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Reviewed By:
Ashley Davison
Ashley Davison
Editor
Ashley is currently the Chief Compliance Officer for Credit Saint, previously the Chief Operating Officer. Ashley got into the Financial world by working as a Logistics Coordinator at Ernst & Young. Coming from a previous career in education, she is eager to teach the world every...
Your credit report affects your ability to get loans and good interest rates. If it has errors, they can hold you back.
You have the right to dispute information on your report that you believe is inaccurate, incomplete or unverifiable. This guide walks you through each step, from getting your reports to reviewing the bureau’s results.
What are Negative Items on Your Credit Report?
These items can include late payments, charge-offs, collections and bankruptcies. Tax liens and civil judgments no longer appear on credit reports, because the bureaus removed them in 2017 and 2018. Negative items can lower your credit score and make credit harder or more expensive to get.
Why Dispute Negative Items?
Disputing matters because errors on your credit report can unfairly lower your credit score. In the 2013 FTC study of credit report accuracy, one in four consumers identified errors on their credit reports that might affect their credit scores.
Errors like these can mean higher interest rates or a denied application for something you didn’t do.
A higher credit score can help you qualify for loans at lower interest rates. Over a 30-year mortgage, even a small difference in rate can add up to a lot of money.
You can dispute errors yourself for free. If that’s more work than you have time for, a reputable credit repair company can handle the disputes for you. To see what’s on your reports, start a free credit review.
How to Dispute Negative Items on Your Credit Report
A dispute asks the credit bureau to check information you believe is wrong. If it’s inaccurate or can’t be verified, the bureau must correct or delete it. Here’s the step-by-step process:
Step 1: Obtain Copies of Your Credit Reports
Before you can dispute anything, you need copies of your credit reports from the three major credit bureaus: Equifax, Experian, and TransUnion. You are entitled to one free credit report from each bureau every week, which you can request from AnnualCreditReport.com.
Step 2: Review Your Credit Reports
Carefully review your credit reports to identify any errors or inaccuracies that you believe should be disputed. Pay close attention to account details, payment history, balances, and personal information.
Step 3: Identify Inaccuracies
Make a list of the items you believe are inaccurate, incomplete or unverifiable. This can include accounts that aren’t yours, wrong balances or dates, and negative items older than the reporting period. Under the Fair Credit Reporting Act, most negative items can stay for seven years. Note any differences from your own records.
Step 4: Draft a Dispute Letter
Write a formal dispute letter to the credit bureau(s) reporting the item. In the letter, clearly state the reason for your dispute and provide any supporting documentation or evidence. Be concise and professional in your communication. Avoid emotional language, and stick to the facts.
Step 5: Send Your Dispute Letter
Mail your dispute letter to the appropriate credit bureau(s) via certified mail with a return receipt requested. This gives you proof of delivery. Most bureaus also accept disputes online. Keep copies of all correspondence for your records.
Step 6: Credit Bureau Investigation
Once the credit bureau receives your dispute, it must investigate the item, unless it finds the dispute frivolous. The bureau contacts the company that reported the item and asks it to check the information. The investigation generally takes 30 days, up to 45 in some cases.
Step 7: Review the Results
When the investigation is done, the bureau sends you the results in writing. If the item is found to be inaccurate or can’t be verified, the bureau must correct or delete it, and the change shows on your updated report. If the item is verified as accurate, it can stay.
Step 8: Continue Monitoring Your Credit
Regularly monitor your credit reports to make sure the disputed item has been resolved. It’s important to stay vigilant and verify that any inaccuracies have been rectified.
Bottom Line on Disputing Items on Your Credit Report
Disputing is your right under federal law, and it’s free. Get your reports, list the items you believe are wrong, and send each bureau a clear dispute with your proof. The bureau generally has 30 days to investigate, up to 45 in some cases. Keep copies and check your reports after the results.
Reviewed By:
Ashley Davison
Editor
Ashley is currently the Chief Compliance Officer for Credit Saint, previously the Chief Operating Officer. Ashley got into the Financial world by working as a Logistics Coordinator at Ernst & Young. Coming from a previous career in education, she is eager to teach the world everything she knows and learn everything that she doesn’t! Ashley is a FICO® certified professional, a Board Certified Credit Consultant, a Certified Credit Score Consultant with the Credit Consultants Association of America, UDAAP certified, and holds a Fair Credit Reporting Act (FCRA) Compliance Certificate.
