
But anyways, then you'd say, hey, “please verify that you have Permissible Purpose from me to pull my credit” because…on the FCRA, the lenders need to have Permissible Purpose to pull your credit, meaning you got to have authorized them. “Do you have my credit application on file? I'd like to see that because I don't remember. I don't remember the day I did that. Right? I bought a car two months ago. Can I tell you the date that I applied for the car? No. So I'm not lying. I don't remember when I apply for this. Please send me my original credit application. If you can't prove Permissible Purpose, you're not allowed to report this. Remove it from my credit report.” There's a legal and ethical way to do things without lying. Without calling the Bureaus and doing this new little scheme. “Oh, I didn't authorize this, delete.” But as long as you get the right person on the phone, it's going to work. And then you're doing that, you could do that. But why be shady if you can do it the right way? Right? So it's all about knowing your stuff. And there's no reason for you to want to do things in an unethical or illegal way. Right? Ask for the Permissible Purpose. Ask for the documents. They have to provide it. If they can't provide, they know how to report it. And now you have leverage.
SECRET #7 - HOW TO REMOVE A BANKRUPTCY FROM A CREDIT REPORT
So there's a strategy that has been working for many years, and it’s starting to phase out. Not saying it doesn't work anymore. It still does. But Bureaus caught on to it. Right? There's so many companies now using a strategy that they know what's happening. But it doesn't matter because it's still a powerful strategy. Right?
When you look at a credit report, the bureau says the furnisher of the data is the courthouse. When you look at the credit report, it says “US Bankruptcy Court XYZ” as the furnisher. You go down to the creditor's information, where you have everybody's addresses. They have the bankruptcy court information there. So the Bureaus are saying the furnisher of this data is the courthouse. Okay?
So then, what do we do? We send a letter to the courthouse, and we say, “Hey, do you verify or report information to the credit reporting agencies? The reason why I'm asking is…I see it on my credit report. They're telling me you told them that you're reporting this information to them. Please let me know if you do this or not?”
Then the way we do it is we send them another little piece of paper with the letter that says a little box that says, “Yes, we verify information with the Bureaus” or “No, we don't verify information of the Bureaus.” And there are lines for them to write explanations or whatever. And then, we also include a return envelope with the customer's address and name. So all they have to do is put their response in there and put it in the mail. It's already pre-stamped and everything. That’s how we do it. And what happens is, when the court replies, they reply, “No, we don't report anything or verify anything with credit reporting agencies.”
Now, you take that, and you send that to the bureau, and you say, “Please explain. You're saying they do. They're saying they don't. Who do I believe? You're obviously telling me a load of crap? Delete this from my credit report immediately because I have proof that you're reporting inaccurate information on my credit report. The wrong furnisher…that's damaging. You're telling me I owe the wrong people money.” Right?
So that strategy seems to work. And when the court replies, a lot of times, the court may not reply the first time. I’ve had to hit them a couple months before they finally reply. Some courts now have like a template already that they send because I see…I’m like, man, I'm going to get the same exact letter from some of the courthouses saying “they don't reply to, or furnish information to the Bureaus.”
Great. Take that. Put it in a dispute letter to the Bureau and fire it off. Right? And now you have leverage. And if the Bureaus continue to verify it, get you a little leverage, go to the CFPB website and file a freakin complaint with your leverage. Right? Because they may play around with you. They're not going to play around with the CFPB.
Wasn’t that great?!
Isn’t Bruce awesome?
I’ll end by saying…
If you don’t already have a Credit Repair Cloud account, check it out. It’s the software that most Credit Repair businesses in America run on. Just sign up for a 30-Day Free Trial at CreditRepairCloud.com/freetrial
And If you’d like me to hold you by the hand as you launch your own credit repair business, check out our Credit Hero Challenge!
It’s an amazing program where you’ll learn the processes that have made millionaires, and it costs less than you'll spend taking your family to McDonald’s for dinner.
We’ve got another challenge starting in a few days, so grab your spot right now at CreditHeroChallenge.com!
Until then, remember, keep the facts on your side…
And keep changing lives!