Credit reports are personal documents that contain from basic to confidential information such as name, addresses, up to court suits, foreclosures, and even bill payment trends. These information form up as a basis to obtain one's score that ranges from 300 to 850 with 678 as the average credit score.
There are parties that gather information in these reports known as bureaus. They use a standardized formula that calculates a person's score. This score is then sold to various companies and businesses that use the score as a basis for the suitability of one person with credit and other aspects.
One can raise score through getting clean reports. Clean reports are obtained through bureaus; three of the biggest ones are Equifax, Experian, and TransUnion. If ever there are misrepresentations of data in the reports, then proof is needed that the report has been erroneous.
Correcting reports can be done in two steps. First of which is through writing a letter of dispute for the reporting agency with regards to the misleading data presented. Along with the letter, there should be evidence – copies of the documents – that would support the allegation of an erroneous report. The letter should indicate your full name and address along with the items and parts of the report that have to be clarified and suspected wrong.
The letter must be closed with a request for correction and / or deletion of the misleading information. You need to keep copies of the sent dispute letter with a sign that the letter was delivered properly and was received accordingly. It is written in the law that a reinvestigation must be conducted within 30 days of receipt if the complaint is proved legitimate and valid. If it was proven that the complaint about the errors are true, then the reports will be corrected and cleaned.
The next thing to be done is to send letters to the prospective creditors or information providers with the errors in the report. Remember to attach second copies of the dispute letters with its proofs addressed to a specific person and address given by the provider of information.
If the complaint is about to be reported to a reporting agency, you must also attach a copy of the dispute letter you sent. If ever that the dispute has been resolved through giving merit, then a clean report should be on its way. With just that, score can rise up to 100 points or so as the wrong data has been removed.