Know Your Rights Regarding Credit Repair

When fixing credit, it is vital to know your rights regarding credit repair. You are entitled by law to ask for an investigation of any inaccurate or incomplete information reflected in your personal credit report file. Some people choose to hire companies who provide credit repair services to investigate on their behalf. When your goal is to improve your credit score, consider the following:

The Fair Credit Reporting Act (FRCA) according to the Federal Trade Commission’s website, www.ftc.gov:

• You’re entitled to a free report if a company takes “adverse action” against you, like denying your application for credit, insurance, or employment. You have to ask for your report within 60 days of receiving notice of the action. The notice will give you the name, address, and phone number of the consumer reporting company. You’re also entitled to one free report a year if you’re unemployed and plan to look for a job within 60 days; if you’re on welfare; or if your report is inaccurate because of fraud, including identity theft.
• Each of the nationwide consumer reporting companies Equifax, Experian, and TransUnion — is required to provide you with a free copy of your credit report once every 12 months, if you ask for it. The three companies have a central website to order your free credit report: www.annualcreditreport.com.