How to fix your credit report

How to Fix your credit report: Here's what to do if you find incomplete, inaccurate or outdated information in your credit score report. As this can affect your ability to obtain loans, credit cards and other credit related products, you will need to fix your credit report as soon as possible.

If you suspect fraud, contact the Credit Reporting Agencies as soon as possible and explain the situation. Then report the fraud to police and your creditors. Never send original documents as you may need these as evidence. When sending copies, certify the copy as follows:

"Certified a true copy of the original."
Signed... (Full Name)
Date... (Today's Date)
Time... (Time).

To be safe, take a copy of your copy, then file everything in a safe place for easy reference. And remember, always note names of people you speak to, including the date and time of every conversation.

Contacting the Credit Reporting Agency

Contact the Credit Reporting Agency holding the information about you, and obtain a copy of your credit report which - depending on the circumstances - you may be able to get free of charge.

If you were recently turned down for credit and you are working, then you must pay for a copy of your credit report. This costs around $15.00 US dollars from each Credit Reporting Bureau.

If you're unemployed or on welfare state benefits, or plan to look for work within the next 60 days, or your credit report is inaccurate because of fraud, Print this free credit report request letter and send it to all 3 bureaus. This will enable you to get a copy of your credit report free of charge.

Once you send documentary evidence of the inaccuracy to the Credit Reporting Agency, they will look at your request and decide whether further investigation is needed. They will also send notification to the creditor that reported the inaccurate information about you for investigation.

The creditor will then conduct their own investigation and report back to the Credit Reporting Agency. One the creditor's investigation is complete, the Credit Reporting Agency - if appropriate - will update their records to reflect any corrections in your credit report and notify you of the update.

Contacting the Creditor regarding the Dispute

In some cases, you might want to contact the creditor or lender before contacting the Credit Reporting Agency. This is particularly useful if you suspect fraud. Most creditors have procedures for customers to dispute items on their account. Therefore, if you have evidence of any inaccuracy, it should be resolved quickly.

In cases where the creditor finds that the disputed item is incorrect, the FAIR CREDIT REPORTING ACT requires that the creditor updates its records both internally and with the Credit Reporting Agency it reported to within 30 days. However, the law provides that some smaller creditors who do not regularly report to the Credit Reporting Agencies, are not required to notify the Credit Reporting Agency of the corrected information. Where this is the case, you will need to contact the Credit Reporting Agency directly.

Remember, always follow up telephone calls with a letter. List each disputed item, and say how it is inaccurate, attaching copies of all relevant documents. Include your full name, account number, the dollar amount in question, and the reason you believe the item is wrong. Be concise.

Contacting all the Credit Reporting Agencies

If you find an inaccuracy with one Credit Reporting Bureau, you may want to contact all three Credit Reporting Agencies to see whether their reports contain the same error. The other CRAs, however, may not receive the updated information about the inaccuracy in your credit report, therefore, it's advisable to contact each of the three Credit Reporting Agencies separately.

How to Check that the Error in your Credit Report is Fixed

After thirty days, the Credit Reporting Agency should notify you of the outcome of its investigation and provide you with an updated copy of your credit report free of charge. Make sure that you examine your updated credit report to endure that the inaccuracy has been fixed or, if appropriate, completely removed.

What to do if you can't resolve a disputed item - The "100-word statement"

It is your right to file a brief statement with the Credit Reporting Agency about any disputed item in your credit report. In your statement you should explain the nature of your disagreement, which should be approximately 100 words. If your statement is longer than 100 words, the Credit Reporting Agency may limit your statement to not more than 100 words. This statement becomes part of your credit report file and will be available from now on whenever a creditor accesses your credit report file for as long as the dispute remains on your credit report file.

Here are the three major CRAs

Contact the CRAs listed in the Yellow Pages under "credit" or "credit rating and reporting." Because more than one CRA may have a file on you, call each until you have located all the agencies maintaining your file. The three major credit bureaus are: