RESTORE YOUR CREDIT
REPORT YOURSELF
(with sample dispute letter)
It is hard to believe but credibly reported that over 80% of credit reports -- perhaps including yours and mine -- maintained by the three major Credit Bureaux contain inaccurate information. Inaccurate information that could and does have a detrimental effect on the lives of many people. That is a shocking figure and a shocking indictment of the laxity with which these figures are being maintained by these bureaux
It was these wholesale inaccuracies and the financial crises they caused to largely innocent people that gave rise to the Fair Credit Reporting Act (FCRA). First passed in 1970 and updated in 2002 this law was enacted mainly to protect consumers from such abuse.
If you need to make a major purchase -- a house or a car for instance -- then you had better make sure of what is in your credit report or you might have some difficulty getting what you want.
Remember when Experian was known as TRW -- The Report's Wrong? The name may have changed but little else has.
So what's in the FCRA for you? Quite a lot. It gives you the right to challenge the validity of the information that may be in your credit file. Thus, if you run into financial trouble and are unable to figure out why, or have reason to believe that your credit rating is not as it should be then you should suspect this rating first of all. Under the F.C.R.A you have the legal right to challenge or dispute the accuracy of this information.
The F.C.R.A. states that any information contained in your report must be 100% accurate and verifiable or it must be deleted, expunged completely. Before we cast blame and aspersions on the Credit Bureaux however, you must remember that there are millions of reports in the various bureaux constantly being updated. That being the case mistakes can easily occur and '100% accurate and verifiable' would be a very difficult target to achieve.
Think about that statement for a moment "100% accurate and verifiable". When you consider the fact that each bureau contains 10's of millions of reports that are constantly being updated and altered, you begin to see the extent of the task and how easy it is for mistakes to occur. Factor in human error and the problem becomes enormous. So checking your report becomes even more vital.
The good news though is that if you do find negative material you can dispute it and have it removed -- with all the might of the law behind you. Indeed, if an item in the report cannot be verified within 30 days then it must be deleted from the file.
By taking advantage of this inherent flaw in the system then your financial situation will take a dramatic turn for the better. You can either get an attorney to do this or do it yourself. It is not particularly difficult but it does require persistence. But there is every chance of success as in a very great majority of cases the bureaux are actually unable to verify the errors that are pointed out.
Under the Free File Disclosure Rule of the Fair and Accurate Credit Transactions Act (FACT Act), each of the nationwide consumer reporting companies — Equifax, Experian, and TransUnion — is required to provide you with a free copy of your credit report once every 12 months, if you ask for it.
So -- get a copy of your report and make a start on the process of becoming financially viable once more.
The three nationwide consumer reporting companies are using one website, one toll-free telephone number, and one mailing address for consumers to order their free annual report. To order, click on www.annualcreditreport.com, call 1-877-322-8228. Do not contact them individually. You may order your free annual reports from each of them at the same time, or you can order from only one or two. The law allows you to order one free copy from each company every 12 months.
If you find inaccuracies in your report then write to them using the letter below
Sample Dispute Letter
Date
Your Name
Your Address
Your City, State, Zip Code
Complaint Department
Name of Company
Address
City, State, Zip Code
Dear Sir or Madam:
I am writing to dispute the following information in my file. The items I dispute also are encircled on the attached copy of the report I received.
This item (identify item(s) disputed by name of source, such as creditors or tax court, and identify type of item, such as credit account, judgment, etc.) is (inaccurate or incomplete) because (describe what is inaccurate or incomplete and why). I am requesting that the item be deleted (or request another specific change) to correct the information.
Enclosed are copies of (use this sentence if applicable and describe any enclosed documentation, such as payment records, court documents) supporting my position. Please investigate this (these) matter(s) and (delete or correct) the disputed item(s) as soon as possible.
Sincerely,
Your name
Enclosures: (List what you are enclosing)
And that should do the trick but keep your fingers crossed!
home
You may think you're badly off but lots of others are far worse. Help them out. Every time you click on The Hungersite you send a cupful of food to hungry kids in the 3rd world. Do it a couple times a day. You'll feel good.
