Having a “bad credit history,” a “bad credit rating” or simply “bad credit” usually means your credit reports (and the credit scores that derive from them) show negative credit behaviors in your recent past. But let’s start at the beginning. What is a credit report?

 

Checking Your Credit Report

 

Our credit report is like our financial blueprint. This tells us what we have done and where we are heading. It’s a reflection of some of our financial decisions, good or bad. And credit is simply making a purchase or borrowing money with the agreement that you’ll pay later.  So, what happens when you don’t pay? Broadly speaking, bad credit will arise if you do not repay your debts according to your borrowing agreements. Events including late or missed payments can hurt your credit, but you may be able to recover from them before your credit is considered bad if you resume paying your debts on time. Now that we know the basics of credit reports, how can we repair them if they’re not looking so good?

Many things can make you want to repair your credit report like the following:

  • Wrong account status (such as a payment mistakenly reported late when you paid on time).
  • Negative information that’s too old to be reported
  • An ex-spouse incorrectly listed on a loan or credit card.
  • Wrong account numbers or accounts that aren’t yours.
  • Inaccurate credit limits or loan balances.
  • Accounts you don’t recognize.
  • Addresses where you’ve never lived.

So, let’s say you found out that something on your report doesn’t add up. What now? Your goal is to make it as easy and quick as possible for investigators to confirm that your complaint is valid. Depending on the error, the things you gather to support your case could include copies of credit card statements, loan documents, bank statements, divorce decree, etc. Once you have all your information you can contact one of these three (or all three) major credit reporting bureaus: Experian, Equifax, and TransUnion. There is no cost to dispute credit report errors, and you can dispute as many items as you like. Filing a dispute does not hurt your credit score, but the result of the dispute may have an effect on your score.

Can I Repair My Credit Report? Review

Credit reports can seem like a pain but they exist so you can stay on top of your loans, debt, and they keep you in check with your finances. Overall, being in charge of your life means being in charge of your finances and managing them well. At Mediator Law Group, we are here to help you do that with our aggressive legal and financial strategy that will get you out of debt. It will take disciplined action to change your previous bad habits but that is the only way to change your life. Are you ready for change?