Credit Repair

Writing A Credit Dispute Letter – A Step-By-Step Guide

When it comes to writing a credit dispute letter, there are several things that you need to take into your careful consideration. There are three major credit bureau agencies that prepare your credit report; these three agencies are – Experian, Equifax, and TransUnion. Your creditors, employers, landlords, and other parties that you are having some financial transactions with, especially related to credit, report to these bureaus how efficiently you are handling your debts. The bureaus make entries on your report on the basis of the information provided to them by your creditors. But, sometimes, the entries made by them may not be complete or accurate. It can happen because of an array of reasons, such as typo errors done by the credit bureaus, wrong or incomplete information supplied by your creditors, and other such things. Therefore, it is very important for you to review your credit report at least once every year. As per the laws, you are entitled to obtain a free credit report once every year from each credit bureau. If you notice some mistakes over there, you will have to follow a set procedure to file a dispute with the bureau to rectify those errors. Following is a brief rundown on some tips and suggestions that you will find useful while you are trying to write a dispute letter.

Mark The Errors And Prepare A List

Before you start writing a credit dispute letter, the first thing you have to do is to mark all those entries that are either not complete or are inaccurate. Then, prepare a list of those mistakes on a separate paper. You must carefully check each and every entry to identify the damaging details on your credit report. However, here it is very important for you to understand that you have to mark only those entries that are either not correct or not complete; you do not have to mark all negative entries. There is no way to remove those negative entries that are correct and complete. For example, if you have been granted bankruptcy, it is going to be there on your report for a period of seven to ten years.

Address Each Of The Three Credit Bureaus

You have three separate reports from the three major credit bureaus, but you may notice that the disputable entries appear on just one or two of those reports. Even though that is the case with you, you must address each of the three bureaus while you are writing a credit dispute letter. By sending the dispute letter to each of three agencies, you ensure that the incorrect entries do not appear in future in any of the report prepared by any of the bureaus.

Write A Separate Dispute Letter For Each Disputable Entry

If there are multiple disputable entries on your credit report, you are probably considering saving your time by writing a single dispute letter to cover all the mistakes. This is not the right way to do this; if you do so, your application is very much likely to be rejected straightaway. If your dispute letter is bombarded with lots of disputable entries, the bureaus might consider as an attempt to fraud. At this stage, they may even send you threats that what you are doing is illegal and that you are trying to mislead them. However, there is nothing they can really do against you as long as the disputable entries you mentioned are genuine or unless the bureaus have evidence to prove otherwise. Still, when it comes to writing a credit dispute letter, the best way to do this is to write a separate letter for every individual disputable entry. This way, the process will never get complex and you will be able to handle the situation more efficiently. Always remember, as per the US laws, you have the legal right to get the information on your credit report corrected if there are some errors. So, make sure you do not give up even if the bureaus try to file objections against your request. Face the situation; give them evidence why you think the entries are wrong or inaccurate.

Do Not Type It; Write It By Hand

Another great strategy is to write the letter by hand instead of sending a printed copy of the letter typed on your computer. You are also advised to use some strong words while you are writing a credit dispute letter in order to convince the bureaus that your case is a genuine one and that you are serious about making your credit report free from all types of errors. Some strong words that you may like to use include, but definitely not limited to, unverifiable, misleading, outdated, erroneous, and other such words.

Do Not Try To Explain Everything

Keep the letter brief and to the point. There is no need to write a long explanation for each and every disputable entry. When the credit bureaus receive the dispute letter, they do a thorough investigation on their level. They are not interested in your explanations. Your task is just to let them in brief what the errors are and why you think they entries are not correct.

Format Of The Letter

Though there is no special format that you need to use while writing a credit dispute letter, still, if you are not sure how to go about it, you can consider downloading some free samples from Internet. This way, you will get a better idea on how to add maximum effects to your letter by following specific format.

Have Patience; The Process Takes Time

There is no legal way to get the errors corrected within a day or two. Therefore, beware of those credit repair agencies that offer such quick fixes. The process takes time. After receiving your letter, the credit bureaus take around fifteen days to send a reply to you, informing you that they have received the letter and have also started the investigation process. There will then be a wait period of another two to four weeks before they will send you the new credit report with correct information. However, it is important to note that sometimes credit bureaus are very slow in sending a response. If you do not get any response from them within two weeks after sending the letter initially, you must send them another letter reminding them about the previous letter that you have already sent to them.

As you can see, though writing a credit dispute letter may not be a very difficult task, following the entire procedure can be very time consuming. Things sometime may also get complex when credit bureaus reject your application even though you have evidence that the entries you are disputing are genuinely wrong and/or incomplete. If you are having difficulty in handling the situation yourself, you can always consider hiring a reputable credit repair agency to assist you with the process.

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