How to fix errors on your credit report

Two Ways to Fix Your Credit Report

The most effective ways to fix your credit report is to attack it from two directions:

1. Correct the issue with the credit reporting agencies.

2. Fix the issue at its source: the creditor who provided the incorrect report.

Correcting Information with Credit Reporting Agencies

To correct information with credit reporting agencies, you need to understand how these agencies work and what information they store.

First, you need to find out what is wrong. If you haven’t seen a recent copy of your credit report, get a free government credit report and see exactly what it says. You are entitled to at least one free credit report every year.

Next, gather evidence that shows the credit agency needs to make changes. You will need to make copies of relevant documents. You may have to repeat these steps several times and don’t want to dispose of any assets.

Send a letter containing all the documents and instructions on how to fix your credit report. The letter should include the following:

• Your full name, address, date of birth, and social security number.
• Any previous names or addresses you used during the disputed period.
• The name of the creditor and details of the disputed account (account number, date opened, etc.).
• Specific instructions on what is incorrect and how you would like your credit report updated.
• Notes and references to the attached documents.

Mail the letter via certified USPS mail or through a shipping company (like UPS or FedEx). The credit reporting agency must investigate legitimate claims to fix your credit report, usually within 30 days, and they will notify you of the results afterward. The FTC has a letter template on its website.

As a precautionary measure, it’s also a good idea to fix errors on your credit report with the creditor who provided the report. Send the same information you sent to the credit reporting agency. After a few weeks, call and ask about the actions they have taken. Fixing the issue at the source will ensure the problem does not recur in the future.

Even if you lost the documents to prove your case, you may still have a chance to fix your credit report. The credit reporting agency will have to investigate your claim if you have disputed finding a report on your report.

Why You Might Need to Fix Your Credit Report

There are many reasons you might need to fix your credit report. Some common reasons include:

• Administrative errors in recording payments with one of your creditors.
• Credit issues from your ex-spouse still linked to you.
• Social security numbers were swapped with someone else, tying bad debts to you.

You may also be a victim of identity theft, and not everything has been cleaned up from that breach. Unfortunately, while fixing your credit report, you may need to build credit to increase your attractiveness to creditors.

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Sources:

• Federal Trade Commission. “Disputing Errors on Credit Reports.”
• Federal Trade Commission. “Fair Credit Reporting Act,” Page 59.

Source: https://www.thebalancemoney.com/how-to-fix-errors-in-your-credit-report-315553