Did you know that errors on your credit report could lower your credit score, making it challenging to apply for a new line of credit? Unfortunately, credit report errors are more common than you think. In fact, over a third of consumers found at least one error on their credit report, according to a recent Consumer Reports Study.
But, if you do spot an error on your credit report, all is not lost. Let’s explore what you should do if you find an error on your credit report, including how to file a dispute and how to improve your chances for a favorable outcome.
WHAT ARE SOME COMMON ERRORS ON CREDIT REPORTS?
Any error found on your credit report could end up harming your credit, which can make it difficult to qualify for favorable interest rates or open a new credit card. Reviewing your credit report annually can help you spot inaccurate information. Some common errors to look for include:
- Incorrect name, address, or phone number
- Accounts belonging to others with similar names
- An account opened under your name after your ID was stolen
- Closed accounts that are reported as open
- A listing of you as the owner of an account where you’re an authorized user
- Up-to-date accounts reported as delinquent
- Duplicate debt or credit card accounts
- Incorrect balance amounts
- Incorrect credit limits
- Payment dates, open dates, or delinquent dates reported incorrectly
Keep in mind, you can get a free copy of your credit report every year from Annual Credit Report.com.
HOW DO I DISPUTE AN ERROR ON MY CREDIT REPORT?
If you spot inaccurate information on your credit report, you want to first reach out to the credit bureau—Experian, Equifax, and/or Transunion. You must explain what the error is and why it’s not correct in writing. You should also include documentation that backs up your dispute.
EQUIFAX
- File a dispute online
- To dispute via mail, download the dispute form and mail to: Equifax Information Services LLC, P.O. Box 740256, Atlanta, GA 30348
- File a dispute via phone using the number on the credit report or (866) 349-5191
EXPERIAN
- File a dispute online
- To dispute via mail, follow the instructions for writing a letter and send it to the address provided on your credit report or to: Experian, P.O. Box 4500, Allen, TX 75013
- File a dispute via phone using the number on the credit report or (888) 397-3742
TRANSUNION
- File a dispute online
- To dispute via mail, download the dispute form and send to: TransUnion LLC, P.O. Box 2000, Chester, PA 19016
- File a dispute via phone using the number on the credit report or (800) 916-8800
Keep in mind, if you chose to file a dispute via mail, you will need to include your contact information, clearly define the error, explain the reason for the dispute, enclose a copy of this portion of your credit report (circle or highlight relevant error information), and request the error to be removed. It’s wise to send the letter via certified mail so you have a paper trail for the communication.
WHAT HAPPENS AFTER I DISPUTE AN ERROR ON MY CREDIT REPORT?
Once you dispute an error on your credit report, the credit bureau you reported it to has 30 days to investigate it. If your dispute is deemed to be irrelevant, the investigation will not continue and you will receive a notification within five days that states this determination.
If your dispute is found to be relevant, the credit bureau will forward all the information you submitted to the business that reported the information. From there, the business must investigate and report the results back to the credit bureau.
If the business discovers they reported inaccurate information, they must notify all three nationwide credit bureaus so the information in your file can be corrected. You can request the credit bureau to send notices of the correction(s) to anyone who received your report in the past six months. Additionally, at your request, notice of the correction can be sent to anyone who received a copy of your credit report for employment purposes over the past two years.
CAN I DO ANYTHING TO IMPROVE MY CHANCES OF THE CREDIT REPORT ERROR BEING FIXED?
Here are a few things you can do to improve your chances of getting the error fixed on your credit report:
- Act immediately after you spot the error
- Include all pertinent information in the dispute
- Provide documentation to support your dispute
- Keep records of all communication between you and the credit bureau(s)
If by chance the investigation doesn’t fix the issue on your credit report, you can request a statement of the dispute to be filed in future reports. By doing so, you will have a record of the dispute on file.
