Your credit report summarizes the history of your financial behavior. Credit bureaus will sell your credit report information to businesses, who then use it to judge you as a credit risk.
You’ll want to ensure the information recorded is correct. If you have a bad credit record:
- your application for a home, vehicle, business, or student loan might be declined,
- you could be rejected as a candidate for the job you want, or the home you want to rent,
- Lenders charge higher interest rates on credit cards and loans,
- Insurance companies charge higher premiums.
Check your credit report regularly. You have the right to a free copy of your credit report every twelve months from all three credit bureaus: Experian, TransUnion, and Equifax.
How To Dispute Credit Report Errors?
The Fair Credit Reporting Act (FCRA) dictates that all information about your financial transactions submitted to, and recorded by credit bureaus is true and comprehensive. If you identify an error in your report from any of the credit bureaus, the following could help:
1. Order A Fresh Report And Review It For New Errors
If your credit report is older than a few months, ask all three credit bureaus for a copy of your most recent report because new data is added to your record every month.
Check the new report for corrections or new errors. Look out for errors like a misspelled name or incorrect address. These errors could be a sign of a bigger problem where the information of two different consumers gets mixed up into one file (“mixed-file”)
2. Write To The Credit Bureau To Request An Investigation
You can phone each credit bureau to request an investigation, but it is wise to keep written records of all your interactions with them for evidence if you need to take legal action if your dispute fails.
Ask the recipient for written confirmation that they received your submission and file it.
3. Don’t Be Limited By Credit Reporting Agency Dispute Forms
The dispute forms you might receive with your credit report could be generic and limit your opportunity to submit more detail.
Some bureaus provide a platform on their website to submit disputes, but try to avoid them. These online forms can confine your submissions to checkboxes, and there is often no way to save the information you send.
Rather write out your own dispute and keep a copy.
4. Keep A File Of All Communication
Lodging a dispute might be the start of a protracted battle with the credit bureau(s). They might ignore correspondence or fail to give you feedback as promised.
Keep copies of everything you send to the credit bureau, and any proof that they received your correspondence. You should also keep a diary with dates and notes of all telephone calls.
5. File A Notice Of Dispute With Each Credit Bureau
File a Notice of Dispute for every error that you find on your credit report with each credit bureau. Correcting your file with one bureau might not lead to a correction with the other two.
This is critical because you can use the Notice of Dispute to take legal action if your rights under the FCRA are violated.
If the credit bureaus are unable to resolve your dispute, contact the creditor/debt collector/other party responsible for reporting the disputed information.
6. Notify The Creditor/Debt Collector/Other Party of Your Dispute
Send a copy of the Notice of Dispute to the creditor/debt collector/other party using the details provided for them on your credit report.
If no details for the submission of disputes are listed, contact them to ask for the correct details.
If they do not give you information, you can send your letter to any business address recorded for them.
7. Fully Describe The Account(s) In Dispute
The Notice of Dispute should include adequate information about your identity, the account or item being disputed, and the reason for the dispute.
Give a description of the account(s) beyond listing the account number alone. This information could help identify the disputed account, even if the number changes.
8. Submit All Supporting Evidence
Include copies of all documentation and information that can support your Notice of Dispute, including the contact details of any witnesses.
9. Your Dispute Is Supported
If the creditor/debt collector/other party admits the information is incorrect, insist on a letter or statement confirming this and send a copy to the credit bureau.
10. You Concede To A Debt
If you are willing to pay part or all of a negative debt that appears on your credit report, try to get a written agreement from the debt collector or creditor to delete the negative information from your record.
11. Your Dispute Is Unresolved Or Rejected
If you still cannot get an error fixed after sending disputes to the credit bureaus, creditors, debt collectors, or other parties; consider hiring a lawyer experienced in handling FCRA cases on behalf of consumers.
The FCRA is a complicated law full of the pitfalls for inexperienced practitioners. We can help you. Make use of our free case review service now.
Bottom Line
If you find any errors on your credit report, dispute the information immediately. The information will remain on your credit report and could cause harm.
Use our free case review service so we can provide guidance and advice on the recourse options available to you. During the consultation we can outline the requirements for prosecution and approximate the prospect of success of your case.
