There are a lot of companies that want to help you get out of your credit troubles. It can be so easy to put your faith in something, hopeful once again that you will get everything right side up again. But if you are in a bad debt situation, you should watch out for those looking to take advantage of you.

Credit-related scams account for three of the top four categories of fraud, according to the Federal Trade Commission. Americans fall victim every day to credit scams. Nearly 25 million adults were victims of fraud from May 2002 to May 2003. That is equal to 11.2% of the countrys population.

If youve been there, or you are now, you know how desperate it can feel when you have a large amount of debt. You become increasingly vulnerable.

Here are the top credit scams looking for you:

1. Advance-fee loan and credit card scams

This is the most frequently reported type of consumer fraud. Consumers are promised a guaranteed loan or credit card. Their credit history doesnt matter; bankruptcies are overlooked. The sinker is that they have to pay a large fee to get the card of the loan.

Millions have paid the money only to never receive the loan or credit cards. Many people have fallen for this more than once.

If youve watch TV or listened to the radio, youll notice a lot of ads that target people with tarnished credit ratings. The ads are looking for those who have been turned down by lenders and credit card issuers. Most offers are scams, according to the FTC.

You should never spend money to get a guaranteed credit card. Instead, go to your bank and use the money to get a secured card. The minimum deposits for a secured card range from $100 to $500. The money is kept in an account to pay your bill if you dont.

If you pay the card on time every month, your credit report will reflect this good behavior. In time, youll find that you qualify for a regular credit card with a higher limit. It just takes time, and a good payment history.

2. Credit card insurance

It is a scary thought that someone could steal your identity and charge up tons of credit cards in your name. If you dont have the money or time to clear up such a situation, the idea that it could happen is even more horrifying.

There are companies out there that offer loss protection insurance to credit card owners. I know that personally, Ive had at least a dozen phone calls from such companies. The telemarketer assures you that the policy will protect you from all unauthorized use of your credit cards.

But did you know that they are already protected? Federal law limits the amount you are liable for to $50. You will find that most credit card companies wont charge you anything if your card is misused by someone you are not related to.

3. Credit repair scams

Your credit score dictates most of your life, from how much you pay for a mortgage to your insurance premiums. A low score can cost you thousands of dollars in higher interest rates. It may even mean that you cant find financing when you need it.

Many companies offer a way to raise your credit scores. It sounds great, but most of the time its pure fraud.

If the information on your credit report is true and accurate, there isnt anything or anyone who can get it removed.

Read that sentence again. It will not be removed.

There are several schemes used by so-called credit repair clinics. They may file multiple disputes with the credit reporting agencies to try and get negative items temporarily taken off your report. This rarely works, and if it does, it is only temporary.

Most clinics will charge around $400. You will be much better off just using the money to pay off your bills. The best way to raise your score is to pay your bills on time.

Once you start paying off your bills, dont charge anything else. Dont open any new cards as a reward to yourself. If you simply pay your bills on time, after a year, you will see a difference in your credit score.

Credit scams are looking for those who feel they have no options left. Dont fall for them. Talk with someone you trust at a local bank or financial institution if you have questions. And remember- if it seems too good to be true, it is.