Anyone who has given out their social security number when they received a credit card, loan, or mortgage has an active account listed on their credit report. Even inactive accounts may continue to be listed for years afterward. Thankfully, credit repair specialists can assist in getting these inaccuracies removed quickly.
Inaccuracies Abound
With millions of credit card and loan accounts in America, a lot can go wrong. A mistyped name or a social security number with one wrong digit can cause havoc.
Some of these problems are minor, such as a closed account being listed as ‘open.’ Other times, accounts that have gone long past due or entirely unpaid may appear on an incorrect individual’s credit report.
False Inaccuracies
Sometimes, it isn’t an inaccuracy, but rather a misunderstanding. If a person purchased a big-ticket item from a store on a 0% payment plan, a credit account was most likely opened.
That person may wrongly assume the account was closed after they paid off the account, but the account might actually be open years later. This doesn’t necessarily hurt a credit score, however, and as long as payments aren’t missed, it can actually help a person’s score.
Accounts in Bad Standing
These accounts are extremely damaging to a person’s credit report. Each time a payment is missed by more than thirty days, a person’s score can easily drop fifty points or more. Considering that a credit report ranges from 300 to 850, those fifty points can cause serious harm. Inaccurate accounts such as these must be removed as quickly as possible.
Removing Accounts
It is important to note that unless accounts are older than seven years, credit reporting bureaus will not remove accounts deemed to be accurate. Once an inaccurate account has been identified, it can be removed. The process is similar to how to dispute a hard inquiry.
The first point of contact is the credit reporting agencies. Tell them which accounts are believed to be inaccurate, and file a dispute. The credit reporting companies will ask for proof, typically in the form of documentation. If you don’t have any, the dispute can still be processed, but every bit helps.
You can also reach out to the lender or creditor that opened the account. They may be able to provide you with additional documentation. You should never admit that a debt is yours when calling–doing so can open up a can of worms and cause you additional problems. Simply state that you’d like documentation regarding the account.
Credit Repair Companies: A Trusted Friend
As you can see, removing inaccuracies can take a long time. Several rounds of phone calls and letters may be needed to get an account removed. Fortunately, reputable credit repair companies such as The Phenix Group have professionals standing by to assist you in the process.
We’ll work diligently to remove collections accounts from your credit report, fix incorrect loan amounts, and create a customized plan to get your credit back on track. Once your credit score begins to rise, financial doors begin to open!