Less than average or bad credit on your credit report is detrimental to your financial health. You are judged by how you handle your finances by mortgage bankers, car loan officers, and even prospective employers. There is nothing worse than finding a bad mark on your credit, especially if you did not put it there.
You have rights against a company who files information that you feel can be disputed, according to the Fair Credit Reporting Act, legislated to help people who feel the information filed about them is incorrect.
Contacting the creditor directly is one of the simplest options you have. If you contact them by phone, be sure to have a pen and paper ready to write down any information you receive. Whether it is a live person on the other end or a computer generated response, make sure you protect yourself.
Their name and position
The date and time
How much is the debt?
For how long do they have you listed as the debtor?
If you are talking to a computer line only and not able to connect with a live person, you must make sure you note the date and the time, in case you end up in court. This is evidence for your claim.
If the creditor does not have the paperwork to back up what they are saying but still insists you owe the debt, you can contact a credit correction firm. You can also contact all three credit agencies to inform them the debt is wrong and you have the paper work to back it up, including the amount paid in full and the date.
Credit bureaus tend to move very slowly and so you may become frustrated and want to give up. You have to be persistent when taking care of bad credit on your credit report. Your financial future may depend on it.