What do you do when there is an error on your credit report?

An FTC study showed that five percent of Americans had errors on their credit reports that could lead to them paying more for loans. This statistic seems accurate to me as many consumers call my office asking for advice on how to remove errors from their credit reports. This is an important issue for many as errors can lower FICO scores and consequently block access to loans or cause consumers to pay more for their auto and home loans.

There are a couple of things that consumers can do to correct errors on their credit reports. First, all three of the major credit reporting agencies provide a method for disputing errors on credit reports. See the dispute pages for TransUnion, Experian and Equifax. This is a routine method for correcting errors. You will find that many errors can be corrected through this process.

If the dispute process with the credit reporting agency does not work, then consider writing a detailed dispute letter with the entity that is reporting the debt to the credit reporting agency. This may work if the entity realizes that it is making a mistake by reporting the debt on your credit report.

If these methods do not work, contact a consumer attorney and ask that he review your case. Many times, consumer attorneys can take credit report cases without charge to you. It all depends upon how strong your claim is that there is an error. If there is in fact a problem, and you disputed it with the credit reporting agency, then the Fair Credit Reporting Act can provide a legal method for challenging the debt and providing coverage for your attorney fees.

Note that a consumer does not normally have a right to sue under the Fair Credit Reporting Act unless they have first disputed the error with the credit reporting agency, and the agency has verified the item with the reporting entity.

If you need of a consumer attorney to assist with your claim under the Fair Credit Reporting Act, then contact Harmony Law, LLC.