Errors on your credit reports can cause your credit scores to be lower than they should be, which can affect your chances of getting a loan or credit card and how much interest you pay. Disputing credit report errors and getting those negative items removed can be a quick route to a better score.
Filing a dispute has no impact on your score, however, if information on your credit report changes after your dispute is processed, your credit scores could change. ... If you corrected this type of information, it will not affect your credit scores.
Fixing credit report errors
To ensure mistakes are corrected as quickly as possible, contact both the credit bureau and organization that provided the information to the bureau. Both these parties are responsible for correcting inaccurate or incomplete information in your report under the Fair Credit Reporting Act.
Know Which Credit Report Errors You Can Dispute
Inaccurate credit limit/loan amount or account balance. Inaccurate creditor. Inaccurate account status, for example, an account status reported as past due when the account is actually current.
Credit scores can drop due to a variety of reasons, including late or missed payments, changes to your credit utilization rate, a change in your credit mix, closing older accounts (which may shorten your length of credit history overall), or applying for new credit accounts.
1 To help on your way to better credit, here are some strategies to get negative credit report information removed from your credit report.
A 609 letter is a method of requesting the removal of negative information (even if it's accurate) from your credit report, thanks to the legal specifications of section 609 of the Fair Credit Reporting Act.
Common Mistakes Found On Credit Reports
Here are some of the fastest ways to increase your credit score:
The length of time negative information can remain on your credit report is governed by a federal law known as the Fair Credit Reporting Act (FCRA). Most negative information must be taken off after seven years. Some, such as a bankruptcy, remains for up to 10 years.
Normally, collections are disputed because the debtor believes they are incorrect for some reason. For example, if you review a copy of your credit report and you see a collection account that you believe belongs to another person, has an incorrect balance or is greater than seven years old, you can file a dispute.
Correcting Errors
You can remove late payments from your credit report by filing a dispute or simply waiting 7 years for the record to fall off your report. If a late payment on your credit report is not accurate, you can dispute it with the credit bureau that generated the report.
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