Why Smart Debt Settlement Companies Are Monetizing Credit Reporting Errors — Automatically
Renauld Smith • 24 Jun, 2025
Settling debt is only half the
equation—accuracy is the other half. Best practices demand that you also verify your clients’ settlements are
correctly reported to the credit bureaus. Verifying
that the credit reports are accurate is a financial safeguard for your clients
and a strategic edge for your business.
Roughly 40% of settlements aren’t reported accurately. Every month,
millions of dollars in FCRA violations go unclaimed. And yes—your clients are
part of that overlooked statistic.
When enrolling a client into a debt settlement program, you inform them
their credit will take a hit. But once those debts are settled, the road to
credit recovery begins. At least, it should.
Your clients have been rebuilding. Paying off debt. Making smarter
choices. That’s meaningful.
But if their credit reports are inaccurate, they won’t reap the full benefit
of their progress.
In our experience, many clients adapt after settlement and go on living without
credit cards or loans. But inevitably, when the time comes to access credit
again, they’re shocked. That charge-off you helped resolve; it still shows a
balance.
They’re not just disappointed, they’re confused, angry—and burdened with
the task of fixing something that should’ve been corrected long ago.
Even if a client isn’t using credit now, inaccurate credit reports
impact much more than loan approvals
• Employment – Many employers check credit during the hiring
process
• Rental Housing – Landlords often require credit pulls
• Insurance – Premiums can rise due to poor credit
• Peace of Mind – Clients deserve the assurance their financial record
reflects the truth
The final step in settling debt is not just negotiation and payment,
it’s making sure the resolution is properly reported. Fulfilling your promise
means seeing it through to the credit bureaus.
Sadly, most companies either skip this step or do a poor job of it.
Some try to help by sending files to law firms to dispute inaccuracies.
But then? Silence. No updates. No visibility. Maybe a check shows up months
later. Maybe it doesn’t.
Others attempt to handle it internally—with clunky paperwork, heavy
manual processes, and no scalability.
It does not have to be this way.
There’s a Smarter Way.
And it enhances client satisfaction from start to finish.
Add Automated FCRA Violation Management to Your Program — at No Cost to
you.
Meet COLEXIT, the industry’s first-of-it-kind automated platform
that syncs your settlement data with credit bureau records—TransUnion, Equifax,
and Experian. The platform detects discrepancies, flags potential FCRA
violations, and initiates action.
A seamless approach without the burden of a disruptive implementation•
·
No-Friction Onboarding – Seamless, no-code integration into your existing system
·
Transparency – Live dashboards show dispute status, resolutions, and payments
·
Improved Client Satisfaction – Clients exit your program with clean, corrected credit reports
·
New Revenue Stream – You earn on every valid case—without extra overhead
This is the missing piece in the client journey --- the final step that
elevates your company above the others.
The sales agents will love having something new—and valuable—to talk
about. Clients will notice the added care. You’ll boost retention, client
satisfaction, and revenue. All without lifting a finger.
You’ve already helped clients crush their debt. Now, verify it’s
reported correctly—and get rewarded for it.
You helped your clients settle their debts. Verify that it is reported accurately. Don’t
leave money or goodwill behind.
Book a quick call to see how simple it is to offer a service your clients want—and
deserve.
COLEXIT – Automated FCRA Violation Management
Click HERE
for more information or to Contact Us 888.500.1210
Your Path to Financial Recovery Starts Here
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