Monday, September 21, 2009

Information on Spotting Discrepancies on Credit Reports

The Fair Credit Reporting Act requires credit reporting agencies to correct discrepancies consumers find on their credit reports. Finding the errors is up to you and it is very important. A single mistake on your credit report can cause you to be denied a loan, insurance coverage or a job.

Accounts

    The most obvious error to look for is accounts that you did not open. This might be a clerical error or it could be identity theft.

Mathematical Errors

    Watch for mistakes in the math. If you had a $4,500 balance and paid $1,500 of it, your credit report should show a balance of $3,000.

Discrepancies

    Make sure that the correct amount of major purchases is reflected on your credit report. Example: If your car cost $14,999, check for that amount to be listed and nothing more.

Notations

    If you made a purchase and it was unsatisfactory to the point that you returned it or disputed it, you can ask for that to be noted on your credit report.

Outdated Information

    Information about you on your credit report remains for seven years, except personal bankruptcy which stays 10 years.

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