Credit reporting errors can lower your credit score, lead to higher interest rates and to denial of credit. Disputing a credit report can be time-consuming. It involves contacting credit bureaus, filing disputes and waiting for them to investigate. Contact us for a free consultation.
Common Credit Reporting Errors
- Mixed or Merged Account: Incorrect personal information, such as a wrong name, address, or phone number, or mixed-up details from someone with a similar name, may appear on your credit report.
- Identity Theft: Accounts that don’t belong to you, often due to identity theft.
- Account status mistakes: Closed accounts listed as open, or accounts marked as late when you’ve paid on time.
- Background Checks: Usually information is mixed with someone who has a similar name, address or date of birth.
- Balance errors: Incorrect current balance or credit limit on an account.
- OFAC Alerts: Being listed on the OFAC list means you match a suspected terrorist, drug trafficker or money launder.
- Bankruptcy: If you received a discharge, any debt from before the bankruptcy should show up on your credit report with a zero balance and marked as “discharged in bankruptcy.” Or, a bankruptcy might mistakenly appear on your credit report.
Fair Credit Reporting Act
The Fair Credit Reporting Act (FCRA) was enacted to protect the accuracy, fairness, and privacy of consumer information in credit reporting. It regulates how consumer credit information is collected, used, and shared by credit reporting agencies. The law grants individuals the right to access their credit reports and dispute incorrect or outdated information. Credit reporting agencies must investigate disputes and correct errors within a specific time frame, usually 30 days. FCRA also limits who can access credit reports, ensuring that only those with a legitimate need, such as lenders, employers, or landlords, can view them. Additionally, the act mandates that negative information, like late payments or bankruptcies, can only remain on credit reports for a limited time, typically seven to ten years. Violations of the FCRA can result in penalties, including damages and legal fees for affected consumers. 15 U.S.C §1681 et.seq.
California Consumer Credit Reporting Agencies Act
The California Consumer Credit Reporting Agencies Act (CCRAA) was created to ensure that credit reporting agencies and creditors handle their responsibilities when reporting or furnishing information. The CCRAA requires them to follow reasonable procedures that protect consumers’ rights. Under the law a creditor shall not furnish information on a specific transaction or experience to any credit bureau if the creditor knows or should know the information is incomplete or inaccurate. Civil Code §1785.25(a).
Contact a Credit Report Dispute Lawyer
Book a free consultation. We help consumers who have errors on their credit reports. We have more than two decades of experience helping and representing people who have errors on their credit reports. We file lawsuits on a contingency fee basis so you don’t pay our fees and costs unless you win at trial or receive a monetary settlement.
