How the Dispute Process Works
Under the Fair Credit Reporting Act (FCRA) consumers have the right to challenge information that appears on their consumer credit report(s). While most consumers know they can dispute errors and fraudulent accounts, many people are unaware that ALL reported information can legally be questioned. Challenging items which adversely impact your score is the key that credit repair companies use to fix your credit and unlock higher scores.
Per the FCRA the credit bureaus have thirty days to complete investigations. The bureau contacts the information’s source (creditor, court, etc.) who must review their records and reply to the bureau within fifteen business days. If they fail to reply, the bureau removes the challenged information from the credit file. If they reply with corrected information, the account could change from negative to satisfactory. If they verify the disputed information, the consumer has the right to re-dispute until they’re satisfied with the status of their credit report.
In 2020 the bureaus stopped mailing standard dispute results to consumers, but consumers can review their results using free credit monitoring services. Consumer monitoring provides updated information without lowering scores.
The more often an account is questioned, the more time, resources and money it costs the creditor to respond. After repeated disputes, creditors often choose to stop responding because of the costs involved. The bureau then removes the disputed information from the credit file. That’s why repeated disputes are typically needed to repair credit.
How Long The Credit Repair Process Takes
Information can potentially update after just one dispute; however, most accounts require persistence before they’re changed on the credit file(s).
Older items tend to be easier to remove than recent items. (Age is based on the date of last payment or first payment never received.) Items with no outstanding balance tend to be easier to get deleted than items with notable outstanding balances.
There’s no way to know how long a specific case will take, but we can look over any report you share and provide a guesstimate how long it may take to fix your credit based on trends and over thirty years of experience.
When DIY Works … and When to Get Help
Consumers with a strong understanding of the FCRA may feel comfortable doing their own credit repair. Dispute template forms are available from each of the bureaus; however, they give specific multiple-choice options. Form-field disputes such as these significantly limit what can/cannot be said in a dispute. They’re designed to force consumers to use phrases that claim responsibility for the account. Federal reporting laws allow negative history to report for seven years (and satisfactory history for ten years). Providing validation an account was yours by using the limited form-field dispute options will unfortunately ensure the account remains on your credit that full time.
Online disputes have similar limited choice form-fields. Worse, online disputes options tend to limit the number of items you can dispute at a time and how many times you can dispute per year (even though the FCRA allows consumers unlimited disputes).
We Write Custom Disputes for You
The Credit Guru doesn’t use online or bureau-template forms for these reasons. Our client disputes are drafted by us personally, catered to each client’s case and carefully phrased so they don’t admit or deny that an account was yours. The credit bureaus are just the middle-man reporting consumer history per what creditors have told them and thus unsure what is really yours and really accurate. If the credit bureau fails to get verification back from the creditor within the fifteen business days outlined in the FCRA, the bureau assumes the history is invalid or not yours and removes the disputed information from your report. That’s why reported information can potentially be removed when the validity is challenged.
Beyond the in-depth understanding of the FCRA, consumer rights, dispute procedures and the extensive experience that credit repair companies have… getting professional help also ensures that ongoing disputes are sent in a timely manner. Again, credit bureaus have thirty days to complete investigations. Information is often verified and remains when disputed and requires additional follow-up disputes to yield desired results. Quality credit repair companies will keep track of disputes sent and ensure that any verified history is re-disputed in a timely manner on your behalf. This is one of the greatest advantages of using professional help to dispute your credit. While some consumers may be highly organized (keeping a close record of dates disputes were sent, dates follow-up disputes are needed and time needed to draft new disputes each month), most consumers have other important things to focus on and may not be able to keep up with the dispute process. Sending carefully-timed persistent disputes that don’t overlap but also don’t have a large gap between investigations is key to wearing down the creditor(s) and improving chances of desired investigation results.
The Credit Guru Can Help You With Your Credit Repair
If you’re still not sure whether disputing on your own or whether getting assistance to repair credit is the best option for you, please feel free to take advantage of The Credit Guru’s no-obligation free consultation. You’re welcome to schedule your consultation with us by phone or reach out to us by email. We look forward to discussing your credit situation, any financing goals you may have and helping to build a personalized plan for you to reach those goals.