Can they truly fix your credit rating and lower your payments, or are they just one more ripoff scheme?
Consumer advocate and author Sid Kirchheimer says in his opinion these services deserve a big thumbs down.
“They may charge $5,000 or monthly fees of $100, but there’s nothing credit-repair services can legally do that you can’t do yourself for free or at low cost,” he writes in the latest AARP Bulletin.
His advice? If you do need debt consolidation or free or low-cost credit counseling, call the non-profit National Foundation for Credit Counseling at 800-388-2227. Check out their site for free consumer tips and calculators.
For more tips on avoiding financial scams, visit the AARP’s consumer protection site.