Reform Within the Credit Repair Industry

There is no doubt the credit repair industry is well overdue for reform.

The unregulated nature of this industry has resulted in a number of inexperienced and questionable operators entering the industry.  Regretfully this has meant some consumers have been misled by some credit repair companies and they have not received the service they had been promised or in many cases paid for.

Due to the actions of some of the credit repair industry, the industry itself is experiencing an identity crisis.  There is no doubt that some credit repair companies have taken advantage of people’s vulnerable position and not acted in the best interests of their client.  While this is true we must put this in perspective and keep in mind the same can be said for almost all industries.

Such behaviour has caught the attention of bodies such as the Australian Securities and Investments Commission and Fair Trading, in some cases rightfully so.

Credit Repair Industry Self Regulating

There has been several attempts by the credit repair industry to self regulate.  Such an attempt was an organisation known as the Credit Repair Institute of Australasia.  This body was formed by people within the credit repair industry and was a genuine attempt to try and self regulate and deliver a constant set of standards to consumers.  This body had a code of conduct that all members were bound to honour.

Sadly, we have recently become aware this body is no longer operating.  I feel this is a great shame as I am convinced this body was formed for the right reasons with its driving force being the protection of the consumer.  It would seem that one of the reasons this body was not able to continue was due to a lack of action by its members.

It’s hard to imagine that the members of this body could not be motivated sufficiently to keep this body functioning which demonstrates the general lack of regard many credit repair operators have for their own business and the industry.

Credit Repair in Australia

Like many industries, credit repair has its fair share of questionable practitioners, however there are honest operators that provide a good service and genuinely want to help their clients.  The question is how to remove the dishonest element while still allowing the industry to continue to function.

I will note that many critics of the credit repair industry have never themselves had a credit issue and have never attempted to have such a situation rectified.  For many, trying to restore their credit file proves complex and time consuming and often it is not until professional help is sought that the matter is positively resolved.

It is unclear when reform will be introduced into the credit repair industry but one thing is for sure, when it is it will be well overdue and it should be welcomed by members of the credit repair community.

To work with the good guys and get your credit scrubbed clean by an honest credit repair specialist: Call us today on 1300 015 210 or apply to have your credit cleaned!

John Dickinson

Clean Credit Pty Ltd