How to Dispute Your Credit Report

Your credit reports play a huge role in your financial life. So it's vital that those reports are accurate. But that's not always the case. Almost half of consumers have errors on their credit reports. More than a quarter found debt-related errors that could do serious credit score damage.

When they impact your credit score, credit reporting errors can impair your ability to buy a car, get a mortgage, rent an apartment, or get a job. They could also affect how much you pay in interest. 

That's why you need to check your credit reports regularly. If you find an error in your credit report, take steps to dispute it right away. 

Freedom Debt Relief isn't a Credit Repair Organization and doesn't provide, or offer services or advice to repair, modify, or improve your credit.

What Are Credit Report Errors?

A credit report error is any information on your credit report that isn't correct. These can range from the weird but benign, such as reversing your hyphenated name, to the credit-score crushers like an unpaid account that belongs to someone else. 

Why are there errors on your credit report?

Credit report errors have many origins. Here are some common types of errors you might find on your credit reports:

• Clerical errors. People inputting data are only human—mistakes happen. A misspelled name, incorrectly reported balance, or even a duplicate account could all show up on your reports from simple human error.

• Mistaken identity. If you have a common surname, you're especially vulnerable to errors on your credit reports. You may wind up with an account on your credit report that has your name on it—but the account really belongs to someone else. For example, if you're one of the nearly 35,000 Michael Smiths in the U.S., it wouldn't be shocking to find an account for a different Michael Smith on your credit report.

• Identity theft. Victims of identity theft are also vulnerable to credit report errors. In fact, such errors could be the very thing that raises a red flag for identity theft. If there are mystery accounts on your credit report or bad debts you’re unaware of, it’s possible the culprits are thieves.

• Old accounts. Negative accounts on your credit report should fall off your reports after seven years (Chapter 7 bankruptcy can last up to 10 years). However, sometimes they mistakenly stick around until you draw attention to the problem.

Which errors can affect your credit?

Some credit report errors, like a past address, don’t affect your creditworthiness. Others can affect your score, such as:

• Identity errors. A misspelled name or other personal information could mean accounts aren't reported correctly.

• Closed accounts reported as open. This can impact your account ages and utilization ratio (which measures how much debt you have versus your available credit).

• Accounts incorrectly listed as late or delinquent. Payment history is the No. 1 factor in your credit score and late accounts could cause serious harm.

• A debt listed more than once. This can also impact your utilization ratio, as well as account age, and‌ payment history if the account isn't current.

• Outdated credit card balance or limit info. A paid-off card showing a balance can increase your utilization and hurt your credit score. Creditors typically report your updated balances once per billing cycle.

Some minor issues, like an incorrect past address, may not hurt your credit score. But it's still a good idea to get all errors corrected, even the ones you think don’t matter. Start by reviewing your credit reports, which you can do for free once a week.

How to get your free credit reports

We often talk about your credit report, singular, but the truth is that you have unique credit reports from each of the consumer credit bureaus. In the U.S., there are three main credit bureaus to know:

• Equifax

• Experian

• TransUnion

These three credit bureaus are independent of each other, and they don't typically share information between them. This means your credit reports could be different depending on the bureau that issues it, so you need to check all three reports regularly.

You’re legally entitled to free copies of your consumer credit reports once a week. You can get them online by visiting AnnualCreditReport.com.

When you receive your reports, carefully go through the line items on each one and make sure the information your creditors have reported to the bureaus is correct. If you find an error on any of your credit reports, there are steps you can take to correct the inaccuracy.

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How to Dispute Your Credit Report Errors

You have the legal right to dispute inaccurate or fraudulent accounts on your credit reports. And thanks to technology, that process is easier and more accessible than ever, since you can do it online.

If an error shows up on multiple credit reports, you'll need to dispute it with each credit bureau individually. This may mean filing three disputes if the error is on all three credit reports.

To dispute your credit report errors online, simply go to the website for each credit bureau:

• Dispute an Equifax error

• Dispute an Experian error

• Dispute a TransUnion error

If you're not comfortable doing it online, you can dispute your credit report error by phone or mail. You'll need to print and fill out a form for each item you want to dispute. Mail that paperwork, plus any required documentation, to the individual credit bureaus. 

Here's how to get in touch with the three credit bureaus by phone or mail:

How to Send a Dispute Letter to the Credit Bureaus

The simplest way to dispute your credit report errors is to do it online. You can also do it by mail. The process will vary a bit depending on the credit bureau involved.

Send any mail to the credit bureaus via certified mail with a return receipt requested so you know that it was received. This will give you proof showing when the dispute was filed.

Dispute your credit report with Equifax or Experian

Equifax and Experian both offer a dispute request form that you can print and fill out. The form will include questions about your personal information, such as your name and Social Security number, plus questions about the items you want to dispute.

Here's what you need to include to dispute your credit report by mail for Equifax or Experian:

• Your completed dispute request form

• Proof of identity (copy of Social Security card, pay stub, W2)

• Proof of address (copy of driver's license, rental agreement, bank statement, utility bill)

• Supporting documentation (proof of error, such as a notice of a closed or paid-off account) 

Dispute your credit report with TransUnion

Disputing an error on your TransUnion credit report is slightly different, but it's still fairly straightforward. Instead of filling out a form, you'll write a simple dispute letter to include with your documentation. 

Here's what to include in your TransUnion dispute letter: 

• Personal Information: Name, date of birth, address, Social Security number

• Name of company that reported the item you’re disputing and the partial account number (from your credit report)

• Reason for your dispute

• Any corrections to your personal information (address, phone number and so on)

Don't forget to include your supporting documents if needed to show proof of the error.

Tips for successfully disputing your credit report errors

Here are a few tips for a successful credit report dispute: 

• Include documentation that proves the error to support your dispute. This might involve a copy of your statement or a canceled check showing your payment was timely. Similarly, if a loan you have paid off is still listed as open, send evidence that the loan was paid and closed.

• Dispute with each credit bureau separately. The bureaus operate independently, so you'll need to file a dispute with each bureau even if the same error is on all of your credit reports. 

• Keep records of everything you send. Make sure to note the time of any phone calls and send any physical documents via certified mail.

• Allow the credit bureau time to investigate. They have 30 days to conduct and complete the investigation. If, however, you provide additional information backing up your claim after initially filing your dispute, the credit bureau’s window for investigation extends to 45 days. 

• Only dispute actual errors. You're entitled to an error-free credit report. However, if the item in question is accurate, it's going to stick around no matter how many times you dispute it.

Track Your Dispute

You can track the status of your dispute online by creating an account with the credit bureau. This is the best way to get up-to-date info on your dispute. 

Otherwise, you'll need to wait until you receive a notice in the mail. There's a time limit of 30 or 45 days for a credit investigation. You may need to provide more information later on.

By law, the credit bureaus must report the results to you within five days of concluding the investigation. You receive a copy of the investigation results, as well as a free copy of your credit report reflecting any changes made. 

Usually, credit disputes are resolved within a few weeks. That doesn't mean you'll see a change in your credit report that quickly. The change may take a few months to appear on your credit report. 

After receiving information regarding the resolution of your dispute from the credit bureaus, check your credit report regularly for the correction. If several months pass and there's still no update, contact the credit reporting bureaus and the furnisher to follow up.