Student Credit Card and Credit Education Blog

Knowing the formal process involved in disputing a charge on your credit report is of paramount importance. You obviously want to move quickly to correct the situation and gain back those valuable credit points that have been stripped from you.

Your credit score can either serve as your best friend or your worst enemy as it is used when considering leases, loans, and employment. The funny thing is that for something so important we seem to treat it like a rusty old bike in the backyard; we pay little mind to it at all.

In contrast we protect the contents of our homes by locking the door, have alarms installed in our automobiles, and even put little fences around our gardens to fend off predators from feasting on our tomatoes and cucumbers. There is also a way you can protect your credit score, which we discuss later in this blog, but for now lets focus on your five step plan for disputing a charge on your credit report.

Step 1: Contact the three major credit bureau’s: Trans Union, Equifax, and Experian and place a fraud alert on your credit report. That way if anyone tries to open up a new line of credit under your name the lender will notify you, though it is not required by law for them to do so.

Step 2: File a dispute with each of the three bureau’s (response generally takes between 30-45 days while your claim is being investigated). It is best to submit your dispute in writing with any documents you have on file to support your position.

Step 3: Send a dispute notification in writing to the creditor whom you are disputing the item.

Step 4: Send your disputes certified mail, “return receipt requested” so you can document that your letters were received.

Step 5: Ask the consumer reporting companies to send notices of correction to anyone who received your report in the past six months, assuming you have a favorable result (they will only do this if you ask).

Finally, you may want to consider protecting yourself with a service like myFICO score Watch which serves as your personal safeguard by alerting you immediately when there is a change or query into your credit.

myFICO Score Watch Benefits

• Monitors important changes to your FICO
• Provides timely alerts when important changes are detected
• Easy-to-read view of how lenders see you and items affecting your score
• Alerts you when you might qualify for better interest rates on loans

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