Know Your Rights

The Truth About Repairing Your Credit

When dealing with your credit report, there is much confusion about how to repair your it.  Almost everyone has their own opinion on how to damage and how to improve your score.  But the reality is there are no short cuts or tricks to speeding up the process of repairing your credit, so make sure you have a little patience and a lot of time.  With credit repair comes facts and fallacies and here is a list of common misconceptions and the truth when you are looking to improve your report and boost your score.     

Misconception No.1
The only way to repair your report is to wait it out

While waiting out derogatory information on your report is a sure fire way to guarantee improvement, it is certainly not the only way to clean up your report.  The Fair Credit Reporting Act ("FCRA") was enacted specifically to give consumers a way to hold the credit reporting agencies accountable for reporting inaccurate or false information.  If your report is inaccurate, the FCRA allows you to dispute with the credit reporting agencies ("CRA") and put them on notice of the inaccuracy.  In response, the CRAs must investigate your dispute and respond by deleting, updating or verifying the information.  If the response from the CRAs is inaccurate, you may file suit under the FCRA for damages.

Misconception No. 2
Accurate information cannot be removed from your credit report

While accurate derogatory information can remain on your credit file, eventually it must be removed after a certain period of time.  Each item of negative information has a set length of time that it may remain on your file before it must fall of your report.   

Misconceptions No. 3
All credit reports and credit scores are the same

All credit reports are not the same, in fact, just the opposite.  There are three major credit reporting bureaus, Equifax, Experian and Trans Union and each of these agencies has its own means of gathering and disseminating information, so your report will look somewhat different depending on which agency you are looking at.  Your credit score as a result, will also vary from agency to agency, but should be in the same range, assuming your report is accurate.  Credit scores range from 365 at the low end to 840 at the high end. 

Misconception No. 4
Only a lender can review your report

Any entity to whom you give permission can review your report, including an existing creditor or lender, a lender with whom you apply for credit, collection agencies, employers, potential employers, landlords and credit card companies.  If you do not give a company permission to review your report this is known as an impermissible pull and you can file suit against the entity for reviewing your report without your consent.

If you are in need of assistance or advice regarding your credit report contact SmithMarco P.C. for a free case review.

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