Over the last 17 years in the real estate industry, some of my clients have discovered they had less than perfect credit while initiating the purchase of a new home.

While purchasing a new home is an emotional time for a couple or an individual, the added stress of less than perfect credit can be unbearable for many couples or individuals.  Knowing how the process of credit restoration works, can delay the purchasing process not stop it.

The credit restoration has three phases to the process.

1.)    An administrative process which the verification of address, debts, SSN and driver’s license.

2.)    The creation and submission of the initial dispute letters, which list the creditors and why the debt is in question.  These letters are sent to the three credit bureaus; TransUnion, Equifax, and Experian.

3.)    The follow-up cycles of responses and resubmission new dispute letters and evidence required to support your dispute letters.

The cycle can take approximately 45 days for the dispute letters to reviewed and submitted to the creditors and have responses to be sent back to you.  The Creditors have 30 days to respond to the dispute letter and the Credit Bureaus will send the responses to you, in the form of the revised credit report.

Everything in the process revolves around the timely submission of letters and responses, from the individual, to the credit bureaus, to the creditors and then back the individual.

Most lenders will work with the individuals, letting them know what items need to be corrected in order for their firm to lend them money. 

The main thing to remember is, once errors on your credit report are discovered it takes a little time to improve your scores.  You can check your credit report before making a purchase that requires credit by visiting www.annualcreditreport.com.

Click here learn more about no only the credit repair process but also how you can get control of your finances.