Recently, we have seen an increase in consumers complaining about previously corrected data being reported on credit reports, particularly when car loans/leases are paid off early. Inaccurate and recurring debt can prevent consumers from purchasing homes or impact their credit scores. If this is happening to you, follow these instructions.
How to Handle an Inaccurate Recurring Debt
The Fair Credit Reporting Act (FCRA) is federal statute that promotes accuracy, fairness, and privacy of consumer information held by credit reporting agencies. There are specific procedures a credit reporting agency must follow before reinserting negative information that had previously been removed from your credit report following a dispute.
The only way a credit reporting agency can reinsert information on your credit report is by certifying that the information is, in fact, true and 100% accurate. They are also required to send the consumer a written notice within five business days that the information has been reinserted and provide contact information for the company that furnished the information.
How to Dispute Inaccurate Information
To file a lawsuit under the FCRA, first dispute the claim with a consumer reporting agency (such as Equifax, TransUnion, Experian). You can dispute a claim online through their websites, but the online disputes do not really provide you with an opportunity to give a full and complete explanation of the problem nor do they generally allow you to submit documentation. Keep copies of whatever you submit, even if it’s the online form.
The consumer reporting agency is required to provide the submitted information to the creditor who reported the debt. That creditor must investigate the dispute reasonably and report any inaccuracies. The credit reporters will then provide you with information regarding the investigation and, hopefully, they will correct the inaccuracy. If they fail to fix the problem then, and only then, can you file a claim against the creditor for placing inaccurate or misleading information on your credit report.
If you have filed a dispute with Equifax, TransUnion, Experian, or some other consumer reporting agency and they have refused to fix the incorrect information on your credit report, we may be able to help you. Our firm handles FCRA cases on a contingency basis, meaning you don’t owe attorney fees unless we win your case. Maginnis Howard handles FCRA cases all over North Carolina.
To speak with our intake team, call us at (919) 526-0405 or send a message through our contact page.