Deleting Bad Credit Items on Your Credit Report

Deleting Bad Credit Items on Your Credit Report

by Bob Perlling

Deleting bad credit items on your credit report is definitely a worthwhile pursuit. It is possible to improve your credit scores anywhere from 100 to 200 points or more, by removing derogatory information from your credit reports.

The first step is to review your credit reports so you know where the problems are. Start by getting copies of your credit reports from the three major credit bureaus. The three bureaus are Equifax, Experian, and Transunion.

If you have not taken advantage of your free annual credit report this year, contact Annual Credit Report or phone 1-877-322-8228. You can also mail your request to: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281.

If you have already received your free reports for this year, contact the three bureaus individually for your reports. You will be required to pay a small fee for each report.

Experian - PO Box 740241 Atlanta, GA 30374

Equifax - PO Box 2002 Allen, TX 75013

Transunion - PO Box 2000 Chester, PA 19022

The next step is to review your reports carefully, looking for errors, omissions, and inaccurate items. Make note of all you find. First check the spelling of your name and verify that the addresses they show you've lived at are correct.

Then look for items that are incorrect or inaccurate. Pay particular attention to: derogatory items still showing even though they should have dropped off your report by now (most derogatory items can only be reported for seven years, bankruptcies for ten years). Also look for accounts that do not belong to you and accounts that show a balance due even though they have been paid off.

Deleting bad credit items you discover in your credit reports is done by sending a letter to the credit bureau disputing any incorrect or inaccurate items you find. The credit bureau then forwards your dispute to the creditor that reported the item, and asks them to verify the legitimacy of the reported item.

If the creditor responds that the report is accurate, then the item stays on your credit report and is not removed. However, if the creditor does not respond to the dispute within 30 days of receipt, the item, by law, must be removed from the credit report.

It is possible to improve your credit scores anywhere from 100 to 200 points or more, by removing derogatory information from your credit reports. Deleting bad credit items on your credit report is definitely a worthwhile pursuit.