Having a credit dispute is like pulling your own teeth. Not pleasant at all.
However, if you have a dispute with an error on your credit report, the first step is to figure out what the error is. Amazingly, most people do not know that they are entitled to dispute errors on their credit reports.
In a recent study, researchers found that people who disputed errors on their credit report had a higher chance of having their dispute resolved than those who didn’t.
Here’s news you can use.
The Fair Credit Reporting Act
The Fair Credit Reporting Act (FCRA) governs how a consumer’s credit report is obtained, compiled, and used in the financial services industry. When there is a dispute on your credit report, the act requires that it be corrected immediately so that you know about any errors.
The first step is to contact the credit bureaus and let them know that you have questions about your credit report. If they are unable to answer your questions, file a dispute with the Consumer Financial Protection Bureau (CFPB).
The Consumer Financial Protection Bureau will investigate your claim and send you a letter if they need more information for their investigation, or if they’re unable to resolve the issue.
In more serious cases, you’ll also have the right to request a hearing with the Bureau’s administrative law judge.
Identity theft has also become a huge issue. Identity theft can lead to someone using your identity to obtain money from your credit cards or to get loans in your name just to name a couple of awful scenarios.
If you are a victim of identity theft or someone has opened fraudulent accounts in your name, remember to contact the three major credit bureaus – Equifax, Experian and TransUnion.
Also file a dispute against these accounts as soon as possible. Notify each bureau of the error in writing or contact each bureau’s fraud department.
If you want more information, please reach out.
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