How to Fix Errors on a Credit Report
Posted on May 10th, 2009 by Elaine
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Whether you’re applying for a credit card, a mortgage, a loan or even for a job, your credit report is a very important factor on whether you get approved or not. Sometimes, though, you’ll realize that there’s a certain error in your credit report. It’s frustrating, but you can fix it. You just need a bit of patience.
What You’ll Need:
- Copies of your credit report
- Access to statements (the most recent ones) from your accounts
- Patience
Procedure:
- Get a copy of your credit report from one of the big credit reporting companies: Experian, Equifax or TransUnion. The Fair Credit Reporting Act states that every person is entitled to one free copy every year, from each of these three agencies. Go to annualcreditreport.com and obtain your copy.
- Review your credit report and the error. Go over it a few times, to make sure you’ve caught all the errors. Review all the details, including information about your bankruptcy, debts and payments history and demographic information. Read everything, word for word, checking that all information is accurate. When you spot an errors, figure out where it came from and how it ended there. Even if it’s just one tiny error, you have to fix it.
- Once you’ve spotted the error, you now have to communicate and coordinate with the credit agency. Call or send a letter to the consumer reporting company which gave the credit report that contained the error. If the error appears on all three reports, you have to call or write to each one of them. Explain the problem and listen intently as they tell you how to fix it. Take note of the instructions they give and follow it.
- Oftentimes, the credit agency is not able to remove the error on the report. You now have to call up the creditor. Ask for contact information, and keep notes, writing down the representative’s extension and name. Oftentimes, you’ll need to follow up with a letter, especially if the error concerns a payoff.
- Wait 30 days for them to respond. By this time, the error should be gone, and changed with the right information. All three credit reporting companies should also change the information. After a few weeks, get new copies of your credit report.
- It’s a good idea to sign up for a credit monitoring service that allows you to access the three reports monthly. When you see an error, you can call the credit agency again and have them follow up the error.
Whatever happens, never ignore and let an error stand. The entire process to fix it might be annoying, but the drawbacks and hassle you get from that mistake in the future might be more complicated than you think.
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