Your credit scores play a big role in your life and your ability to borrow money for large purchases at the lowest possible interest rate. Credit scores can determine whether you can purchase a car or a house at low interest rates or high interest rates. So what can you do about managing your credit scores? Get a copy of your credit report and fix any errors you find.
Disputing credit errors may not be a fun thing to do but it is very important to managing your financial health. Why? Because banks use consumer credit history to determine your eligibility for a loan and to determine what interest rates they will charge you. If you think you might be applying for a loan, it would be best to monitor your credit scores.
Finding Mistakes On Your Credit Report
Murphy’s law states that “anything that can go wrong, will go wrong.” This is especially true with credit reports. Experian, one of the three main credit bureaus, stores 65 trillion bytes of data. Mistakes are bound to happen. Consumers should remember that inaccuracies found in your credit report can significantly lower your credit score. Raising your credit scores depends on getting these mistakes corrected. Remember that disputing errors is free to you.
You will need to get a copy of your credit report from three credit bureaus: Equifax, Experian, and TransUnion. You should print a copy of these reports and go through each of them very carefully. If you find mistakes, highlight the data in question. It is important that you ask the credit bureaus to make corrections for you. Write down the credit report number for each of your reports. You will need to reference that number when communicating with the bureaus.
Once you have gone through all three credit reports, write an explanatory letter for each credit bureau. Your written request is generally called a dispute letter. Explain each disputed item clearly and concisely. Send in your dispute letter with a copy of your credit report via certified mail, call them or use an online form. Meanwhile, you can contact all lending institutions such as banks and credit card companies to tell them that your credit report is undergoing an investigation and that you have filed a dispute for erroneous information.
Contact Information For The Three Credit Bureaus
Equifax Mailing Address
P.O. Box 740241
Atlanta, GA 30374-0241
1-888-202-4025
TransUnion Mailing Address
2 Baldwin Place
P.O. Box 2000
Chester, PA 19022
1-800-916-8800
Experian Mailing Address
P.O. Box 2104
Allen, TX 75013-2104
1-888-397-3742
What The Bureaus Do
Once the bureaus have gone through your files, they have 30 days to respond to your request. They will send you a letter containing the results of the investigation along with a note that they will remove or erase the inaccurate information in your credit report.
Once that is done, you can also request the bureau to mail correction notices to banks and lending companies they have sent the report to in the last 6 months. If you ask, they can also sent it to places that have requested your credit report in the last two years. The credit bureaus should send you a copy of your report and they should include the details of the revised information.
In instances where the dispute has not yet been resolved, you can request the bureau to update you on the status of your request. Consumers must remember they cannot remove erroneous information on their own. A dispute must be filed for an investigation to happen.
Recommended Reading
For further information about credit management, you can visit the Federal Trade Commission site where you will find consumer information about credit and loans.
Experian provides the latest >credit analysis news from 90 countries around the world. You’ll find out bits of information like New Yorkers have the most open credit cards and Phoenix has the least.
If you want to limit the credit card offers you receive through the mail, call 1-888-567-8688.
Strengthen your financial well being by educating yourself about managing your credit and making smart financial decisions.