What is a reasonable price to pay for a credit repair service?

There are a number of different credit repair services you can pay for so a reasonable price depends on what you are getting. Some credit repair companies only provide credit bureau disputes in which case you should be able to find a quality service for under $50 per month. Other credit repair companies also work with your creditors which usually gets you better results in less time. These services typically cost a little more so you can expect to spend up to $75 per month. Finally, some credit repair companies also provide debt settlement. When paying for debt services the price will probably vary from person to person so just make sure the amount you pay for the service is less than the amount the company is able to reduce your debts.

The prices I have provided above are for credit repair companies that charge a monthly fee for service which is the most common model among the major companies in the industry. Some companies instead opt for a pay per deletion model where the have a flat rate for each item that gets removed from your credit reports. You should be able to find companies that charge less than $40 per deletion, however, you need to keep in mind that these companies usually charge this fee per deletion, per credit report. So if you have the same late payment on all three credit reports and they are able to remove it from all three, you'll probably end up spending over $100 on that one late payment.

Finally, there are some credit repair companies that charge a single flat rate for their services. In cases like that, they will probably also set an amount of time that they will work on your credit reports (you may have to dig into the contract to find it), so to compare their prices to month by month companies, simply divide the total cost by the number of months they will work on your credit reports. A word of caution when dealing with credit repair companies that have one large payment. To protect people against credit repair scams, the federal Credit Repair Organizations Act forbids any credit repair company from accepting payment for services before they have been provided. Watch otu for any credit repiar company that wants you to make your payment upfront before they will get started on your credit reports.