Getting a copy of your credit report
As of January 1, 2004 under the Federal Reporting Crediting Act
("FCRA") of 2003, every credit bureau is required to give you one
free report each year. In addition, you are entitled to an additional free
report if any of the following are true:
- If within the last 60 days
you were turned down for credit, employment, or insurance. You will need
to send written proof of your rejection.
- If you are unemployed and
plan to seek new employment within the next 60 days
- If you are currently on
welfare
- If you were a victim of fraud
You can obtain your free credit report by either calling (the quicker
alternative) or writing the credit bureaus. If you call, use the toll free
numbers below. Typically they will ask you a series of personal identity
questions (e.g. social security number, date of birth, etc.), and if you have
not yet received a free credit report for the year, one will be mailed to you.
The addresses and phone numbers for the three major credit bureaus:
- Equifax.P.O. Box 740241,
Atlanta, GA 30374-0241. Telephone: (800) 685-1111.
- Experian.P.O. Box 2002,
Allen, TX 75013. Telephone: (888) 397-3742.
- Trans Union.P.O. Box 1000,
Chester, PA 19022 (800) 916-8800.
Note: When using any of the sample letters, you will insert the
requested information and erase any unnecessary instructions or labeling. Also,
be sure to make copies of all your correspondence with the credit bureaus for
your records.
Checking for errors
Once you receive your credit report, you'll have to check it for errors. The
reports themselves can be very confusing because they are often filled with
codes and notations. Each report should come with a legend to help you decipher
the information.
Make a note of any errors that you find on your report. These will often
come in the form of debts that you have already paid or debts you did not make.
Correcting the errors
Under the FCRA, both the credit bureau and the company/entity/organization
that provided the incorrect information (e.g. credit card company, bank, etc.)
have a responsibility for correcting any inaccuracies on your credit report.
STEP 1: Make
copies of any proof that supports your claim. You will need these for your
records as well as supplements to accompany the letters you will be sending
out.
STEP2: If the
error was caused by a company you've done business with, contact that company
directly. You can do this by either calling the company in question or sending
them a letter.
In the letter you will state the inaccuracy listed in your credit report,
request a correction of the error, and request that the company send a written
correction to all three of the major credit bureaus. If the company agrees to
do this, you will also want to follow up with the credit bureau to ensure that
the changes have been made. If you have any documentation to back up your
claim, send a copy of that as well. This will help speed things up.
Note: Send the letter registered or certified so that you will have
proof of its delivery and receipt.
STEP 3: You should
also send a letter to the credit bureaus that have listed the incorrect
information. In this
letter you will want to describe what you believe is inaccurate, explain why it
is inaccurate, ask for a correction or deletion and include copies of any
documentation that backs up your claim.
Note: Send the letter registered or certified so that you will have
proof of its delivery and receipt.
STEP 4: The credit
bureaus are required to reinvestigate the items that you have questioned within
30 days after receiving notice of the dispute (this can be extended by an
additional 15 days by the investigating credit bureau if you provide additional
information regarding the investigation within the first 30 days). Typically
they will also forward any relevant proof or information to the organization
that originally provided the disputed information.
When the reinvestigation is complete, the credit bureau must give you the
written results of their findings. These written results must be provided to
you with 5 days after the completion of the investigation.
Under the FCRA, if any of the information in the credit report is
"found to be inaccurate or incomplete or cannot be verified, the credit
reporting agency [i.e. the credit bureau] shall promptly delete that item of
information from the consumer.s file or modify that item of information, as
appropriate, based on the results of the reinvestigation." (FCRA
§611(a)(5)(A)) If the dispute results in a change to your credit report, they
must also give you a copy of the new credit report for free.
STEP 5: Let's hope
that you can skip this step. If, however, the credit bureaus fail to respond to
your letter requesting that they investigate an error in your report, you will
need to contact them again. This letter will remind the credit bureaus of
their obligations under federal law and the consequences of not responding.
Note: Send the letter registered or certified so that you will have
proof of its delivery and receipt.