Lexington Law is one of the best and biggest credit repair firms in the market, which has been active for over 30 years. This law firm has been around for quite some time now and has been advertising its services with the catchy slogan “I’m John, call me!” A lot of people have sought help from Lexington Law to fix errors on their credit reports and get the negatives removed.
However, there have been recent concerns on whether Lexington Law is running a firm or not or if they have shut down operations. In this blog post, however, we will have a closer look at the current situation in the Lexington Law firm and answer the main question: did Lexington Law go out of business?
And after some search and findings, we can state that Lexington Law did not close down as many people have been wondering. It is still functional and offers credit repair services to new and old clients in different states across the country.
We found multiple confirmations that Lexington Law is still up and running:
- Lexington Law firm’s website functions and promotes its services, enabling individuals to enroll for service.
- Other positive views of Lexington Law have been posted recently on the Internet to substantiate that they are still accepting credit repair clients.
- While the company was associated with Progrexion, Lexington Law still seems to be active and listed on their consumer service page as a current service.
Therefore, as per our analysis, it can be said that the speculations involving Lexington Law’s shutdown or bankruptcy seem to be baseless. They may have had some financial and legal issues in the past but it continues to exist as one of the leading credit repair companies in America today.
Lexington Law's Background
The history of Lexington Law can be traced back to the year 1991 when credit repair experts Kevin Jones and Eric Kamerath founded this company in Salt Lake City, Utah. Jones possessed credit experience and credit bureau employment, while Kamerath offered financial and technological insights.
They specifically concentrated on credit repair services, in which clients received help to correct mistakes and other discrepancies in their credit reports. This could help their score rise to where it needed to be to secure loans, credit cards, better interest rates, insurance, cell phone contracts, and the rest.
The Lexington Law firm focused on advertising with appealing TV and radio commercials that stated it was there to assist the American consumer, which led to fast growth, especially in the 2000s when credit issues were high due to the Great Recession.
They developed over the years to extend to a national level and are currently claiming to have served over 500,000 clients and with over 1000 employees. By doing so, Lexington Law became the credit repair agency of choice with the most brand recognition or visibility.
By asking the question Why did questions arise about them closing? the implication is that at some point there was a need to ask whether they were planning on closing down.
While Lexington Law never did close down, there are some reasons why rumors have circulated claiming that it went under:
1. Lawsuits and Regulatory Issues
Reflecting on the lawsuits against Lexington Law, it has ever been accused of violating consumer’s rights by the Consumer Financial Protection Bureau and deception by some district attorneys of some states. They’ve been used in civil lawsuits and have had to make multimillion-dollar payouts in the past and injunctions filed against some of their business practices.
However, certain legal and regulatory issues were still present throughout the operations of Lexington Law, but they were never barriers to the firm from being able to take on and cater to new clients. However, the lawsuits may have led to some of the people fabricating others as going bankrupt.
2. Reduction in Advertising
Lexington Law accumulated massive brand awareness over the years due to its very abrasive and highly intensive marketing strategies on television, radio, mailings, and more. However, in the recent past, they have been very economical in the amount of money they use to finance the advertisement.
Some viewers never heard the words “I’m John, call me!” over and over again on daytime and late-night TV and probably thought that Lexington Law was going out of business and shutting its operation. In other cases, they withdraw advertising while still providing services – it was a business decision.
3. Confusion With CreditRepair.com Shutdown
When another credit repair company called CreditRepair.com shut down some of its branches in 2020, some consumers seemingly thought this was Lexington Law and went around saying that this company too had shut down its operations. This appears particularly reasonable since Lexington Law and CreditRepair.com appear to be very similar and most probably the competitors.
Although CreditRepair.com did close its service and filed for bankruptcy, Lexington Law is still operational with no imminent intention of closing down.
Today in 2024: Lexington Law
This is an oddity we can observe in that Lexington Law still exists to the present day and does not appear to be closing down its business. From the information on the website this company now has over 1,300 employees to cater to the growing demand of clients and has hired attorneys across the country to ensure that the company continues to serve new clients.
Currently, they say that the company has assisted more than 500000 Americans to fix their credit status, and has corrected over 70 million disputes since the year 1991. They ask to fix errors for an average of £6 months.
Today, Lexington Law focuses on three steps to increase credit score: Dispute negative information that is incorrect, check and correct errors on clients’ profiles and offer tips on how to establish good credit. They get monthly charges of at least $99 and a maximum of $150 as the ongoing charges besides initial costs.
Although it is clear that Lexington Law has experienced numerous legal and advertising issues throughout more than 30 years, the company has remained one of the leading known credit repair companies in America. Therefore, to answer the question clearly, Lexington Law did not go out of business, although certain rumors might indicate the contrary and there were some moments of confusion.
Call now for expert credit repair services: (888) 803-7889
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