What’s that on my credit report?
It’s a common scenario. You’re saving up for a big purchase, and keeping tabs on your credit score so you can get better terms when your score goes up. Perhaps you’ve paid to enroll in a credit monitoring service by one of the credit bureaus: Equifax, Experian, and Transunion. Maybe you created an account at www.creditkarma.com so you can check your credit regularly for free. Maybe you get your free official credit report every couple of months from www.annualcreditreport.com.
Then one day you check your credit report, and there’s an error on there. Maybe there’s a credit account of yours that is being reported late when it isn’t. Maybe there’s an account that you don’t recognize. Or maybe your credit has been pulled by some company when you didn’t apply for credit. All of these are credit report errors.
According to a 2024 study conducted by Consumer Reports1, about 44% of Americans may have errors on their credit reports. These credit report errors can be minor or serious, ranging from simple typos and address mistakes, to serious credit errors that affect a person’s score.
How did those errors get there?
Setting typos aside, there are four (4) main ways errors get into a credit report. One, you have a common name and your credit accounts have gotten mixed up with someone with a similar name. Two, a company that you have credit accounts with either sold your accounts to a new company or updated its data systems ,and your information got screwed up. Three, a company you have done business with got hacked and your personal financial information was used to open credit accounts. Fourth, a family member or friend who knows your personal financial information used it to open credit accounts. These last two categories constitute identity theft.
What can I do about the credit report errors on my own?
If you think that your identity has been stolen, the first thing you should do is place a fraud alert on your credit reports by calling one of the following:
- Equifax: 1-800-525-6285
- Experian: 1-888-EXPERIAN (397-3742)
- TransUnion: 1-800-680-7289
The second thing you should do is go to https://www.identitytheft.gov and fill out an identity theft report. When complete, send one copy to the three credit bureaus, and take one copy to your local police station and file a police report. Identity theft is a crime.
If identity theft is not a concern, your first step should be to file disputes with Equifax, Experian, and Transunion. While you can file disputes online at the bureaus’ websites or at www.annualcreditreport.com, the better way to dispute is by mailed letter sent certified mail, return receipt requested. If you do dispute online, be aware that you have less space to provide details and can accidentally give up legal rights by checking certain boxes.
To dispute by mail, use the following addresses:
TransUnion Consumer Solutions
P.O. Box 2000
Chester, PA 19016
Experian
P.O. Box 9701
Allen, TX 75013
Equifax Information Services LLC
P.O. Box 740256
Atlanta, GA 30348
In your written dispute, be as specific as possible regarding the error and why it’s wrong. Use your full name and address, include the number of the account in error, and attach copies of anything that supports you. SAVE A COPY OF EVERYTHING YOU SEND.
When is it time to call a credit report lawyer?
It’s time to call a credit report lawyer once the credit bureaus come back and “verify” all of the incorrect information you reported to them. While a law called the Fair Credit Reporting Act (“FCRA”) requires that credit bureaus perform a “reasonable” investigation in response to notifications of error, this almost never actually occurs. Credit bureaus exist and get paid by creditors – not regular people – to compile reports on us. The “investigation” that credit bureaus perform is usually a computer sending a message to your creditor’s computer, asking if information is accurate. No human beings talk to one another. As you might imagine, errors do not usually get fixed unless a lawsuit gets filed.
What can a credit report lawyer do for me?
And how much would it cost? A credit report lawyer can use the Fair Credit Reporting Act (“FCRA”) to sue both the credit bureaus AND any creditor reporting false information about you. By filing a lawsuit, a credit report lawyer forces the credit bureaus, and the creditor reporting the false information, to pay attention to the error and do something about it. And because the FCRA is what’s called a “fee- shifting” statute, a lawyer can usually represent you for free. The FCRA “shifts” the burden of paying for the case to the other side once you win. What’s more, the FCRA also allows a court to award “punitive damages” in your favor, if the violations by the credit bureaus and information providers are really bad.
What about using a credit repair agency?
DO NOT USE A CREDIT REPAIR AGENCY. Most of the providers out there are scams. “Credit repair” agencies do not do anything that you could not do yourself, and they charge you extra for it. Money that could be used to negotiate payoffs or pay down legitimate debts gets used up in their administrative costs. Credit repair agencies also cannot help you if you get sued. YOU ARE MUCH, MUCH BETTER OFF USING A LAWYER under any circumstances.
Can I talk to you about the errors I’ve found on my credit reports?
Yes. Please reach out to the Law Office of Emily Gomez LLC at (412) 378-5854. We offer free initial consultations, and would be happy to speak with you.
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