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Credit Cards Excess Refund Error Report

Have you been turned down for a loan recently? Have you
applied for store credit and been refused? Did you really
want that car and find out that because of your 'credit
score' that they would have to require an unreasonable down
payment?

Credit reports are designed to help businesses evaluate the
risk factor in giving you money or valuable products on a
line of credit.

The Fair Credit Reporting Act promotes the accuracy,
fairness and privacy of information in the files of the
nation's credit reporting agencies. The act is enforced
with regard to the consumer's rights and requiring new
responsibilities for the credit reporting agencies.

For example, a reporting agency must give you a copy of
your report and they must provide a list of every inquiry
about your credit report within the last year.

The agencies collect data on personal identification (name,
address, social security number, current employer, etc),
payment histories with all current and closed lines of
credit that details how much you owe, when you've paid on
time and what, if any have been reported to a collection
agency.

The final two items are all inquiries that have been made
on your credit report as well as anything that is
considered a matter of public record such as bankruptcies,
foreclosures and tax liens.

To repair or report errors on your credit report, you must
obtain a copy of your personal report and score. The
reports themselves are not uniform from company to company.


Experian may not list all the data of Equifax and vice
versa. So, be sure to obtain credit history reports from
the same company as the creditor who turned down your
application. In some states, that may require a small fee,
but after September 1, 2005 all states will have to be in
compliance with providing a free credit report.

Once you have the report, verify the information. Every
report is also scored. Scoring is the system that creditors
use to determine your credit experience. These scores are
valid for all three companies and are uniform in value.

Credit scores range from 375 to 900 points, but those
numbers mean little on their own. A score of 650 or better
usually indicates a very good credit history. Scores
between 620 and 650 are considered average, while scores
below 620 may prevent a person from getting a loan. If they
do receive one, it is likely one with prohibitive interest
attached.

If you look at all the information on your credit report
and it's correct, then you are faced with having to improve
either your payment history, lower the number of debts.

If the score is low because you possess very little credit
history, investing in a secured credit card can help
generate good feedback to your credit report or a co-signer
who can provide the creditor with a good credit history as
security for your lack of one.

Inaccurate information, however, such as reported late
payments that you disagree with or a listing for a debt
that is not yours is repairable. Some companies offer debt
consolidation or credit repair. Before getting involved
with either type, be sure you thoroughly check out the
company to avoid scams.

Doing the credit repair on your own is simple enough. Write
a letter, detailing the inaccuracy to the reporting
company. Send the letter and copies (copies only) of any
documents supporting your claim to the credit-reporting
agency. Some agencies allow you to do this online through
their websites; however, if you need to send them hard data
it's better to use regular postal mail.

The credit agencies are then required by law to investigate
the item in question, usually within 30 days. They must
forward all information to the reporting creditor and if
they cannot verify the veracity of their report or the
creditor does not respond, the report will then be changed
and updated to reflect the data provided.

The company must then notify you in writing of the change
as well as provide you with an updated credit report.

It's important to note, that if there is an inaccuracy on
Experian that there is likely a similar one on Trans Union
and Equifax. Each company must be notified, separately for
each item.

Also, if you have more than one item you are disputing on
your credit report, then you may have to send a separate
letter for each instance, to be certain that each item is
addressed.

While this can be a time-consuming task at first glance, it
is the best way to remove inaccuracies from your credit
history and repair misinformation damage to your credit
report. If you request it, the reporting agency must also
send notices of any corrections to anyone who received your
report in the previous six months.

If the negative information reported to your credit history
is accurate, then only time can repair the damage of the
negative score. Most information rolls off after 7 to 10
years, but felony convictions, information on jobs paying
you over $75,000 a year or credit of more than $150,000 has
no time limit.

If you had a car repossessed, you'll have to wait about 8
years to see the repossession removed from your credit
history. Open credit lines, whether the information is
negative or positive, will remain active on your credit
history whether you actively use the credit or not.

Applying for credit is never a fun, even for people who are
considered to have good credit. There is always an inherent
fear of rejection by the creditor you are applying for. If
you are concerned about your credit history, keep an eye on
it.

It's recommended that you check your credit history once a
year at least, because in an age of identity theft,
negative credit history can be part of the collateral
damage.
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