46% of Debt Complaints Target Credit Repair

A significant increase in complaints about credit repair services has been reported, with these services drawing 46% of all debt management complaints in 2025. According to federal complaint data, the monthly volume of complaints about credit repair services not providing promised services ran 40% above the prior two-year average.

The Consumer Financial Protection Bureau reported that debt settlement and credit repair services were the most complained-about debt or credit management product types in 2025, with debt settlement taking the top spot at 49%. The dispute process that credit repair services like Marcus' charge for is actually free under the Fair Credit Reporting Act, and no fee can legally remove accurate negative information from a credit report.

The average credit card interest rate was 20.94% in the Federal Reserve's May reading, and 2.92% of credit card balances were at least 30 days past due at the start of 2026. Additionally, the personal savings rate fell to 2.8% in the second quarter, indicating that many individuals may be struggling financially.

## Why it matters The high number of complaints about credit repair services is particularly concerning given the financial struggles that many individuals face. For example, 63% of adults earning under $25,000 couldn't raise $2,000 for an emergency, which is the same amount that some credit repair services charge as a setup fee. This highlights the need for consumers to be cautious when seeking credit repair services and to be aware of their rights under the Fair Credit Reporting Act.

The increase in complaints about credit repair services also underscores the importance of regulating these services to protect consumers. As the Consumer Financial Protection Bureau continues to monitor and report on debt management complaints, it is likely that there will be increased scrutiny of credit repair services and their practices.