You should dispute a credit report when there is anything inaccurate, misleading or unfair that may lead you to beging a poor credit risk in the eyes of any credit provision service. In the long run, by disputing your report, you can improve your overall chances of getting better and cheaper access to such services, including home loans and credit cards.
To get started, you will need to get your hands on a copy of your credit report. That is pretty easy as all of the three major consumer reporting companies are required by law to provide you with a free credit report each year, if you ask for it. You can even contact them online or you can use a credit reporting company to get a combined report on your behalf.
Once you have your credit report, you will need to assess which of the items on it you can dispute. You will need to identify each and every item that is either inaccurate or misleading. Each of these items gives you a chance to improve your overall credit score, item by item.
Once you have that sorted, you need to write to the consumer reporting company that was responsible for reporting those specific items. You will need to clearly state why you are disputing each item and you will also need to provide documentary proof of your claims, if applicable. State this all in an easy to read list in order to masmize your chances of a postive result.
Once you have written to the relevant consumer reporting company they will investigate each claim you have made and make adjustments to your credit report. They are legally required to do this (as long as your claim is not considered frivolous).
Lastly you will receive an updated version of your credit report which you will need to check again. Many of the items you disputed should be changed, but it also gives you a chance to start the process again.
As you can see the process of disputing a credit report is not that difficult, but it is very time consuming and boring. Many people choose to take on the services of a credit reporting company, many of who have very reasonable rates and some of who guarantee results with a standard money back guarantee.
This will save you a lot of time and hopefully money in the long run. These companies will also know exactly which of the items on your credit report have the greatest chance of being changed by a dispute (it's probably more than you think!)
