How to Clean up Your Credit Report

May 1st, 2009 @ 3:38 PM by Alden Smith

If you’re not regularly monitoring your credit report to ensure the information is accurate and up-to-date, you are dropping the ball, and you may be paying more for loans and lines of credit then you need to.

First thing you want to do is go to Annual Credit Report  and get a free copy of your credit report.  You can do this for free once per year.  They won’t tell you your credit score, but it will tell you what is on your credit report.  If you don’t mind paying, you can get your credit score, too.  You can also get your credit report more frequently if you once again don’t mind paying.  The exception to this is when you have been denied credit.  The lender denying you credit must tell you which credit reporting agency has provided them with the information that caused them to deny you credit.  That credit reporting agency must provide you with a free copy of your credit report.  You must obtain this within 60 days of being denied credit.

Check the information in your credit report to see if there are errors, and if there are, dispute it immediately.  Always do so in writing.  Send any correspondence by certified mail with return receipt.  This not only gives you documentation, but if the credit reporting agency can’t verify the negative information within 30 days, it must be removed from your current report.

If you find negative information that is accurate, contact the lender that provided the negative information and attempt to work out a payment plan.  If you can pay the entire balance in one payment, it is to your benefit.  If you do pay all at once, request that they remove the negative information from your credit report.  Always be sure to get everything in writing.  Never send payment until you receive their written agreement.

One Response to “How to Clean up Your Credit Report”

1. fooball says:

   October 25, 2011 at 7:02 pm

   Great story once again. Thanks:)