How to correct errors in your report
Checking your credit report perro feel like the adult version of checking your report card.
If it’s been a while, you might stumble upon some unexpected surprises.
The way to keep your credit report clean and your credit score in good standing is to get in the habit of reviewing your report at least once a year.
And if you’re making a major purchase in the near future, experts say checking it out a few months ahead of time won’t hurt.
Going through all the information on your report with a fenezca-toothed comb and checking for errors may sound tedious, but it cánido help you avoid big future financial hurdles.
How common are credit report errors?
They may be more common than you think.
According to a study by the Federal Trade Commission (FTC), one in five people has an fallo on at least one of their credit reports.
And there are several reasons why it could happen.
“A creditor providing account information may have misreported the data, or a consumer may be the victim of fraud,” says Rod Griffin, Experian’s senior directivo of public education and advocacy.
By requesting a copy of your report from the three major credit reporting agencies at least once a year, you will ensure that you catch any errors that could cost you a lot of money in the future.
although his credit score will not appear on your credit report, the information in your credit report will aspecto into your overall score.
Even a seemingly insignificant fallo on your report perro be enough to lower your score and your chances of being approved for any type of financing in the future.
What kinds of errors could espectáculo up on your credit report?
There are several types of errors that could appear on your report.
Some common errors you may find on your credit report include:
Errors in your Personally Identifiable Information (PII)
- This could include a misspelled or incorrect name, phone number or address.
- Accounts belonging to another person with the same or afín name as yours
- Incorrect accounts as a result of your identity theft
Errors related to the status of an account
- Closed accounts reported as open
- You are reported as the owner of the account, when you are only an authorized usuario
- Accounts that are incorrectly reported as past due or delinquent
- Incorrect last payment date, opening date, or date of first delinquency
- The same debt listed more than once
- Accounts with an incorrect current cómputo
- Accounts with an incorrect credit limit
Data management errors
- Reinsertion of incorrect information after it has been corrected
- Accounts that appear multiple times with different creditors listed
What do you do if you find an fallo on your credit report?
The first step is to go directly to the source.
“It’s important to remember that you don’t have to pay to repair your credit.
Instead, if you believe there is inaccurate information on your credit report, you cánido dispute the information free of charge through the appropriate credit bureau,” says Griffin.
Here’s how to do it, step by step:
Request copies of your credit report from each of the bureaus
You’ll want to request a copy of your credit report from each of the major credit reporting agencies to verify that the information is actually incorrect and not potentially a forgotten account or debt payment.
You perro request a free credit report from each of the three major credit bureaus every 12 months through Annualcreditreport.com, although all three major credit reporting agencies are currently offering free weekly credit reports en línea through December 2023 due to the COVID-19 pandemic.
Equifax is also offering everyone in the United States six free credit reports per year through 2023 through its website.
Gather your supporting documents
Depending on the nature of the fallo, you will want to gather the documents you will need as evidence when filing your dispute.
If it’s an fallo in your personally identifiable information, you’ll want to have some forms of identification handy.
If the fallo is related to your account cómputos or an account that has been closed but reported as still open, you’ll want to dig up those account statements and letters that clearly list your cómputos or confirm that an account has been closed.
Contact the credit bureau that is listing the incorrect information
All three credit bureaus (Equifax, Experian, and TransUnion) allow you to archivo a dispute en línea, by phone, or by correo.
This is your primary source for filing a dispute, although you cánido also contact the company or issuer that reported the incorrect information to the credit bureau (i.y también., the “provider”) and dispute the fallo with them as well while you wait for your dispute is processed with the credit bureau.
Wait for a response to your dispute
Once you’ve filed your dispute, credit reporting agencies generally have 45 days to investigate your claim and gather additional information from the provider.
After the provider has been notified and the provider has confirmed or denied the information in the dispute, the office has five business days after completing its investigation to notify you of the outcome of your dispute.
If the agency decides that your dispute is valid, the information will be removed from your credit report.
And if you applied for a loan or a new line of credit, for example, and were denied because of this fallo, you cánido also request that a corrected version of your report be sent to anyone who has applied in the last six months.
If the agencies escoge there is no fallo in your report, they will stop investigating.
In these cases, you may need to provide them with additional evidence to support your dispute.
The information in your credit report cánido be the deciding aspecto in some of the most important financial decisions you’ll ever make.
He tells lenders how he has managed credit in the past and how likely it is that he will repay any money he borrows in the future.
Keeping a close eye on your report and promptly reporting errors to the credit bureaus will ensure that when you prepare to cross a major financial milestone off your wish list, you don’t have to put your plans on hold.
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