You should dispute a credit report when there is anything inaccurate, misleading or unfair that may lead you to beging a poor credit risk in the eyes of any credit provision service. In the long run, by disputing your report, you can improve your overall chances of getting better and cheaper access to such services, including home loans and credit cards.
To get started, you will need to get your hands on a copy of your credit report. That is pretty easy as all of the three major consumer reporting companies are required by law to provide you with a free credit report each year, if you ask for it. You can even contact them online or you can use a credit reporting company to get a combined report on your behalf.
Once you have your credit report, you will need to assess which of the items on it you can dispute. You will need to identify each and every item that is either inaccurate or misleading. Each of these items gives you a chance to improve your overall credit score, item by item.
Once you have that sorted, you need to write to the consumer reporting company that was responsible for reporting those specific items. You will need to clearly state why you are disputing each item and you will also need to provide documentary proof of your claims, if applicable. State this all in an easy to read list in order to masmize your chances of a postive result.
Once you have written to the relevant consumer reporting company they will investigate each claim you have made and make adjustments to your credit report. They are legally required to do this (as long as your claim is not considered frivolous).
Lastly you will receive an updated version of your credit report which you will need to check again. Many of the items you disputed should be changed, but it also gives you a chance to start the process again.
As you can see the process of disputing a credit report is not that difficult, but it is very time consuming and boring. Many people choose to take on the services of a credit reporting company, many of who have very reasonable rates and some of who guarantee results with a standard money back guarantee.
This will save you a lot of time and hopefully money in the long run. These companies will also know exactly which of the items on your credit report have the greatest chance of being changed by a dispute (it's probably more than you think!)
They are usually well worth checking out!
How To Dispute A Credit Report
Each credit bureaus has their own procedure for consumers to dispute their credit report. However, in general, it can be broken down into six steps
Step 1 - Get Your Credit Report
You order your credit report from all of the credit bureaus. Review them and list down the incorrect or incomplete information.
Step 2 - Submit A Dispute Request
You submit your dispute request via email, telephone or using the online form provided by the credit bureaus.
Step 3 - Credit Bureaus Investigate
Upon receiving your request, the credit bureau will investigate your dispute by contacting the creditors involved.
Step 4 - Creditors Investigate and Respond To Credit Bureaus
The creditors will investigate to see if the dispute is valid. They will then respond to the credit bureaus with the results their investigation.
Step 5 - Credit Bureaus Update Their File
If the creditors confirm that disputes are valid, the credit bureaus will update their database with the correct information.
Step 6 - Credit Bureaus Notify You
Within 30 to 45 days, depending on how complex your dispute is, you will receive a notification about the result of your dispute. IF there are changes to your credit report, an updated copy will be send to you at no extra charge.
If you are disputing the records in your free annual credit report, the turnaround time will be 45 days.
For faster result, you can also contact the creditors directly to dispute the records in your credit reports. In this case, you can skip step 2 and 3. However, if you have no experience or are not confident in dealing with creditors directly, it is better to leave the job to the credit bureaus.
Once you receive the updated credit reports from the credit bureau, make sure you examine them carefully to make sure the incorrect information has been removed. In the event the information you dispute has been re verify as correct, you can request the credit bureaus to shown the record as disputed. If you want, you can also add a statement to explain the dispute.
As the credit reports contain vital information that affects your financial health, you should not hesitate to dispute any records that you know to be incorrect, especially if you have the evidence to prove your claim. Your credit score will likely get a significant boost once you are done fixing those inaccuracies in your credit reports.
Both John Mcfadden & Stephen Chua are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Stephen Chua has sinced written about articles on various topics from Free Credit Report Score, Credit Cards and Mortgage. If you want to know more about credit reports and how to fix your credit score, check out this credit improvement resource at NetCreditGuides.com. For more useful cre. Stephen Chua's top article generates over 60500 views. Bookmark Stephen Chua to your Favourites.
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