Step-by-Step Guide to Disputing Errors on Your Credit Report
Fix inaccurate credit report entries that lower your score using the dispute process required by federal law.
Credit report errors are more common than most people realize. Studies by the Federal Trade Commission found that one in four consumers had errors on their credit reports that could affect their scores. Under the Fair Credit Reporting Act, you have the right to dispute inaccurate information, and credit bureaus must investigate and correct verified errors within 30 days. Exercising this right is one of the most effective ways to improve your credit score.
The Dispute Process
Start by obtaining your free credit reports from all three major bureaus through AnnualCreditReport.com. Review each report carefully, noting any accounts you do not recognize, incorrect balances, wrong payment histories, accounts that should have aged off, and personal information errors. For each error, gather supporting documentation such as payment receipts, account statements, or identity theft reports that prove the information is inaccurate.
Submit your disputes in writing to each bureau that shows the error, including copies of your supporting documentation. Clearly identify each item you are disputing and explain why it is inaccurate. The bureau has 30 days to investigate and respond. If the investigation does not resolve the issue, you can add a 100-word consumer statement to your report, file a complaint with the Consumer Financial Protection Bureau, or consult a consumer rights attorney about potential FCRA violations. Many attorneys handle these cases on contingency because the FCRA allows recovery of attorney's fees from violators.