How to Dispute Your Credit Score - Consumer Credit Counseling

Whenever you find inaccuracies in your free annual credit report, take time to dispute the information and work to get it corrected on your credit report. Fair Credit Reporting Act protects you when you take the initiative to dispute the information.

Act necessitates that when some one dispute the information, all credit reporting agencies have to respond with an investigation of your creditors. No credit reporting agency is exception to this.

In case, if any information disputed is found to be inaccurate, it will either correct within thirty days or removed from your credit report. The onus of showing the proof is lying with the creditor. If the proof is not forthcoming that their information is correct, it will be seen and considered as inaccurate. The inaccurate information has to be corrected.

What Might Need to be looked and Disputed?

Look out for the following common areas that mistakes are generally found in credit report:

Inaccurate details- Inaccuracies can come in any place. You may not agree with the dates, the amounts, the reported late payments etc. That is why one needs to maintain the backup information so that one can really cross check. In finances, the records speak everything. Any back up information like cancelled checks or statements that show when the checks were cashed will help you in more than one way to be able to get the late notation removed.

Old, outdated information- on your credit report, negative account information can only be reported for seven years after the first delinquency; except Chapter 7 bankruptcy.

Fraudulent Accounts- You may be victim of identity theft. Look carefully for accounts appearing on your credit report that you didn't open. Definitely look out for such accounts. Alternatively, someone with a name similar to yours has been mixed up with your information. In all cases, be careful.

Filing a Credit Dispute:

Once you find some information is disputable, by all means file a credit dispute. You should file your dispute in writing by mailing a letter to the credit reporting agency or using their online form for filing disputes.

30 days are provided to the credit reporting agency by the "The Fair Credit Report Act" to investigate the dispute claim and come to a conclusion on the situation. Once the decision is taken, you will receive the written results and if any changes have been made, a free copy of your credit report

Make a photo copy of your credit report, enclose and mail it with your letter as this is the best way to file a dispute. For making their life easier and making the case systematic, circle the dispute on the credit report and number it. In your letter, reference each number for each piece of information you dispute with the reasons on why you are disputing it. The complete details you provide the better it would be for you as it helps faster processing. For fast processing, be sure to include your full name and mailing address, date of birth, social security number, name of creditor and the account number of the item you are disputing. Don't forget to sign as there would be no validity without a signature.

Alternative Options for Dispute

Alternatives still exist. Instead of contacting the credit reporting agency, contact the creditor directly. The FCRA states that the disputed information need to be reported by the creditor to the credit reporting agency, including a note that you are disputing the information if you contact a creditor and indicate that they have reported information incorrectly to your credit report. In any case, if the information is found to be inaccurate or an error, it must be corrected on your report or removed.

What are the alternatives if the Dispute Doesn't Result in a Settlement?

Higher authorities also exist. A coupla options exist.

Don't assume that it is always simple and easy to get a settlement on your dispute. After following the dispute process and the results are unsatisfactory to you, you can then file a dispute with the National Consumer Assistance Center. Having the case reinvestigated may or may not have you the item deleted off your credit report. It still requires you to have documentary evidence to have the credit bureaus scratch out any information. You may find the disputed information may reappear due to the instance of the creditor, unfortunately, even if you are successful in having items removed from your credit report.

If you believe the credit bureau has violated the FCRA, contacting your Attorney General's Office is the last option. You are able to sue the creditor / credit bureau in either the state or federal court. Should you win, all of your attorney fees and damages would eventually be reimbursed to you.