info@carolinalaw.com
info@carolinalaw.com
An inaccurate credit report can quickly destabilize many aspects of your life. These mistakes could mean higher interest rates on loans or even mortgage denials. The Fair Credit Reporting Act (FCRA) protects the accuracy, fairness, and privacy of consumer information. The legislation requires credit reporting agencies to adhere to specific procedures when addressing credit report inaccuracies.
A full report includes credit history, credit card account information, balances, available credit, and payment history. Established in 1970, the Fair Credit Reporting Act (FCRA) promotes the efficiency, accuracy, and privacy of consumer information. The legislation gives consumers the right to dispute any finding in their reports and expect those results to be reviewed promptly.
It’s essential to check your report regularly. Every year, everyone is entitled to a free credit report from the three major reporting entities. Simply visit AnnualCreditReport.com and select your report from Experian, Equifax, and/or TransUnion. Because you have exactly 12 months to wait between the requests you make at each institution, you may want to space out the requests. You can request all three at once, but if you’d like to check the information more regularly, use your free yearly report for each institution a few months apart.
A credit score is a standardized numerical system that summarizes a person’s creditworthiness based on their history. It is possibly the most recognizable part of a credit report. Fair Isaac Corp.’s (FICO) credit scoring system is the most common model that assigns a number between 300-850 to a person’s credit history. The scores reflect the following:
A score on the lower end of the spectrum can make it more difficult for a consumer to procure a loan. Further, a person with a low score who does obtain a loan may pay more in interest. The good news is that checking your credit score is now easier than ever, and most major credit cards offer free credit monitoring.
Credit reports dictate many aspects of our lives, both personal and professional. Consumers must remain vigilant about their reports and familiar with their rights. Your history as a consumer includes essential information ranging from your financial habits to criminal records. That information can impact your eligibility for loans, employment, housing, and more. For that reason, it’s vital that any inaccuracies in your report, such as information belonging to another person, are quickly spotted, and resolved.
As important as these reports are, there are a shocking number of ways things can go wrong. A few of the most common include:
Unfortunately, there are several ways a report can be comprised. The following are a few of the most common causes.
If the information on your credit report is inaccurate, incomplete, or misleading, contacting the creditor directly does not always resolve the inaccuracy. The only way to file a lawsuit is to first dispute the claim with a consumer reporting agency. You can dispute a claim online through their websites. Still, online disputes do not allow you to explain the problem thoroughly, nor do they generally allow you to submit documentation. After submitting the dispute, the consumer reporting agency will inform the company that reported the inaccuracies. That company must investigate the dispute reasonably and report any discrepancies. The agency has five days to rule the dispute as “frivolous” (unworthy of investigation) and 30 days to complete their investigation. Then, they must advise all financial institutions, background check agencies, and others who utilize the information. If they fail to fix the problem in a timely manner, you can file suit against the company that reported false data.
Our firm recently settled a case for $77,500.00 in which a credit bureau and two furnishers of credit information failed to correct inaccurate credit information despite repeated requests by our client. If you believe your rights under the Fair Credit Reporting Act have been violated, contact an experienced consumer protection attorney. Maginnis Howard offers free consultations for all FCRA claims. For more information, contact our office at (919)-526-0450 or submit a message through our contact page. Our office may ask you for documents to assess your case appropriately.
Our team can provide you with the legal support you need to navigate the aftermath of an inaccurate credit report. Contact us for a consultation to discuss your case and learn more about how we can assist you. We represent clients across the Carolinas from our Raleigh, Charlotte, and Fayetteville offices.
