DISPUTE EVERYTHING: Recent studies by the FTC have said that up to 70% of credit reports have errors on them. That breaks down to 1 out of every 3 adults in the USA. It is fair to assume your own report contains errors as well. Either because of clerical errors or miscommunication, collection accou3nts are among the most common errors on credit reports. That’s why factual disputes are better than disputing “account not mine”, especially if the account is really yours. To find factual errors go through the negative tradeline and list every error, inaccuracy, incomplete or false thing you find. No doubt you can find a factual error or two, or three. And when you find an error, request the credit bureau delete the negative tradeline, not make a correction. Corrected negative information is still negative.
The E-Oscar Investigation Method: Because the credit bureaus utilize the E-Oscar method of investigation, a consumer dispute is reduced to a two-digit code. This code is intended to best describe the dispute issue. What the code really does is reduce the credit bureaus’ time in processing disputes and eliminates the F.C.R.A. requirement for the dispute to be properly investigated. Use this against them and hand write your letters instead of using a template off the internet. Most online letters are easy to spot and get automatically denied. You need to get your letter past the computer and into the hands of a human employee at the Bureaus. Bank on the assumption they will be too lazy to actually do what the letter is requesting and just delete the negative account
BEST TIME TO DISPUTE NEGATIVE ITEMS: This is why we suggest checking those reports constantly. You can choose to dispute a collection account at any time, however, there are times when disputing a collection account may produce better results. When an original creditor transfers a debt to a collection agency, the original creditor still owns the debt. It may be difficult to dispute in this situation. Working with the original creditor to resolve the debt may be the best option. When the original creditor has sold the debt and it ends up in the hands of a junk debt buyer, you have a pretty good chance in disputing the debt and here is why. Junk debt buyers are collection agencies that purchase “old” debts and are working for themselves. Sellers of “old” debt include cell phone companies, utilities, medical companies, card issuers, and many other types of businesses. Because junk debts are purchased for pennies on the dollar, debt collectors and junk debt buyers usually seek to negotiate a settlement with the debtor. They just want the money. Disputing the listing on your credit report may result in a deletion because they don’t have the time or desire to deal with credit disputes.
4. HOW TO FIND THOSE FACTUAL ERRORS:
Account reporting “One Month Term." What terms and agreements did you sign and agree to when the debt collector purchased the debt? None. Collection accounts should not have one month terms.
Account reporting as "120 days late". How can this be? Collection accounts are not like original creditor accounts. You did not open an account with a collection agency and promise to pay monthly payments. The debt collector can report the last status from the original creditor but they cannot update lates on a monthly basis.
Account is reporting as an "Installment". Again, what terms and agreements did you sign and agree to when the debt collector purchased the debt? None. Is the debt collector posing as a bank, lender or finance company? Collection accounts are not installment accounts.
Another common error is reporting the debt as revolving, which is not only inaccurate, but may cause the credit score to further decrease. The collection account now looks like another revolving account in default and will be scored along with other revolving accounts on the credit report.
Account “ balance" or the "high balance" is incorrect. Many collection agencies pose as Data Factoring Companies. Even if the credit bureaus allow this deception, you did not open a "data factoring account" with them. Collection accounts are not “data factoring accounts.
The date of first delinquency with the original creditor is not reporting and according to the F.C.R.A., Section 623, (a)”A person who furnishes information to a consumer reporting agency regarding a delinquent account being placed for collection, charged to profit or loss, or subjected to any similar action shall, not later than 90 days after furnishing the information, notify the agency of the date of delinquency on the account, which shall be the month and year of the commencement of the delinquency on the account that immediately preceded the action.”
You will probably find more than one factual error, however, do not list all of them in one dispute letter. Save some for later in case you do not get the desired result on your first round of dispute letters.
Disputing negative tradelines based upon factual errors may eliminate the credit bureaus' excuse of "previously investigated" notation. Finding factual errors causes the credit bureaus to do their job properly. Frustrate the credit bureaus to the point they will follow the FCRA and actually investigate a dispute or even better, frustrate them to the point they will delete the negative tradeline. It may not work every time but you will find you can get a lot more mileage out of dispute letters containing factual errors whether than disputing "not mine" only to have the investigation results come back verified.
LAST CHANCE STEPS/IDEAS IF ALL ELSE FAILS: Sometimes you come up against a creditor or collection agency that will not budge. Make complaints to the C.F.P.B., the F.T.C., or your State’s Attorney General. If this is an actual error you can happily and easily sue the debt collector for this or other violations of the Fair Debt Collection Practices Act (F.D.C.P.A.). If you sue under the F.D.C.P.A. and win, the debt collector must pay your attorney’s fees, and may also have to pay you damages (up to $1,000.00 per error!). Lastly, Consider hiring a professional, like My Company FIXMYCREDITANDREPAIR.COM Where we offer no membership fees, low priced packages, credit counseling and 100% satisfaction or money back guarantee. Or click the link below.
