A common question from consumers working to repair credit is: “Why is there different information on each of my credit reports?” In other words, why is there not the exact same information on my Equifax, TransUnion, and Experian credit reports? This is a very logical question. And there are a number of reasons why:
1. Creditor or Lender Only Reports To One Credit Bureau
Your creditor or lender can choose to only report your account information to one of the three major credit bureaus. They are not required to report your information to all three of the credit bureaus.
For example, if you finance an automobile, the finance company may only report your account information to Equifax and not Experian or TransUnion. This will result in your Equifax credit report containing your auto loan account information.
However your Experian and TransUnion credit reports would not contain this account information. This is simply because were not notified of your account with financing an automobile. This is important to remember when you are looking for credit cards to build credit because not all of them will report your account to all three credit bureaus.
2. Disputing Errors On Your Credit Report
One of the most common mistakes consumers make when disputing a credit report is they will only use one credit bureau’s report. This results in consumers filling what is seen as a frivolous dispute with the wrong credit bureau.
For example, if you want to remove an incorrect item on your Equifax credit report. Then you must dispute Equifax credit bureau directly, about that specific item. Then Equifax will investigate that item.
However TransUnion and Experian will not know about your dispute. You will have to also file a dispute with TransUnion and Experian, assuming the negative information is also on those two credit reports.
Did you know you are entitled to one free copy of your credit report from all three of the major credit bureaus every year? This is according to Federal Law. The idea is to give you access to this incredibly important and life influencing piece of information about you!
If you have some blemishes on your credit reports it is essential that you take action to fix this and get a better credit score before you apply for financing. It may be the difference between approval and denial.
An emerging trend in our economy is employers are checking job applicants credit histories before offering them a position. The idea is if you have a bad credit history then you are less qualified for employment! Congress passed laws that protect your right to vote and they also passed laws that protect your credit report.
The Fair Credit Reporting Act was passed in 1970. This law is what gives you the right to dispute and challenge any item on your credit report that you believe is inaccurate, questionable, or incorrect. It is a common feeling if you aren’t sure what to do, or even who to ask for credit repair help.
There is a lot of contradictory information available. According to critics of the credit bureaus they have spent billions of dollars in public relation campaigns to try and confuse the average American citizen.
Take action and get a free credit consultation with a certified FICO professional by calling toll-free 1-877-418-7596. And for more tips, strategies, and methods to improve credit rating with Dan Willis, sign up for our free newsletter, and join our congregation.
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