Disputing Credit Report Errors Just Got Easier

Filed in Credit by on April 7, 2015 0 Comments
Disputing credit report errors can improve your credit score.

Disputing credit report errors can improve your credit score.

Happy news for us regular peeps: disputing credit report errors just got easier, thanks to an agreement between the big three credit reporting agencies and the state of New York. The “big three” agencies are Equifax, Experian, and TransUnion.

This is mightily good since your credit report (and credit score) is the pot at the end of the money borrowing rainbow. Translation: care for your credit if you ever want a loan – ever.

In addition to borrowing, your credit also could impact your ability to get car insurance, rent an apartment or get a job. So, yeah, it’s just a little important.

The Wall Street Journal recently reported the agreement – you can read all about it here in this snoozer of an article but here’s what you really need to know:

  • Credit report disputes have to be resolved by the credit reporting agencies, instead of the creditor (lender)
  • Credit reporting agencies will be required to have trained staff review credit report disputes, even if the lender says the information in question is correct
  • Late or unpaid medical bills (which, in the irony of ironies, can kill you with stress), won’t show up on your credit report for 180 days after they’re due
  • Once late medical bills are paid by insurance, they must be removed from your credit report, regardless of when the insurance company pays them

That last one is a biggie, since many delinquencies can remain on your credit report for years.

The credit reporting agencies already have processes in place for disputing credit report errors, but many people have experienced problems actually getting the errors removed. And a 2013 FTC study found that one in five consumers have an error on at least one of the big three credit reports.

Imagine the frustration of not being able to qualify for a mortgage, student loan, or credit card because the credit reporting agency thinks you’re deceased – and doesn’t believe it’s you calling because your supposed to be dead? (No, I am not a zombie!)

Fortunately, these changes will begin to go into effect in and over the coming months, and will be applied nationwide (thank you, New York).

But this good news about disputing credit report errors doesn’t give you an excuse to slack off with your credit. Staying on top of your credit and your credit report is just smart – like me.

Read more insightful credit report and credit score posts here and share this brilliant post with someone you like, down there.

 

 

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Melvin is the Smart Green Pig. "Smart" as in intelligent. Some would say "Super Intelligent" or perhaps "Genius". But also "Smart" as in surly and sarcastic, so watch your Ps and Qs! By the way, Melvin gets paid (quite handsomely) by SECU, so even though he's completely unbiased, some might think otherwise. Just sayin' (disclosin').

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