As is the case with mechanics, chefs, general contractors, and every other profession, there are quality credit repair companies and some to steer clear of. Below are some tips for identifying a credit repair company you can trust.

1. Look for how long the company has been operating as a credit repair organization. Credit correction is an industry on the rise with many new entrants coming and going all the time. Try to go with a company with a solid track record that you have confidence will be in business for the long run. The last thing you want is for a company to go away before they are done helping you.

2. Look for full disclosure. There is nothing a credit repair company can do for you that you cannot do for yourself. In fact, credit repair companies are required by law to make you aware of this fact via a written statement when you sign up for their services.

On top of this, credit repair services are not guaranteed to work because ultimately, whether or not something gets deleted from your credit record is up to the credit reporting agencies and your creditors. Be wary of services that guarantee to improve your credit score.

3. Make sure the billing policy follows the rules. By law, credit repair companies are not permitted to collect any fees before performing the agreed upon services. This is to protect people from scammers who would promise to clean up their credit report for an upfront fee (often times charging thousands of dollars) and then disappear as soon as the payment was received. It is because of this regulation that most credit repair organizations charge a setup fee for creating your account (you should not be charged as soon as you sign up and will in many cases not be charged for a few days), and a monthly charge after the previous month's worth of services have been provided.

4. Know the trademarks of a credit repair scam. Because so many people are desperate to fix their credit but have little knowledge of how the credit system functions, scammers have set up shady credit repair clinics claiming to help people but ultimately only end up making the situation worse. The Credit Repair Organizations Act was created to protect people from becoming a victim of a credit repair scam by establishing rules credit repair providers must follow. Knowing these rules will help you avoid being taken advantage of.