How to dispute errors on your credit reports

Yahoo

26-07-2025

The information in your credit reports might not be as accurate as you would think.
A 2024 study on credit report accuracy found that more than 44% of people who checked their credit reports found at least one error.
If you're like most of the people I've worked with as a certified credit counselor and financial educator, you find your credit reports hard to read. And when you see errors in your reports, you may feel powerless to get them fixed.
One potential solution is to hire a "credit repair company" you find on TikTok or hear about on the radio, but these companies often charge illegal fees and use dishonest marketing.
What's the best way to get credit report errors fixed? Many people don't know they can file a dispute on their own — for free — and it usually takes just a few minutes to do online.
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Why do my credit reports have errors?
The most common reason for credit report errors is identity theft.
If someone steals your sensitive personal information and then applies for credit in your name, they might cause all kinds of incorrect details to show up on your credit reports, from a misspelling of your name to a credit card that doesn't belong to you.
However, credit report errors can also simply be mistakes. For example, if a credit card company incorrectly reports that you missed a payment, the missed payment will appear on your credit reports.
Here are some examples of credit report errors that were reported to the Consumer Financial Protection Bureau (CFPB) in 2024:
Inaccurate balance information
Fraudulent accounts
Incorrect payment status
Collection debt that resulted from unauthorized charges
Applications for new credit that were not made by the consumer
Why is it important to fix errors on credit reports?
Certain credit report errors can cause major problems, from being denied a new credit card or loan to paying higher interest rates than necessary on new credit.
Here's a look at the types of credit report errors that can impact you, and the consequences of each one:
Incorrect identity information
If there's an error when it comes to your name, date of birth, or Social Security number, you could have a variety of issues with your credit, including:
Trouble accessing your credit reports: You have to verify your identity in order to pull your credit reports. But if your identity information is incorrect, you'll have to take extra steps to confirm your identity before you can get access.
Debt accounts that don't belong to you: If you have someone else's identifying information on your credit reports, their accounts could end up on your reports and cause damage to your scores.
In my experience reviewing thousands of credit reports, some of the most common reasons you might have incorrect identity information on your reports are if you have a family member with a similar name to yours, or if you've changed your name.
Negative account history
Your credit scores are calculated based on debt information in your credit reports. If the negative debt information in your reports is inaccurate, your credit scores will be lower than they should be. As a result, you might have trouble finding affordable loans or getting approved for mortgages, credit cards, or even apartments.
Here are some negative marks that can severely reduce your credit scores:
Missed debt payments (payments made at least 30 days late)
Closed accounts with outstanding balances
Debt that doesn't belong to you
Credit card balances that are high due to credit card fraud or identity theft
Credit applications made by someone else
Each time you apply for a new credit card or loan (which results in a hard inquiry on your credit reports), your credit scores can be impacted. You usually lose anywhere from one to five points for each application.
If someone steals your identity and uses your information to apply for credit, your scores could take a big hit. For example, if they apply for five to 10 different loans, your scores could drop by as much as 25 to 50 points.
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How to dispute credit report errors
Many people think filing a dispute is a daunting process, but it doesn't have to be.
If you find an error on your credit reports, here are the steps I recommend taking to have the best chance of getting a dispute resolved in your favor.
1. Make a list of errors. List out each error you find on your credit reports. If you find the same error on multiple credit reports, you'll need to file a dispute for each one.
2. Gather documents. If possible, find documents that support your claim. Depending on the error, this could include something like a name change document or a bank statement proving you made your loan payment on time.
3. Consider contacting the creditors. If you have incorrect account information, contact the creditor (that's the lender or credit card issuer) before filing your dispute. They may be able to fix it on their end and update the information they report to the credit bureaus.
4. Visit the credit bureau's website. You can file disputes by mail or phone, but the fastest way to do it is online through these websites:
Equifax
Experian
TransUnion
5. Follow the prompts. You'll likely see a digital version of your credit report, where you can select the error(s) and provide a brief statement explaining the issue. If you have supporting documentation, be sure to upload copies.
6. Review and submit. Take a second look to ensure the information you provided is correct, and then submit your claim.
How long does it take to fix a credit report error?
The process of fixing a credit report error can take 35 to 50 days from start to finish.
The credit bureau is legally required to investigate your claim within 30 days, though in some cases, they can extend to 45. During that time, they'll try to determine if they can resolve the issue on their own. If not, they'll reach out to the company that furnished the information, and the furnisher will investigate.
Once the investigation is complete, the bureau has five days to send you the results.
Should I hire someone to fix my credit?
Chances are, you've seen TikTok posts or heard radio ads promoting credit repair. After all, it's a nearly $7 billion industry, and there are an estimated 46,000 or more credit repair businesses in the U.S.
However, credit repair companies can be dangerous to work with. Most of them are sole proprietorships, meaning they're one-person operations. Even if you find a seemingly reputable agency, remember that they're still charging you to do something you can do on your own for free.
On top of that, the CFPB has found that a dispute submitted by a credit repair company is less likely to be investigated than one you submit on your own behalf. So, if you find a credit report error, it's usually best to attempt a dispute on your own.