Tips on Contesting Errors in Your Credit Report

Tips on Contesting Errors in Your Credit Report

Credit reports may have errors as was found in a 2012 study which showed that 25% of American consumers had picked out issues in their reports. Furthermore, the study showed that one in every five consumers had errors in their reports corrected after disputing.

So, how can go about asking credit bureaus or other entities to correct errors on your report? Here are steps you can follow:

Contact the credit bureau

After having identified any issue in your credit report, you should communicate with the credit bureau that has issued the report. The three main credit bureaus – TransUnion, Equifax, and Experian – have well-defined mechanisms of complaining through mail or online.

You need to clearly state what the error is and attach supporting documents. Make sure that you include your contact information. You also need to keep copies of the dispute documents.

Decide to communicate with the furnisher

Furnishers are the entities that avail information to the credit bureau and include banks, credit card issuers, and others. You can get in touch with furnishers to request them to rectify the error before contacting the credit bureau. However, some errors such as those related to identity require you to contact the credit bureau as the first thing. Such errors originate from the bureau, so they will sort them out without reaching out to the furnishers. You should also get in touch with other major bureaus just in case the same error reflects on their reports, too.

You need to rectify errors in your reports by disputing them to avoid your credit score dropping. But if your score is already poor, you can employ various methods to improve it. One of the best methods is to buy tradelines from reliable solution providers. To get such services, click site to get in touch with a leading service provider.

Allow the credit bureau or furnisher time to investigate

Depending on where you launched your dispute – the credit bureau or furnisher – they have 30 days to investigate and verify the information, for example, the bureaus will verify with furnishers. On completing the investigation, they have five days to give you their findings. The furnishers can maintain the information as it is or not change it if they consider it accurate. Both the bureaus and furnishers may also declare your dispute “frivolous” in which case they do not have to investigate. This happens if you submit a dispute without complete information or have disputed the same thing several times without any extra information, or if you allege that things on your report are incorrect but you do not give any proof. If your dispute is declared frivolous, the investigating entity needs to inform you of this within five days and give their reasons for terming it. You can resubmit such a dispute with additional information.

Review the investigation outcome

The bureau has to avail to your results of the investigation and a free copy of your credit report if the rectification of the error changes your report. They also have to give you the name and contact information of the furnisher of the incorrect information. Where the dispute was done with the furnisher and they continue to report the disputed item, they must inform the bureau of your dispute. When the furnisher agrees with the disputed item, they have to inform the bureau to delete or update the particular issue. The furnisher must also inform other bureaus with whom it shares the report with to correct it. In the event that the furnisher insists that the information you are disputing has no error, you could request your bureau to include a line in your report touching on the dispute.

Confirm updates in your report

The change of information on your report may take some time depending on the bureau’s cycle of updating and how fast the furnisher passes the information to the bureau. If there is no update in your report after several months, contact the bureau and furnisher to be sure that they are sharing your account details to the bureaus or parties concerned.

Final thought

Although the dispute process can be long and tiring, it is worth your effort because it can improve your score and open doors for financial resources. Follow the processes and see things improve.

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