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American Credit uses a pre-litigation process to successfully dispute negative information on your credit report and increase your credit score. However, some companies market a credit sweep as an easy way to achieve certain credit goals.

Be warned, this isn’t a real process and is in fact illegal and unethical.

A credit sweep involves disputing all items on a credit report at once. It’s often presented as an option for victims of identity fraud. The party offering it may appear as a legitimate credit repair company. The process itself is fraudulent, as the entity would have to gain access to your credit report and illegally delete items. But a negative item, such as a collection account, will likely appear again the next month, so such a path is useless in the first place.

When Is a Credit Sweep Legal?

In terms of credit cards and your credit report, there’s no legal or practical action known as a credit sweep. An automated credit sweep, on the other hand, is a financial arrangement between a bank and a corporation in which excess funds in an account are used to pay down the organization’s debt. Funds are automatically transferred to pay down outstanding loan amounts. It is essentially a cash management tool for large corporations with multiple accounts.

 

A Consumer Credit Sweep Is a Scam

At the consumer level, the only legal credit sweep is when a victim of identity theft files a police report. Then a subsequent review of their credit report reveals every item is fraudulent. But this is rare. You could dispute everything if the victim is a child. For adults, it’s unlikely everything on their credit report is fraudulent.

In general, offering to provide a credit sweep is a violation of the Credit Repair Organization Act. Scammers have tried to get away with such acts, even filing false police reports to attempt credit repair. Following a police investigation in Las Vegas in 2013, Tradeline Pros (which forged 174 false police reports), the defendants were charged with racketeering, forgery, and more.

 

How Should I Go About Disputing My Credit Report?

A factual dispute involves looking for inaccuracies and disputing each one individually. Whether these are incorrect dates or account numbers or incomplete information, you can target these to achieve credit repair. You can target information such as inquiries, late payments, collections, charge-offs, and judgements to identify inaccuracies.

It’s always possible a credit bureau made a mistake or is missing back-up documentation. You can then file a dispute. If done properly, a factual dispute doesn’t take longer than an illegal credit sweep. But it’s important to note that credit repair takes some time. If someone promises quick results, it’s too good to be true. A credit repair company, though, can offer tangible solutions to getting disputes resolved and raising your credit score.

 

What Does American Credit Offer?

We are a credit repair company that goes beyond the dispute letter process, which is often ineffective. Besides, you can file a dispute letter for free with a credit bureau. Our method is a pre-litigation process that attorneys use, which forces creditors and bureaus to respond and increases the rate of success. Erroneous, unverifiable information can be deleted, increasing your credit score despite negative details such as bankruptcies and foreclosures. The changes we make can result in 100 point or more increases in, on average, 60 to 120 days.

To receive your free no obligation credit consultation, call 855-274-1732 today!