How important is it to get free credit checks? If you want your credit report to be accurate,
then it's very important. The companies that compile credit reports, usually called credit
bureaus, have a history of producing reports with errors. When Consumer Reports looked
at credit reports, they found that over 50% had mistakes. And the national consumer group,
USPIRG, reported that 70% of the credit reports they checked had at least one error.
So without getting free credit checks an error could cost you higher loan rates on a car or
house or higher insurance payments or even cost you a job offer or promotion.
It's possible your free credit checks won't find any errors, but if there are, the
Fair Credit Reporting Act(FCRA) can make sure your credit report is corrected. It allows you to
dispute any information that you feel is in error or incomplete. The FCRA also specifies that
only you or businesses and government agencies with a legitimate need can access your credit
report.
If your free credit checks should turn up an error or omission in your credit report, you
should write the credit bureau. Include copies of any papers you have that support your claim.
Send the letter by certified mail, return receipt requested. The credit bureau is required to
investigate all reasonable disputes and resolve them within 30 days unless there's an extension.
The bureau will contact the supplier of the disputed item to verify it.
When the credit report service is finished with its investigation, it must send you the
results. If the disputed information found with your free credit checks isn't verified, it's
removed or corrected. And if the supplier of the disputed information confirms that it's in
error, it must notify the other national report services about the item. Also if there's a change
to your report, the report service must send you a free copy. At your request, the credit bureau
can report the change to anyone who's received a copy of your credit report in the previous
six months or for employers, two years.
Besides errors and omissions, you should also look for any outdated information when doing
free credit checks. Most negative information must be removed from your credit report after
seven years. Exceptions include bankruptcies which can remain for ten years and other public
records information which has a statute of limitations longer than seven years. Also, negative
information of any age can be reported when applying for a job with a salary of more than
$75,000 or for credit or life insurance worth more than $150,000.
To get free credit checks and free 30 days of credit monitoring, please go to
free instant credit reports.
