It is common for consumers to discover inaccurate information listed on their credit reports. It is up to you to protect your credit score, so you can’t always assume that your credit report is accurate. You have to take initiative and regularly review your report because even the smallest of errors can do a lot of harm.
Once you’ve gotten your hands on your recent report, knowing what to look for is key in getting errors corrected and ensuring that all of the information that is listed is accurate.
What types of errors appear on credit reports?
It may surprise many that the information listed on their credit report could be wrong. While it can be hard to believe, there are various types of errors that will be revealed when people finally take the time to thoroughly examine things.
As you review your credit report, you may find one or more errors, including but not limited to:
● Incorrect name, address or phone number
● Incorrect account status
● Incorrect balance or credit limit
● Inaccurately listed as the owner of an account
● Listing of deleted accounts
● Listing of the same account multiple times
● Listing of accounts that are a result of identity theft
What can be done if I find errors listed on my credit report?
The smartest thing consumers can do when they find inaccurate information listed on their credit report, or if they simply have questions or concerns about the validity of the information, is to get it corrected or removed. You have three options of how to move forward if you find errors in your credit report: dispute the information with the reporting creditor, company or organization, dispute the information with the credit reporting bureaus or dispute the information with both.
How can I benefit from correcting errors on my credit report?
Multiple factors affect your credit score, and even if you don’t know what the consequences will be, you want to consider what can happen if you don’t dispute these errors. For example, your credit card bill was paid on time, but the creditor reported that the bill was paid a day late.
Payment history, which is one of the factors used to determine your credit score, provides information regarding payments made on your credit accounts, most importantly, if payments are made on time and how often. That being the case, if derogatory information such as a late payment is reported, your score can take a hit.
Disputing errors is one thing people consider when they are looking for ways to improve their credit score. Since there is so much information listed on credit reports, there is a lot that could be incorrect. With a change in status on your recent credit card account or removal of an account that is not yours, you can see a change, even if it’s just a few points.
Everyone knows a good credit score can open many doors. There may come a time that you want to purchase a home or apply for a new credit card, and you’ll want to make sure you have an acceptable credit score. With inaccurate information listed on your report, you may not be able to access the things you want until the errors are corrected.
Need help removing negative items from your credit report and increasing your credit score quickly? Contact Credit Absolute today for a free consultation.