Expert says beware credit repair offers with up front fees - Chicago News and Weather | FOX 32 News

Expert says beware credit repair offers with up front fees

Posted: Updated:
Lisa Ross said up front fees should raise a red flag when it comes to credit repair offers. Lisa Ross said up front fees should raise a red flag when it comes to credit repair offers.
SOUTHFIELD, Mich. (WJBK) -

Money Smart Week in Michigan is designed to help people with financial issues and help them stay out of financial trouble.  Fox 2 is a proud media sponsor.

Financial and consumer experts joined us in the Fox 2 newsroom for a five-hour event where they talked to thousands of people from all over the state on the phone and via an online chat room at myFOXDetroit.com.

Many questions came in about credit and credit repair and whether credit repair companies can really fix your credit.

"Accurate, negative information on your credit report is going to remain there for seven years, and bankruptcy is going to remain there for ten," said Lisa Ross from the Michigan Department of Insurance and Financial Services.   

"So you see these ads, we all see them, we heard the radio jingles, they can erase bad credit.  They cannot.  So you need to be aware when you hear these credit repair offers and they're saying they can do that because one thing they're going to say in addition to what they're promising, it's something they can't deliver on so they want up front fees from you, which is against the law.  And so, if anyone's asking you for up front fees, you definitely don't want to do any business with them.  So you need to be aware of that, and you want to report them to the Federal Trade Commission."

As soon as that interview ended, we had a call from someone who was taken for a ride this past weekend by a crooked credit repair company.  The state attorney general's office is on the case.

Click here to read our experts' responses to questions posed to them in our chat room during Monday morning's event.

Visit www.moneysmartweek.org for a listing of some 200 Money Smart Week events in local communities.

  • Local NewsLocal NewsMore>>

  • Former "Howard Stern Show" sidekick Artie Lange hospitalized in Royal Oak

    Former "Howard Stern Show" sidekick Artie Lange hospitalized in Royal Oak

    Wednesday, April 16 2014 9:36 PM EDT2014-04-17 01:36:56 GMT
    Former "Howard Stern Show" co-host Artie Lange is in town for an extended stay, but the circumstances are a little puzzling. Lange posted on his Twitter page this week he's been hospitalized "outside Detroit" after going into diabetic shock.
    Former "Howard Stern Show" co-host Artie Lange is in town for an extended stay, but the circumstances are a little puzzling. Lange posted on his Twitter page this week he's been hospitalized "outside Detroit" after going into diabetic shock.
  • Parents unhappy with how principal enforces junk food policy

    Parents unhappy with how principal enforces junk food policy

    Wednesday, April 16 2014 9:35 PM EDT2014-04-17 01:35:15 GMT
    Parents of students at T. Dale Cooke Elementary school in Detroit say the principal is enforcing students to eat healthy in the wrong way.
    Parents of students at T. Dale Cooke Elementary school in Detroit say the principal is enforcing students to eat healthy in the wrong way.
  • Freedom from Religion debate heats up at Warren City Hall

    Freedom from Religion debate heats up at Warren City Hall

    Wednesday, April 16 2014 7:12 PM EDT2014-04-16 23:12:16 GMT
    Is Freedom of Religion the same concept as Freedom from Religion? That's the debate one Warren resident is raising at City Hall.
    Is Freedom of Religion the same concept as Freedom from Religion? That's the debate one Warren resident is raising at City Hall.
Powered by WorldNow

205 N. Michigan Avenue
Ground Floor
Chicago, IL 60601
Station Operator: (312) 565-5532
Newsroom: (312)565-5533

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices