DIY Credit Repair: Step 3 Disputing Items On Your Credit Report
If the negative information in your report is true, only time and improved habits can change that. Late payments, such as credit cards, and charged-off accounts remain on your report for seven years. A bankruptcy will stay on your report for 10 years. Most creditors, however, look for a pattern of payment rather than focusing on one-time or rare occurrences. If you can re-establish good pay history for two years after a bankruptcy you can use this history to overcome the limitations associated with the bankruptcy. You can even qualify for a home loan with some lenders.
A poor credit history costs you money so be thorough as you go through your credit reports. Look for anything that may be incorrect or should not be on your report at all. Remember that wrong account information can be added to your profile due to computer or human error. Having a similar address, name or social security number could get you someone else’s information on your credit report.
Click here to access some sample forms you can use to request or dispute information from the bureaus. Copy the letter you want to use into a word document and add the appropriate information. Clearly identify each mistake and state why it's wrong. If possible send a photocopy of your credit report with the mistakes circled to the reporting credit bureau. Include copies of documents supporting your case.
Keep copies and records of all the forms, letters and documentation that you send the credit bureaus and the dates you sent them. The credit bureau must investigate any relevant dispute within 30 days of receiving your letter. Any item that is not verified as accurate by a creditor is removed.
You may need to contact the creditor to resolve some of the inaccurate information you find. If it is determined that the information is inaccurate or should not have been added make sure to get a letter from the creditor stating this. Written documents from the creditor will help you correct information with the credit bureaus.
If the credit bureau makes any changes to your credit file, it will send you the results and a free, updated copy of your credit report. Once a negative item is removed from your report, the credit bureau cannot put it back on unless a creditor verifies its accuracy and completeness.