Disputing Errors on Credit Reports
Credit reports are like the résumé of your financial life. They contain detailed information about your history with paying off loans and bills including bankruptcy, if you’ve moved within the past few years as well as many other important details such as government identification numbers and lender contacts.
A person’s credibility is very important when it comes to transacting business and it is essential that credit reports contain the correct information that will be presented whenever one applies for a loan or opens a new credit card for example.
It's also super important that one has the right to dispute errors on their credit report which could potentially ruin their chances at making a major purchase.
Credit bureaus help to protect the rights of individuals by protecting their records and ensuring that correct information is presented in the records. The best approach is to place the dispute with the credit bureau from whose report you detected any errors.
The law is on your side
Once a year, the National Credit Act compels all credit bureaus to provide their clients with one free report. If you require an extra report, however, you will have to pay for it and the rate varies across agencies.
As an individual, it is your right to dispute errors in your credit reports and we encourage you to do so if and when you find any.
Making a dispute
When placing a dispute, it is important to have all supporting documentation at hand. You will be required to provide proof when contacting their credit card issuer. It is also important to remember that disputes must be filed within three months of the statement date in question. A reference number will be provided when you contact the company in question and it is best to maintain paper records during this process. Most importantly, do not obtain additional credit while your situation is in progress because the creditor might close your account if you obtain additional credit using another card.
It's always a good idea to check your credit report for errors. You can do this for free once a year. If you find something that needs correcting, you can dispute it with the credit reporting agency. Be sure to send your dispute in writing and include as much documentation as possible to support your claim.
Credit Health can help you figure out the finer details of your credit report.