Credit Report Repair: How to Fix Errors in Your File

Once you have ordered your online credit report, read it over to make sure all your familiar personal information and your listing of authorized accounts is accurate. If there are errors on your credit report, follow these easy steps to complete your credit report repair.


This page:

    • Explains why errors may be listed in your credit file

    • Describes how to contest information in your report

    • Outlines how to go about removing true derogatory information

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Why are there errors in your credit file?

There are generally two possible explanations for an unrecognized listing in your credit report.

First, you may be a victim of identity theft. This is a complicated situation which requires urgent attention.

If you feel like you have been a victim of ID theft, read our quide to identity theft, and begin to take steps to correct your situation as quickly as possible.

The second explanation for an unfamiliar listing in your file is that your online credit report contains a simple error. This is much easier to fix, though it can still be frustratingly time-consuming and tedious.

Credit report repair: how to correct an error

All three credit bureaus make available credit report error contestation forms, which are either Included with your printed credit report, or can be filled out online if you order an online report.

Simply mark any errors you find and return it to the credit agency. They then have 30 days to investigate your claim and reply with their findings.

If you find an error on your report and the creditor in question insists that the information is correct, you are entitled to a statement of dispute.

Unfortunately, there is no way to completely erase the creditor's misinformation. However, the Fair Credit Reporting Act guarantees your right to also include a paragraph explaining your position. Your credit report will then include your explanation along with the creditor's account summary.

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The sooner you catch a mistake in your credit file the better. Setting aside the fact that victims of ID theft should act as quickly as possible to mitigate damage, everyone should strive to have error-free credit, in order to insure that lenders don't raise rates by mistake.

The best way to insure that your report is error-free is to sign up for a monitoring service, that will alert you whenever changes to your file occur.

Credit report repair: explaining a credit offense

If you want to inform potential lenders of circumstance in your life relating to an actual credit offense, you can attach an explanatory statement to your personal credit report outlining those circumstances.

These statements are semi-permanent, however, and remain on your credit report for seven years or until the relevant account information expires. Utilizing this option is recommended in situations where your credit report is accurate but you defaulted on your loan by mistake.

If you attach an explanation about the situation and provide concrete evidence that it will not happen again, creditors may offer you more flexibility.


Next: An in-depth look at FICO credit scores, and the factors that decide your score