Step-by-step instructions for disputing credit report errors and getting them corrected.
- If the error is confirmed, they must correct it.
- Credit report errors are surprisingly common.
- An incorrect late payment or a debt that does not belong to you can lower your score by dozens of points.
Credit report errors are surprisingly common. An incorrect late payment or a debt that does not belong to you can lower your score by dozens of points. You have the legal right to dispute errors.
Step 1: Get Your Reports
Request free reports from all three bureaus at AnnualCreditReport.com. Check all three because they may have different information.
Step 2: Identify Errors
Review line by line. Common errors: accounts not yours, incorrect payment history, wrong balances, closed accounts shown as open, duplicate accounts, outdated negative items.
Step 3: Gather Documentation
Collect evidence: bank statements, closure confirmations, paid-in-full letters, identity theft reports. The stronger your evidence, the faster the correction.
Step 4: File the Dispute
Send written disputes via certified mail with return receipt. Include a clear description, copies of documents, and a specific correction request.
Step 5: Wait and Follow Up
The bureau has 30 days to investigate and respond. If the error is confirmed, they must correct it. If it reappears, file a new dispute and consider a CFPB complaint.
Credit report disputes are a consumer right under the FCRA. See our financial disclaimer for important disclosures.
A worked example
Consider Maria, who started with a 620 credit score. She paid off her two credit cards down to under 10% utilization and set up autopay on all bills. Six months later her score was 695. Twelve months in: 745. When she refinanced her mortgage at 745, the rate quote was 0.625% lower than at 620 - on her $320,000 loan, that's about $42,000 in interest saved over 30 years.
Common mistakes to avoid
- Closing your oldest credit card 'to simplify.' That instantly reduces your total available credit (raising utilization) and eventually reduces average account age. Both hurt your score.
- Maxing out one card even if you pay it off. Card issuers report balance at statement close. Hit 80%+ utilization on one card and your score drops 50+ points until the next statement, even if you pay in full.
- Applying for multiple cards in a short window. Each hard inquiry takes 5-10 points off temporarily and signals to lenders that you may be desperate for credit.
Frequently asked questions
How long does it take to raise a credit score?
Most people see meaningful movement in 60-90 days once they stop the behaviors that hurt the score - high utilization, late payments, recent applications. Big jumps (100+ points) typically take 6-12 months of consistent on-time payments and low utilization. Negative items (collections, late payments) age out of your report after 7 years.
What is the most important factor in a credit score?
Payment history is 35% of your FICO score - the single biggest factor. Credit utilization (the percentage of available credit you're using) is 30%. Length of credit history is 15%. Credit mix and new credit each account for 10%.
Does checking your own credit hurt your score?
No. Checking your own credit through services like Credit Karma, your bank, or directly with the bureaus is a 'soft inquiry' and has zero effect on your score. Only 'hard inquiries' from lenders during credit applications affect your score, and even those drop off after 12 months.
What credit score do I need for a mortgage?
Most lenders want 620+ for a conventional mortgage and 580+ for an FHA loan. But 740+ unlocks the best rates - on a $400,000 mortgage, that can save you $40,000+ over the life of the loan compared to a 660 score. Aim for 740+ before applying if you can.
Should I close old credit cards?
Usually no. Closing a card reduces your total available credit (raising utilization) and eventually reduces the average age of your accounts. Both hurt your score. The exception is cards with annual fees that you're not using - then it's a math question between the annual fee and the temporary score impact.
Where this guide fits in
This article is part of the Chase The Dollar editorial library of practical money guides. We update guides as rules and rates change. If you spot a mistake or want us to cover a topic, the contact form is the fastest way to reach us.