Bankruptcy vs debt consolidation, which one is right for your current debt problems?

A credit repair letter is also referred to as a dispute letter. This is a how you remove a negative mark on your credit report with the credit bureaus.

This letter informs the credit bureaus that a mark is incorrect. The credit bureaus upon receipt of your letter will begin an investigation. A letter must be sent to each credit bureau that shows the disputed mark on your credit report.

In this letter you must provide the details about the mark. You must also state why this mark is inaccurate and should be removed, common reasons include; not my account, account is closed, account paid in full and many more.

Congress passed the Fair Credit Reporting Act to help protect you from the credit bureaus. This law forces the bureaus to investigate a dispute and remove any inaccurate or unverifiable listing from your credit report. Consumers had no method of removing a negative item from their credit before this law.

The hard part of credit repair is the bureaus have to deem your letter “valid.” The reason this is hard is because when bureaus conduct an investigation it comes at their own expense.

Thus bureaus are very resistant to investigations and use stall tactics to hopefully get you to give up on the dispute process. A typical response from the bureaus to a dispute letter is to request more information regarding the mark.

You should also be aware that the 100 word statement serves no benefit to you. This is a statement that you can place on your credit report next to a negative mark.

In past this was a place you could explain the circumstances behind a negative listing such as a sickness in the family, job loss, natural disaster… however now doing this only admits your guilt.

If you do this it will be next to impossible to ever remove this mark from your credit report. The credit bureaus will deem any future dispute letter challenging that mark as frivolous.

With patience and some organization you can have negative items removed from your credit report. However it is in your interest to consider a credit repair service if you have multiple negative marks on your reports.

About the Author:

To learn more about how to remove judgments, charge offs, late payments, collections or any negative mark or to learn about lexington law firm a professional credit repair service visit us.

John Cooper | Credit Repair |

Tags: Credit Repair

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