Loanio

Know your credit!

We all make mistakes, but when it comes to your credit report, a simple or small error can have a big impact. In fact, one small error is more than enough to drag down your FICO score and could even prevent you from getting a loan in the future. It is very important to monitor your credit report and score on a regular basis to spot any errors that occur. This will enable you to take quick action to fix any damage that has been caused before it can affect you adversely. Here are the steps you need to take to fix a mistake on your credit report.

1. File a Dispute.

This is done through the actual credit bureau. Since there are three different major reporting agencies, you may need to monitor all three to see if all of your reports are being affected. Each one will have to be dealt with separately, especially if the error appears on all three reports. In many cases, it may take 60 days or more for something to show up on a report, so if you do spot an error, you will need to keep monitoring your other reports as well.

All three bureaus now offer the ability to file a dispute online, or you can file it by phone or through regular mail, depending on your preference. You will need to select the reason for your dispute and provide the correct information if necessary. Expect to wait up to 45 days for a response one way or the other.

2. Contact Creditor Directly.

If your dispute is denied and you are certain that there is still an error on your report, you can contact the creditor directly. Keep a record of all communications and send a copy of everything you send to a creditor to the three major reporting agencies as well. Always use registered mail when you contact a creditor, since they will need to respond to you within 45 days to remain compliant.

If you do not hear back within that time frame, you will need to contact the reporting agencies to update them on the status of the dispute. In many cases if the creditor has not responded within that time frame, the agencies will simply remove the error.

3. Know Your Rights.

It is a very good idea to review the Fair Credit Debt Collections Protection Act so that you are aware of your rights when it comes to dealing with creditors, reporting agencies and collection agencies. The information contained in this act will assist you in determining your further course of action if you cannot get the error removed from your report.

With diligence, you can protect your credit rating from adverse affects due to errors, but it is up to you to make sure that they are taken care of promptly. If you are not currently monitoring your credit reports, you may want to consider doing so, especially if you plan on applying for a loan within the next 180 days.

Photo Credits: 1

Originally posted 2008-10-13 05:18:27. Republished by Blog Post Promoter

• Setting Goals for Good Personal Finance /caption] Setting goals is an important part of your personal finance plan. Goals can be divided into four unique categories that are relatively general in nature. These categories are short term goals, intermediate term goals, long term goals and life goals. Short Term Personal Finance Goals - These short term......
• Handling Debt Collection Phone Calls /caption] If you are late on a bill, or more than one bill, then you are probably beginning to receive collection calls from people who want payments from you. You may find yourself in the middle of what is essentially a recurring nightmare of callers who are absolutely insatiable and......
• Should You Be Worried About the Economy? [/caption] If you follow the news, chances are the state of the economy may have you a little concerned. Bad news is rampant, the housing market is shaky and doom appears to be around every corner. While there are some definite problems with the economy right now, that doesn’t necessarily......
• Loanio Roundup #1- National Economy /caption] Good morning everyone! Welcome to Loanio's first ever roundup post. We'd like to thank the blog community for their support. You are the best press releases out there. Then lastly before we start with the links we would like to take a moment to wish everyone a splendid weekend.......
• 4 Ways To Get Out of Debt /caption] For thousands of people, the specter of debt is an all too real problem that affects not only their financial life, but the rest of their lives as well. However, there are steps that can be taken to get yourself out of debt, reasonably quickly, despite how much you......

• How To Fix A Mistake On Your Credit Report. Whether someone alerts you to it or not, sometimes mistakes show up on your credit report. And while I have not had any major things come up, I have had credit lines (and even an old car loan!) show as still being open when in fact they had been closed......
• Sarasota Bankruptcy Attorney Tips Off About Big 3 Credit Reporting Agencies! Sarasota bankruptcy attorney offers great advice about avoiding common bankruptcy reporting errors with Big 3 credit reporting agencies . [/caption] Big 3 credit reporting agencies Equifax, Transunion & Experian commonly (maybe intentionally) commit reporting errors. When it comes to (your) bankruptcy, you cannot afford to have the BIG 3 screw......
• What everyone should know about personal finance You hear people talking about how personal finance should be taught in school. So I got to wondering, what are the things that everyone should know about personal finance? Here's my list, in no particular order. Everyone should know how to... • Choose & open a checking and savings account.......
• How To Request A Credit Freeze From The Credit Reporting Agencies. Credit freezes are designed to prevent any of the 3 credit companies from releasing your credit report without your consent. When you request a freeze on your report, for whatever reason, you are usually given a PIN number to be used to authorize someone to look at your credit report......
• Falsehoods and Fibs About Your Credit Score The following is a guest post by Tisha Tolar. The term “credit score” has been thrown around almost daily these days. People are worried about the changes in the credit card industry and realize no more than ever the importance of their credit score on their financial well-being. Credit cards......