Will Disputing Errors On My Credit Report Damage My Credit Score?
Some of our clients have asked us this question, so we decided to make a blog post about it. Disputing errors on your credit report will not damage your credit score. In fact, it is your right as a consumer to dispute any inaccurate reporting that is hurting your credit score now. The Fair Credit Reporting Act has many provisions that protect consumers from unfair credit practices. In this article, the Columbus, OH FCRA attorneys at Kohl & Cook Law Firm, LLC will discuss the FCRA and how an FCRA lawyer can help you dispute accounts on your credit report.
Disputing accounts on your credit report
When you dispute a mistake on your credit report, the credit reporting agency is required by law to investigate the account and correct any inaccuracies. While you are disputing the account, the disputed information will be marked “disputed” on your credit report. This will not have a negative impact on your credit score. Nor will it have a positive impact on your credit score until the account is resolved. Disputing errors on your credit report could eventually have a positive impact on your credit score. This is because the corrected error will improve your credit utilization ratio, an important factor in determining your credit score. If there is an error on your credit report that shows a high credit card balance, once this error is corrected, it will lower your credit utilization ratio, which can, in turn, have a positive impact on your credit score.
It is, however, important to note that if you have a legitimate account on your credit report, disputing it will not necessarily remove it from your credit report. Black marks on your credit report, such as missed payments or accounts that have been sent to collections, will typically remain on your credit report for up to seven years from the date of the first missed payment. Also, credit reports that show a high number of disputed accounts could raise red flats with lenders and creditors. While disputing mistakes on your credit report will not necessarily harm your credit score, reports that show a large number of disputed accounts could indicate to lenders that you are not managing your credit responsibly.
To avoid a situation where you have too many disputed accounts on your credit report, you will want to only dispute items that are inaccurate or fraudulent. You should try to keep your dispute activity to a minimum. Instead, focus on maintaining a positive credit history by paying your creditors on time and keeping your credit card balances low.
Talk to a Columbus, OH FCRA Attorney Today
Kohl & Cook Law Firm, LLC can help you dispute inaccurate information on your credit report and provide a credit report review to ensure that all of the information contained in your credit report is accurate. Call our office today to schedule an appointment, and we can begin discussing your rights under the FCRA immediately.
