How to Remove False Information From Your Credit Report

January 18, 2008 | Written by: Connie Brooks

Credit Report Dispute

(This post is Part 3 of the Credit Awareness Series)

It is estimated that up to 40 percent of credit reports contain inaccuracies and false information. You do not want to wait until you apply for a loan to find out that yours is one of them!

You are entitled to one free copy of your credit report each year, from all three major credit bureaus. (TransUnion, Equifax and Experian) You are also entitled to a free report within 60 days of being turned down for a loan of any sort. Make it a habit each year to request your credit report and check it for bad information. Doing this will help keep your interest rates down, as well as alert you to identity theft, if it occurs.

The easiest way to request your credit reports is by mail. The “Free Online Credit Report” scams web sites require you to sign up for their services to actually get your free report. You can go here to download the official Annual Free Credit Report Request Form. (PDF)

The request should be sent to this address:

Annual Credit Report Request Service
P.O. Box 105281
Atlanta, Georgia 30348-5281

So what happens if you do find wrong information on your credit report? There are several ways to legally dispute the information listed on your reports:

  1. You can pay someone else to do it for you. A quick Google search will reveal hundreds of companies and law firms who are happy to take your money in exchange for doing some simple footwork. The average cost is between $15 to $30 a month (or more) and you can challenge anything you want to.

    Personally, I think it’s a rip off. However, given the amount of time and negotiation it can take to successfully get items removed, it may be worth it just to avoid the hassle.

  2. Dispute online - All three credit bureaus have online dispute forms available. You will have to create an account with their websites. All three require you to give your social security number online as verification of your identity.

    This is probably the fastest and easiest method of dispute since they walk you through the process. However, there have been a lot of complaints that the online dispute forms do not work. Especially the ones submitted to Equifax. If you choose to do this, run a free virus scan before you do, to help keep your information safe.

  3. The good ‘ol fashioned way - Request a copy of your credit report from all three bureaus. Highlight any incorrect information, make a copy, and send it back to them via registered mail with a return receipt. You will need to include copies of a few other things too:
    • A letter stating which information is incorrect.
    • A copy of your drivers license.
    • A recent pay stub.
    • A utility bill.
    • Last year’s W-2 forms.
    • Copies of any supporting documents you have that prove your report is wrong.

    These are all used by the agencies to confirm your identity. Personally I believe they are used to discourage people from correcting information, so you will have to decide whether the invasion of privacy warrants the correction!

    Check with each bureau before sending your letter off to be sure of their individual requirements. They may want all of the above, or just a copy of your driver’s license.

    4. Here is a sample letter of dispute. Feel free to print it out and work from it if you like.

    Date


    Your Name


    Your Current Address


    Your Social Security Number


    Your Drivers License Number

    Complaint / Corrections Department


    Credit Bureau Name


    Credit Bureau Address

    Dear (Name of Credit Bureau) Representative,


    I am writing to dispute incorrect information on my credit report. Here is a list of the incorrect information:


    1) List incorrect item(s).


    This item is incorrect because (Did not own account / did not apply for account / was not late / give reason)


    The incorrect item(s) are also highlighted on the attached copy of my report. I have enclosed copies of documents (payment records, court documents- whatever you have) that prove this item is inaccurate. I have also enclosed several documents as proof of my identity. Please review them and correct the information on my report as soon as possible.




    Sincerely,


    Your name



    Enclosed please find:




    (List enclosures)

    By law the credit bureaus have 30 days to forward your dispute to your creditors and investigate your claims. If your creditors do not provide the bureau with proof that their claims are valid instead of yours, then the credit bureau must remove the information from your report.

    Once the investigation is complete, by law they must give you the written results of their investigation and a free copy of your credit report.

    Here is the current contact information for all three credit bureaus:

    Experian
    www.Experian.com
    1-888-EXPERIAN (397-3742)


    Equifax
    www.equifax.com
    1-800-685-1111

    Trans Union
    www.transunion.com
    1-800-916-8800

    Keeping your credit score healthy is a lot like keeping up with your budget or investment portfolio; time consuming, and at times, frustrating.

    It will be worth it in the long run when all your disputes are resolved and you have a higher credit score to show for it. I hope that this article makes the process a little easier for you!

    If you have questions or comments, please leave them below!

      If you like this article, please give it a thumb up in StumbleUpon or a vote at Digg. Thanks a lot! :) You can get our future articles for free by clicking here!

      Was this article helpful to you?
      1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
      Loading ... Loading ...
                 

      Written by Connie Brooks | Filed Under Eliminate Your Debt, Featured Financial Security Articles, Financial Security 

      Comments

      4 Responses to “How to Remove False Information From Your Credit Report”

      1. The FICO® Score Breakdown (Ask Mr Credit Card’s Blog) on June 23rd, 2008 2:46 am

        [...] Check your credit report at least once a year – You can find out how to get your free credit reports here. You can find out how to challenge bad information on your credit report here. [...]

        • The FICO® Score Breakdown | Credit Repair Information on June 23rd, 2008 4:27 am

          [...] Check your credit report at least once a year – You can find out how to get your free credit reports here. You can find out how to challenge poor knowledge on your credit report here. [...]

          • EmilyNo Gravatar on July 17th, 2008 3:05 pm

            Connie, I’m so glad to see this article. People need to know that they really shouldn’t be lazy when it comes to credit reports! I read a story on someone’s blog a while back — his friend never checked his credit report, but the blogger friend eventually convinced him to. The guy saw a huge glaring mistake on the report and disputed it and had it fixed. It turns out that mistake was the reason he was paying higher car insurance and mortgage rates and he didn’t even know it. Now that’s a horror story! Glad to see you encouraging people to be proactive about getting things on their reports cleared up.

            Emilys last blog post..Credit card postcards from Europe: Vol. III

            • Holden Car RepairsNo Gravatar on September 3rd, 2008 10:24 pm

              cool way of looking at things

              Let's Talk!