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Errors on your credit report are more common than you might think. The FTC estimates that 1 in 5 Americans has an error on at least one of their credit reports. These errors can lower your credit score, result in higher interest rates, or even cause you to be denied credit. The good news: you have the right to dispute errors, and the process is free.
Common Credit Report Errors
| Error Type | Impact on Score | How to Identify |
|---|---|---|
| Accounts that aren't yours | Severe | Look for unfamiliar accounts |
| Late payments you made on time | High | Check payment history |
| Incorrect account balances | Moderate | Compare to statements |
| Duplicate accounts | Moderate | Same debt listed twice |
| Incorrect credit limits | Moderate | Affects utilization ratio |
| Outdated negative information | High | Should drop off after 7 years |
Step-by-Step Dispute Process
1Get Your Free Credit Reports
Request free reports from all three bureaus at AnnualCreditReport.com. You're entitled to one free report from each bureau every week.
2Review Each Report Carefully
Check for errors in:
- Personal information (name, address, SSN)
- Account information (balances, payment history)
- Inquiries you didn't authorize
- Public records (bankruptcies, judgments)
3Gather Supporting Documentation
Collect evidence that proves the error:
- Account statements showing correct information
- Court documents
- Identity theft reports (if applicable)
- Correspondence with creditors
4Submit Your Dispute
You can dispute online, by mail, or by phone. We recommend certified mail for documentation purposes.
Bureau Addresses:
- Equifax: P.O. Box 740256, Atlanta, GA 30374
- Experian: P.O. Box 4500, Allen, TX 75013
- TransUnion: P.O. Box 2000, Chester, PA 19016
5Wait for Investigation
Bureaus must investigate within 30 days of receiving your dispute. They'll contact the creditor who reported the information.
6Review the Results
The bureau must provide written results and a free copy of your updated credit report if changes were made.
Sample Dispute Letter
What to Expect: Timeline & Outcomes
| Stage | Timeline | Your Rights |
|---|---|---|
| Bureau receives dispute | Day 0 | Must acknowledge within 5 days |
| Investigation complete | Within 30 days | Extended to 45 days if you provide additional info |
| Results provided | Within 5 days of completion | Free updated report if changes made |
| Error corrected | Immediately | Bureau must notify you and others who received report |
If Your Dispute Is Rejected
If the bureau verifies the information as accurate, you have options:
1. Add a Statement of Dispute
You can add a 100-word statement to your credit report explaining your side of the story.
2. Dispute Directly with the Creditor
Contact the company that reported the information. They must also investigate under the FCRA.
3. File a Complaint
If you believe your rights have been violated:
- File a complaint with the CFPB at consumerfinance.gov
- Contact your state attorney general
- Consider consulting a consumer attorney
4. Escalate to the CFPB
The Consumer Financial Protection Bureau can help resolve disputes with credit bureaus.
⚠️ Avoid Credit Repair Scams
Legitimate credit repair:
- Cannot charge upfront fees (illegal under federal law)
- Cannot remove accurate negative information
- Cannot create a "new" credit identity
Everything a credit repair company can do, you can do yourself for free.
Bottom Line
Disputing credit report errors is your right under the Fair Credit Reporting Act. While the process takes time, removing even one error can significantly improve your credit score. Be persistent, document everything, and don't pay for services you can do yourself for free.