Many small business owners who have seen their good credit fall to the wayside last year are desperately seeking for help with their personal credit. It’s sad that many of the bad credit problems caused by their business could have been avoided if their corporate credit was separate from their personal credit.
All across the country I have heard stories like Joanna Fridinger, owner of a limo company in Baltimore, who had the credit limit on her American Express card cut to $1,400 from $19,500 after getting just a single late fee on another credit card.
You’ve probably seen headlines like…
‘2009: The Coming Meltdown. Part Four: Consumer Credit’ ~ Bankruptcy law network
‘Consumers’ Credit Card Limits Slashed as Companies Try to Reduce Risk’ ~ the Washington Post
With all this circulating the media it’s easy for some of you to be influenced to believe that there is no hope and no way to get back on track. In my opinion that’s a bunch of hogwash and stinking thinking that does nothing but perpetuate negative results.
There is no challenge that you can’t overcome!
When it comes to personal credit challenges there are several alternative solutions that each and every small business owner should consider as we start 2010.
First, let me say that this is my personal opinion and after working with thousands of business owners on personal credit issues over 19 years one of the most commonly asked questions I hear is ‘ How can I get my personal credit restored?’
Before I get into this highly misunderstood service called credit restoration or credit repair let me be the first to tell you that I always advise my clients to approach their personal credit issues and business credit building strategy simultaneously. It takes time to repair your personal credit and raise credit scores. As you are working on your personal files you will be building business credit history by using vendor credit lines that are reporting your payment history to your business credit files.
Eventually you will need to have a good personal credit score when it comes to applying for business lines of credit with a financial institution so don’t wait.
This post is intended to fully educate you on answering two main questions:
Is Personal Credit Restoration Legal?
Are Credit Restoration Companies Legal?
Personal credit restoration
The Federal Trade Commission which is a federal agency created to investigate and eliminate unfair and deceptive trade practices in business, initiated a specific body of legislation which was put in place to regulate the credit reporting agencies and protect YOU the consumer from unfair credit reporting. This legislation is called the Fair Credit Reporting Act.