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.1The 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. 2Accurate 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. 3All 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. 4Only 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.