The credit repair process

The process of credit repair will differ between credit repair companies so you should ask about the specific agency’s process before you apply. Generally, you will be offered a complimentary initial consultation, after which the following process will apply:

Reading your file. Look at all the information in your file and see if there are any incorrect listings or details and what could be done to improve your score.
Applying for credit repair. You’ll have to fill out a form for a credit repair company detailing any listings or faults you want them to examine.
Pay a fee. Fees are payable throughout the process to cover the time needed to correct incorrect listings.
Acceptance. If the company decides it can help you, it will accept your application and start looking into your credit history.
Contacting creditors. The repair company will then start contacting your creditors to determine which defaults can be removed from your file. You generally will pay a success fee for each default you want to be removed. Some credit repair agencies may also help negotiate a debt repayment plan with creditors if you have an amount owing.
Listings removed. If the credit repair company is successful in its negotiations, incorrect listings will be removed from your file.
How to compare agencies
There are a few credit repair agencies that offer their services to Australian consumers. However, in order to determine whether or not an agency is reputable, there are a few important factors you need to consider:

Licenses.

Check if the credit repair service has an ABN, you can find these at the bottom of their websites.

Transparency.

How upfront is each company about the fees you will have to pay? Look for a company that provides the full terms and conditions before you have to hand over any money.

Reputation.

Is the company a trusted name in the industry or does it have a reputation for being a bit dodgy? Look for a company that is respected and has an impeccable service record.

Customer reviews.

Look at online review sites to get an idea of the experiences other people have had with agencies. This gives you a good idea of how each company treats its customers.

Overall cost.

This is obviously going to be an important factor, but make sure you find the best combination of an affordable price and quality services offered.

Weigh up the benefits and drawbacks before applying.

Even if only some of your negative listings are removed this can improve your chances of accessing credit
The rates that you pay to borrow money, for example, with a personal or home loan application, may be lower with a better credit score. This could save you significant money over time.