How to Dispute Credit Report Errors

When you're applying for a mortgage, your credit will be pulled so that lenders may evaluate your financial and payment history, and ultimately decide if you qualify for a home loan. But it's not unusual for your credit report and therefore score to have errors. As a borrower and credit consumer, you can legally dispute any inaccurate information on your credit report at no cost to you. There are many credit report companies that you can hire or you can dispute the inaccuracies on your credit report yourself.

What rights do credit consumers have?

If in the case you're denied a loan because of credit-related “adverse action," you have up to 60 days to ask for a copy of the credit report used by the lender.

You are entitled to one free copy of your credit report annually from each of the three main credit reporting agencies (Transunion, Experian, and Equifax). The credit report can be requested through the federally-approved site Annual Credit Report or by calling 877-322-8228.

Disputing inaccurate information on your credit report requires no cost from you. You may dispute the inaccurate information by requesting an investigation through each of the three main credit reporting agencies.

The Fair Credit Reporting Act gives the consumer the right to dispute and request the credit agency investigate any potential inaccurate information. If you are not satisfied with the findings of an investigation on a disputed account, you can request the credit agencies reopen an investigation. The creditor for the disputed account is required to provide evidence of the validity of the derogatory account, otherwise the account should be removed from your credit report.

The governing laws for the credit agencies are:

• Fair Credit Reporting Act (FCRA)
• Fair and Accurate Credit Transaction Act (FACTA)
• Fair Credit Billing Act (FCBA)
• Regulation B

The Federal Trade Commission (FTC) regulates credit agencies. The governmental agency responsible for regulating national banks and the information they provide to the credit agencies is The Office of the Comptroller of the Currency (OCC).

Where can I find credit reporting agencies?

There are three main consumer credit reporting agencies that lenders, employers, or insurance companies use to consider if someone is eligible for financing or employment. The three largest credit reporting agencies are listed below. Each of the three main credit reporting agencies are required to provide consumers one free copy of their credit report annually (if requested).

The information included in the credit reports the bureaus provide includes: payment history, residence history, employment history, judgments or liens, and derogatory credit.

1. TransUnion

www.transunion.com

800-888-4213

2. Equifax

www.equifax.com

800-685-1111

3. Experian

www.experian.com

888-397-3742

How can I dispute issues my credit issues?

In the case you find an error on one of your credit reports from one of the credit reporting agencies, you're able not only to forward dispute letters to the reporting agency, but the credit company of origin. If your information is reviewed and corrected a result of your filing a dispute, all credit reporting companies to which information was provided must be informed so that they may update their reports with the correct information.

When you submit a dispute to a credit agency, be sure to provide:

• Your full name as it appears on the account.
• The account number.
• The address associated with the account.
• Your telephone number.
• Credit report file or confirmation number (if provided).

When you construct the body of your letter or message, we suggest you write the issue or issues in separate headings, and then in a paragraph below summarize the issue, how you found it, and why the issue is incorrect or should be called under investigation. Do not be afraid to ask for it to be corrected or removed outright.

<!-- google_ad_client = "ca-pub-7385130914710678"; /* 468x60 Text */ google_ad_slot = "9182268430"; google_ad_width = 468; google_ad_height = 60; //--> The Federal Trade Commission provides a sample dispute letter for consumer reference. You may also file a credit complaint directly with them, and they will forward the dispute to the credit provider.

Link to Article : https://www.lender411.com/mortgage-borrower-credit-rights/