Your credit report is a critical part of your identity in terms of your finances. This will essentially affect everything from getting approved for a loan to even potential job opportunities. However, errors in credit reporting are more common than you might think, and they can have serious consequences. Fortunately, the Fair Credit Reporting Act (FCRA) is a federal law designed to protect all consumers from inaccurate or unfair credit reporting.
What Does the FCRA Do?
The purpose of the FCRA is to properly regulate how credit bureaus (such as Equifax, Experian, and TransUnion) handle your credit information. Under the FCRA, you have several important rights:
- The right to access your credit report for free once a year at AnnualCreditReport.com.
- The right to dispute errors and have credit bureaus investigate within 30 days.
- The right to accurate and verifiable reporting—creditors cannot report false or outdated information.
Common FCRA Violations
Despite these protections, credit report errors still happen. Some of the most common FCRA violations include:
- Mixed credit files: Someone else’s accounts could potentially appear on your report.
- Incorrect account statuses: A loan marked as unpaid even after it’s settled.
- Failure to investigate disputes: A credit bureau ignores or delays your dispute request.
These mistakes can potentially lower your credit score and impact your ability to obtain loans, housing, or even employment.
How to Fix Credit Report Errors
If you find an inaccuracy on your credit report, follow these steps:
- Request your free credit report from the three major bureaus.
- Gather evidence—any bank statements, emails, or letters proving the error.
- File a dispute with the credit bureau reporting the inaccurate information.
- Monitor your credit report to ensure the error is corrected.
If the credit bureau fails to correct the mistake, you have the right to take legal action under the FCRA.
Need Legal Help? We’re Here for You!
If you have tried disputing a credit report error and the credit bureaus haven’t resolved it, you may have a legal case. At Credit Report Law Group we focus on FCRA violations and can help you restore your financial reputation. Schedule a free credit report case review today.