Credit reports are a general and personal record of your history with debt, how you manage it and your overall creditworthiness. You can also get an annual copy of your credit report to make sure that your information is accurate and up-to-date. But did you know that you have a number of rights when it comes to the information in your credit report? If there is any inaccuracy on your report, here’s what you need to know about getting it fixed.
The causes of errors on your credit report
There are many reasons why an error on your credit report might exist. Many of them are harmless, such as typos and errors in data entry that can be fixed with a quick phone call to the lender or credit bureau. Other errors, however, can have more serious consequences.
For example, if you open a new account and don’t pay it off in full, that may show up on your credit report and make you appear to be a risky borrower. Or if you’re late returning a rental car and it shows up as an unpaid bill on your report, that could hurt your score over time. The best way to fix these kinds of errors is to contact the creditor or the credit bureau directly via phone or email.
How to fix an error on your credit report
The first thing to do if there is an error in your credit report is to ask for a detailed explanation of the information. Ask your bank or the credit bureau if they have any additional information. Once you understand what the error means, you’ll be able to decide how important it is to you and whether or not it’s worth fixing.
If you determine that you need to fix an error on your credit report, you can either file a dispute with the credit bureau or request a correction directly from them. Alternatively, you can use a credit repair service to speed up the process and make sure that the error is fixed without any action on your end. Regardless, you should take any steps necessary to correct errors in your report as soon as possible because if you don’t, there may be consequences down the line; like being denied loans, being charged a higher interest rate, or even missing out on potential career opportunities .
What are the rights that you have when it comes to your credit report?
You have the right to know what information is in your credit report. You can ask for a copy of your credit report and you will be notified when changes are made. You also have the right to dispute inaccurate or incomplete information and you can ask for a free credit report review within 60 days of your request.
If anything on your credit report is incorrect, you can contact the three major credit bureaus: Equifax, TransUnion, and Experian. They will investigate the issue and make sure that it’s corrected immediately. The process of making corrections should take no more than 30 days from when it was originally submitted by you. Finally, if something on your credit report is affecting your finances or employment status, you have the right to submit a complaint with the Consumer Financial Protection Bureau (CFPB).
Tips for checking your credit score
If you want to check your credit score, there are a few ways you can do so. You can check for free on Annualcreditreport.com or use a credit monitoring service. You can also compare your credit score and see where it falls in the overall national average. If it seems off based on your perceived credit history, then this may be a result of an error.
If you have an error on your credit report, the first step is to contact the company that provided that information and make them aware of the mistake they made. If they don’t correct their mistake, then you’ll need to contact the three nationwide consumer reporting agencies: Experian, Equifax, and TransUnion.
Conclusion
If you believe that you have been the victim of identity theft, you may be able to report these errors to the credit bureaus and get them fixed. But before you contact the bureaus, it’s important to know what the causes of these errors are, how to fix them and what your rights are concerning your credit report.
