Disputing credit report errors is probably one of the most effective methods to quickly increase credit score. As with any part of financial data, errors are invariably a possibility and a credit report is no exception. Erroneous information can have a detrimental impact on your overall credit history. By disputing these credit report errors not only will you be supplying potential lending institutions a more accurate picture of your creditworthiness, but you will likely increase your overall credit score also.
Your first step to disputing any credit errors is to have information on what is being reported on your credit history. At the very least you should request a yearly free copy of your credit report from the 3 major credit reporting providers. Those credit reporting agencies are: Trans Union, Equifax and Experian. As soon as you obtain those reports it is critical that you take the time to review the information being reported. Make special note of things that may be considered unfavorable information. These would be such things as what amount of time the account has been open, the total dollar amount of credit extended, any record of slow pays and the duration of those slow pays (e.g. 30 day, 60 day or 90 day). You will also want to make note of any record of judgments, charge offs, repossessions or other adverse items and their final disposition.
Whenever you find information on your credit report that you believe to be in error, it is critical that you begin the process of disputing those credit report errors. The initial step in this process is to collect any supporting documentation that you may have in your possession. This can include items like cancelled checks, messages from the lender or paid receipts. When you have your supporting documentation gathered, make copies which you will include with your written letter of dispute.
Your dispute letter should identify the parts of your credit report that you are challenging. This letter will be written to the credit bureau reporting the incorrect data. Each credit bureau has a written procedure for disputing credit report errors, be sure to follow each step of the process as directed.
When the dispute letter is received, the credit bureau will tell the reporting lender of the dispute. The lender must respond to the credit reporting agency in a designated time period to either defend the current data on the report or to amend the information being reported.
While this process can be dealt with on your own, it is advisable that you use a credit dispute company. These specialists are trained to locate problems that the typical person may overlook and they are familiar with the process of dispute that each one of the major credit bureaus uses.
If you take the time to dispute credit report errors you can increase credit scores in a short time and provide potential creditors a more accurate picture of you as a borrower.
Disputing credit report errors is one of the best ways to improve your overall credit score. Credit Dispute Pros guides their clients through the process of disputing credit report errors, to provide maximum credit score improvement.