Credit Report Errors: How to Fix Them (And Sue If They Won't)

1 in 5 credit reports has an error. If the credit bureaus ignore your dispute, you can sue them. Here's how the system works - and how to beat it.

The FCRA: Your Rights Against Credit Bureaus

The Fair Credit Reporting Act requires Equifax, Experian, and TransUnion to:

• Ensure maximum possible accuracy of your credit report
• Investigate disputes within 30 days
• Remove or correct inaccurate information
• Notify you of the results

When they fail, you can sue for actual damages, statutory damages ($100-$1,000 per violation), and attorney fees.

Common Credit Report Errors

• Mixed files: Someone else's accounts on your report (common with similar names)
• Wrong balances: Showing more owed than you actually owe
• Paid debts still showing: You paid it off, but it's still listed as delinquent
• Old debts: Negative items older than 7 years that should have fallen off
• Identity theft accounts: Accounts you never opened
• Wrong status: Showing collections when you're current
• Duplicate accounts: Same debt listed multiple times

Step 1: Get Your Free Credit Reports

Go to AnnualCreditReport.com (the only official source). You're entitled to one free report from each bureau per year.

Check all three - they often have different errors.

Step 2: Dispute the Errors

You must dispute in writing (not just online). Send letters to:

• The credit bureau(s) with the error
• The furnisher (the company that reported the info)

Include:

• Your full name and address
• Identification of the specific error
• Why it's wrong
• What you want them to do (delete or correct)
• Supporting documents

Always send certified mail with return receipt. This proves they received it.

Step 3: Wait for the Investigation

They have 30 days (35 if you send extra documents) to:

1. Investigate your dispute
2. Contact the furnisher
3. Review the evidence
4. Remove, correct, or verify the information
5. Send you the results

Step 4: If They Don't Fix It

This is where most people give up. Don't.

If the bureau "verifies" incorrect information, you have legal options:

• Send a second dispute with more evidence
• Dispute directly with the furnisher (the company that reported it)
• File a CFPB complaint at consumerfinance.gov
• Sue under the FCRA

When Can You Sue?

You can sue when the credit bureau:

• Fails to conduct a reasonable investigation
• Re-inserts deleted information without notifying you
• Reports obviously inaccurate information
• Ignores documentation you provided
• Uses procedures that aren't designed to ensure accuracy

What You Can Win

• Actual damages: Lost job offers, denied loans, higher interest rates paid
• Statutory damages: $100-$1,000 per willful violation
• Punitive damages: For willful violations, the court can award extra
• Attorney fees: They pay your lawyer

Cases with documented harm (denied mortgage, lost job) settle for $10,000-$50,000+.

The Furnisher Angle

Don't just sue the bureau - sue the furnisher too. If a debt collector keeps reporting a debt they know is wrong, they're liable under both the FCRA and FDCPA.

Real Talk: The Bureaus Don't Care

Credit bureaus process millions of disputes using automated systems. They call it "e-Oscar" - a system that sends disputes to furnishers in a simplified code that often loses context.

Many "investigations" are just rubber stamps. They verify whatever the furnisher says without actually investigating.

That's why lawsuits work. Once an attorney gets involved, suddenly they find the resources to fix the problem.

Take Action

Check your credit reports today. If there are errors, dispute them properly. If they don't fix them, talk to an attorney.