First Alert 4 Investigates: Local woman warns of companies claiming quick fix to bad credit

Published: Aug. 17, 2023 at 7:47 PM CDT
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ST. LOUIS (KMOV) -- Americans owe more now in credit cards than ever before. A local woman is warning others after losing $1,000 to a local company that promised to get her credit fixed.

Shameka Loveless wanted to buy a home for her and her daughter. A while back, she turned to a St. Louis-based company that claims “we fix credit.”

“At the time, I had a clear of a bankruptcy,” Loveless said. “And I wanted it off my credit.”

She sprung for the company’s biggest package, signed a contract and gave them $1,000, she said. But after six months, she said, her credit score didn’t budge.

She also said she hasn’t gotten any of her money back. Brian Edwards recently conducted a study for the Better Business Bureau. Nationwide, he said, the bureau has received more than 11,000 complaints about debt and credit assistance companies. It reveals “a pattern of misleading and sometimes fraudulent claims,” according to the BBB.

“There were a lot of big promises made to consumers either about helping them reduce their debt load, or increasing their credit scores,” Edwards said. “And many consumers were telling us in their complaints and reviews that these promises weren’t adding up, essentially. "

As people take on more debt and student loan payments return, the problems could only get worse.

“But unfortunately, when it comes time when people are in tough financial situations, these are situations that will often then take years to dig out of, so if anybody comes to them promising to fix it in a matter of months or even weeks, that’s probably not a very good promise,” he said.

Loveless said she had no hope of a refund and wanted others to be aware.

“If you’re going to go with a company, you need to research,” Loveless said.

She has been trying to climb out of debt in other ways.

The owner of the company Loveless paid disputed her claims, saying they did do work to take things off her credit report. After First Alert 4 Investigates got involved, the company reached out to Loveless again to offer additional services. She said she was hesitant about doing it.