An accurate credit report is an essential part of a person’s financial present and future. Unfortunately, errors in these credit reports are common. These can occur at two points in the process. First, when the financial company provides information to the credit reporting agencies, and second when the credit reporting bureau provides their report.
Errors at any stage of this process can have a debilitating effect on a person’s finances. It is critical to understand how these errors occur to prevent them and to demand a remedy when they occur. By comprehending these credit report errors, consumers can help to protect their financial health and to hold negligent credit reporting bureaus responsible in court. Speak to an experienced credit denial attorney to learn about the common credit report errors in Pascagoula.
One of the two major players in producing an accurate credit report is the lending institutions that provide raw data to the credit reporting bureaus. These include credit card companies, mortgage lenders, car loan companies, and utility companies.
The most frequent example of these errors is a failure to provide an accurate payment history. If a consumer makes a payment on time, but the financial institution fails to mark it in their ledger, this will indicate an error for non-payment. Other errors on the part of lenders can include:
These common credit report errors in Pascagoula can cause significant hardships for consumers.
The other source of inaccurate credit reports is the credit bureaus themselves. Under The Fair Credit Reporting Act (FCRA), this includes a duty to recognize and fix any recognized errors. Every consumer has the right to review their credit report and to request an investigation into any apparent errors.
Another common form of credit bureau errors is a failure to perform an investigation upon consumer request. If this failure is due to negligence, a consumer has the right to demand actual damages in court. If the failure is the result of willful misconduct, a consumer can demand payments even if they did not suffer any actual harm.
It is also possible that a credit reporting bureau may fail in demanding accurate information from lenders. While a credit agency will not evaluate every mark that comes from a lender, they must act if any party raises the alarm as to an issue concerning accuracy. A failure to ensure this accuracy is another clear example of a common credit report error in Pascagoula.
Errors in the credit reporting process can happen at any point in the process. A lender may commit an error if they misidentify a borrower, fail to mark a payment as having been made, or by mixing or merging credit reports. Errors can also occur once this data moves to the credit reporting bureaus. These agencies have a duty under federal law to investigate any apparent errors and must act if those errors become apparent.
Consumers must be able to recognize these errors and act once they come to light. They may accomplish this by filing a formal complaint with the credit reporting agency or by contacting their lenders to clarify their accounts. Working with a lawyer could help to accomplish these goals. Act quickly to fix these common credit report errors in Pascagoula. Call today to learn more about how a credit denial lawyer could help your case.