When Debt Is In Dispute
Financial advisors are virtually unanimous in their belief that it is essential to check your credit reports at least once a year. You are permitted a free annual copy of reports from all three major reporting agencies and you have a legal right to challenge any debt appearing in a report that seems inaccurate.
If you believe a debt has been reported in error, contact the reporting agency in writing. You’ll need to explain which specific charge you are disputing and your reason for challenging the report, as well as provide information about the company and account where the charge exists. You should also reference the file number of the report you received. The agency will also need the basics – name, address, date of birth and social security number.
Once you’ve notified the agency, they are required to follow up with the organization that made the original claim (a business, debt collector, etc.) The charge will be flagged as a disputed debt and an investigation process will begin. Your claim needs to be legitimate and you should expect to provide investigators with additional information during the process. If your claim is found to be valid, the information about the charge will be modified or deleted by all reporting agencies. Find out more about the entire process at Ask Dr. Debt here.