Because credit bureaus use the information in your credit history to calculate your credit score, fixing the mistakes affecting your FICO® score requires you to look at your credit report. Federal law requires Equifax®, Experian® and TransUnion® (the three major credit bureaus) each to give you a free copy of your report once every 12 months, and under certain other circumstances.
When You Can Secure a Free Copy of Your Credit Report You can get a free copy of your credit report if you're denied for a loan, aren't hired for a job or otherwise have adverse action taken against you because of information in the report. When that happens, the prospective lender or employer is required to: • Notify you • Give you the company's address and phone number • Tell you which credit reporting agency he used to obtain the information.
You then have 60 days to request a free report. You can also get another free report each year if: • You live in a state with laws allowing additional access to your credit report (such as Goergia, which allows a second report every 12 months from each company). • You receive welfare. • Your report is inaccurate because of fraud or identity theft. • You're unemployed and planning to look for a job within 60 days.
Fixing Errors When you find inaccurate information, contact the agency and the information provider to dispute it. Contact the agency in writing and inform them what information you believe is inaccurate and why. Clarify whether you want a fact corrected (for example, if a reported late payment is too large) or deleted (such as when an account doesn't belong to you).
The credit reporting agency must give you the name, address and phone number of the information provider, and both the information provider and the ageny must investigate your claim, generally within 30 days of being notified. If the information provider determines that you're correct, it must notify all three credit reporting agencies and ensure the information can't be reported again.
Filing a Consumer Complaint If a credit reporting agency refuses to remove incorrect information, file a complaint with the Federal Trade Commission (FTC). The FTC doesn't investigate every individual complaint, but does regulate these agencies and shares its complaints with law enforcement and government agencies when necessary.
Before taking action, understand your credit report and score. For example, knowing why certain factors aren't evaluated by your FICO score and how long negative information can be reported helps prevent misunderstandings when you file a complaint.