Credit Report Errors: What Consumers Should Know
Credit report errors are more common than many consumers realize. The Fair Credit Reporting Act gives you specific rights to dispute inaccurate information — for free.
Informational purposes only. This article is for general informational purposes only and is not legal advice. Laws vary by jurisdiction. If you need advice about your specific situation, consider speaking with a licensed attorney.
## Short Answer
You have the right under the Fair Credit Reporting Act to dispute inaccurate information on your credit report. Credit bureaus must investigate disputes within 30 days and correct or delete unverifiable information.
How Common Are Credit Report Errors?
Studies by consumer advocacy organizations and government agencies have found that a significant percentage of credit reports contain errors, some of which materially affect credit scores. Common errors include: accounts that do not belong to you (often from identity theft or mixed files), incorrectly reported late payments, accounts showing incorrect balances, outdated negative information that should have been removed, and duplicate accounts.
Your Rights Under the Fair Credit Reporting Act
You are entitled to one free credit report from each of the three major bureaus (Equifax, Experian, TransUnion) per year at AnnualCreditReport.com. You have the right to dispute inaccurate or incomplete information. The bureau must investigate within 30 days. Information that cannot be verified must be deleted or corrected. If a dispute is resolved in your favor, you can request that the bureau notify anyone who received your report in the past six months.
How to Dispute an Error
Get your credit reports from AnnualCreditReport.com. Identify the specific inaccuracy. Submit a dispute in writing to the credit bureau that reported the error — online, by mail, or by phone. Include supporting documentation. Keep records of your dispute and the bureau's response.
When Errors Are Not Resolved
If the bureau does not correct a legitimate error, you can add a 100-word statement of dispute to your file. You may also dispute directly with the company that provided the information (the furnisher). If the bureau and furnisher fail to correct a provably inaccurate entry, you may have grounds for a legal claim under the FCRA.
Sources to Verify
Consumer Financial Protection Bureau: consumerfinance.gov. FTC on credit reports: consumer.ftc.gov.
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*This article is for general informational purposes only and is not legal advice. Consult a licensed attorney for advice specific to your situation.*
Informational purposes only. This article is for general informational purposes only and is not legal advice. Laws vary by jurisdiction. If you need advice about your specific situation, consider speaking with a licensed attorney.