Does the idea of going to battle with the credit bureaus and disputing items on your client’s credit report scare you? It’s okay if it does. You’re not alone!
But the truth is, credit disputing is all based on the fact that it’s your right or your client’s right to repair their credit, and to delete inaccurate, incomplete, and outdated negative credit history. Even accurate items can be removed, because often, there’s something inaccurate in how they were reported.
The Fair Credit Reporting Act and other laws give you the legal right to dispute anything on your credit report. Anything! So in today’s article, I’m going to take the overwhelm out of the disputing process and simplify it, so it’s easy to do even if you’re a beginner.
What Role Does Disputing Play In Credit Repair?
If you want to get into credit repair or you want to repair your own credit, one of the first things you’ll need to learn is how to dispute items on a credit report.
Now, a lot of people are intimidated by what it means to dispute. Even the word itself sounds like there’s confrontation involved! Plus, when you start to think of all the legal terms, or processes, that you might need to know, it becomes overwhelming really fast.
But, the truth is, it is a fight! It’s a fight between you and the credit bureaus - but when you know how to WIN and you’re confident in the process, you can go in swinging and come out a winner!
The basics of disputing are actually really simple. So simple in fact that I’m going to break it down into just 5 steps for you today. After you do all five easy steps, you’ll have the confidence you need to get results for yourself and your clients every single time!
Why Credit Disputing Important
Here’s why this is important:
- The best method to remove inaccurate or unverifiable information from a credit report is with the dispute process. Under the Federal, Fair Credit Reporting Act (also called the FCRA), people are given the right to dispute any items on their credit reports that are incomplete, inaccurate, unverifiable, or untimely. If the items cannot be verified, they must be removed. This idea of IF THEY CAN’T PROVE IT, THEY MUST REMOVE IT, really is the basis of all credit repair.
- Removing inaccurate or unverifiable information on a credit report is one of the fastest ways to increase your client’s credit score and get them into that home or car they may have previously been denied for.
- The bureaus are HUGE. They make a ton of mistakes and they know it! That’s why they have this disputing system in place. 79% of Americans - that’s nearly 8 out of 10 people - have errors on their credit reports, and it’s costing them hundreds and thousands of dollars each month in inflated interest rates! Helping them is a way you can truly change lives!
How To Be Success At Disputing
So here’s what you need to know to be successful at disputing.
Step 1: Get a copy of your client’s credit report from each of the three major credit bureaus, preferably from a credit monitoring service, so you can see all three reports and scores together.
Once you have them, go through them very carefully to find the errors, redundancies, or unverifiable information that can be disputed. Then sit down with your client to decide on the next steps. If you’re using Credit Repair Cloud our software does all this automatically in one-click, and creates a really cool credit audit report showing all the issues on the report.
Step 2: Create your dispute letters. Make sure to list each item that you are disputing and the reasons why. Include all supporting documentation and copies of your client’s photo ID (like a driver’s license) and proof of address (like a utility bill).
Now, if you have no idea how to write a dispute letter - don’t panic! Credit Repair Cloud has over 130 letters for every possible situation and with our letter finder feature, all you have to do is answer a couple of simple questions and your auto-filled perfect dispute letter is ready to print and send in a few seconds.
Step 3: Send the letters as soon as possible directly to the bureaus. If you can afford it, send certified. But if you can’t and if you have no intention of suing the bureaus, then just send with a regular stamp.
Now, a lot of people ask me, “Can’t I just do the dispute online? Won’t that be easier and faster?”
The answer is; NO! It doesn’t go well if you do the disputes online, and when you do try to do the disputes online, they make you sign away your rights, and that’s a big deal. So take time and do it the right way, by paper mail.
Now, the FCRA gives them 30 days to investigate a claim. So just set a reminder on your calendar so you know when you should receive a response and then just wait! Really! There’s nothing more to do at this time for those items.
Step 4: The credit bureau will respond to your client directly via mail. The response will indicate either that the dispute was confirmed and modified - removed from the credit report or that the item was confirmed and will remain. If you are using our credit repair software, your client can take a picture with their smartphone and upload their response right into their portal for you to see.
Step 5: Finally, follow up and be persistent! If the bureau has not removed the item from your client’s credit report, send a follow-up letter reiterating the dispute and the reasoning behind it. And know that you might have to dispute the same items several times. So don’t be discouraged, because that’s how this works.
Patience and persistence are key to successful credit repair.
And not to brag but nobody knows it better than our Credit Heroes at CRC! To date, we power over 4,500 credit repair companies, and our customers have helped hundreds of thousands of people to clean their credit, by improving nearly 4 million credit report items, and collecting for them over seventy-seven million dollars in revenue! With the help of Credit Repair Software - our users are able to fight the bureaus and WIN!
So if you’re ready to know more about how disputing works or you want to launch your own credit repair business, we’ve created the Credit Hero Challenge just for you! I invite you to join today and within just a couple weeks you’ll be certified in disputing, and well on your way to being your own boss, taking control of your financial future, and changing a whole lot of lives!
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