8 Steps to file a credit report dispute

It is a well known fact that the Fair Credit Reporting Act gives us the rights to dispute the incorrect information mentioned in our credit report. However, most of us do not know how to file a credit report dispute. Here are a few steps which may help you file a credit report dispute:

1. Letter to the credit bureau: You'll have to write a letter to your credit bureau mentioning the item that you want to dispute. If you want to dispute two separate items, then send two separate letters to the bureau. You should also demand a return receipt of the letter. You should mention your name, social security number and address in the letter for verification.
2. Wait for 30 days: Once you receive the return receipt from the credit bureau, you'll have to wait for 30 days. This is the time period required by credit bureau to investigate the item and remove it from your credit report.
3. Demand Letter: After 30 days have passed and if you did not receive a verification of the disputed item from the credit bureau, send them a demand letter. In this demand letter, you should ask the bureau to remove the item from your credit report as the investigation period of 30 days is over. You should even attach a copy of your dispute letter and return receipt with the demand letter.
4. Wait for 15 days: You should at least give the credit bureau a time period of 15 days to reply to your demand letter.
   
5. Second demand letter: If you do not receive any reply to your first demand letter within 15 days, you    should send a second demand letter to the bureau. With the second demand letter, you should attach the copies of original dispute letter, return receipt and first demand letter and inform them that 45 days have passed since you filed the dispute. You should ask them to remove the item from your credit report.
6. Contact the original creditor and file a dispute: You can contact your original creditor and file your dispute. As per the Fair Credit Reporting Act, the creditor has to verify the information within 30 days. Do not forget to ask for a written proof - for e.g. account statements which verified the disputed information. Wait for 30 days in order to get a reply from your creditor. Send a demand letter to the creditor if it does not reply within 30 days. If it cannot verify the information, ask the creditor to remove it from your report.
7. Add a statement to your credit file: You can add a 100 word statement to your credit report if a negative item on your credit report has been disputed and verified but not removed. In your statement, you should explain the item.
8. Legal help: If the credit bureau or your original creditor does not verify the negative information or remove it from your credit report, you can sue them for the violation of the Fair Credit Reporting Act. However, filing a lawsuit should be your last option. So, be persistent and keep on contacting your creditor and credit bureau.

If a credit bureau contacts your creditor and verifies the information, then it must notify you about the results and send you an updated copy of your credit report. Also note, once a negative item is removed from your report, you should ask the credit bureau to send correction notices to all those who received your credit report in the last 6 months. If you take the above mentioned steps, it'll make sure that your credit report dispute is taken care of properly. It'll help you make your credit report error-free.