How to Dispute a Collection on My Credit
Dealing with collections on your credit report can be stressful and confusing. Whether it’s a result of a mistake or a misunderstanding, it’s important to take action to dispute and potentially remove incorrect or outdated information. Here’s a step-by-step guide on how to dispute a collection on your credit report.
1. Identify the Collection
The first step is to identify the collection account on your credit report. You can obtain a free copy of your credit report from each of the three major credit bureaus—Equifax, Experian, and TransUnion—once every year at AnnualCreditReport.com. Review your credit reports carefully to locate the collection account you wish to dispute.
2. Gather Evidence
Before you proceed with disputing the collection, gather any evidence that supports your claim. This may include payment receipts, correspondence with the original creditor, or proof that the debt was settled or discharged. Having this evidence ready will strengthen your dispute and make the process smoother.
3. Write a Dispute Letter
Compose a dispute letter outlining your concerns and requesting that the collection account be removed from your credit report. Be sure to include the following information in your letter:
- Your full name, address, and contact information
- The name of the collection agency and the collection account you are disputing
- A clear explanation of why you are disputing the account, including any evidence you have gathered
- A request for the collection account to be removed from your credit report
- A request for a response within 30 days
Make sure to send your dispute letter by certified mail with return receipt requested to ensure you have proof of delivery.
4. Send the Dispute Letter
Send your dispute letter to the collection agency that is reporting the account. You can find the agency’s contact information on your credit report or by searching online. It’s important to keep a copy of the letter and the proof of delivery for your records.
5. Wait for a Response
The collection agency has 30 days to respond to your dispute. If they verify the accuracy of the account, they will send you a notice stating that the information will remain on your credit report. If they cannot verify the account, they must remove it from your credit report.
6. Follow Up
If you do not receive a response within 30 days, follow up with the collection agency. If they continue to report the incorrect information, you may need to file a complaint with the Consumer Financial Protection Bureau (CFPB) or seek legal advice.
Disputing a collection on your credit report can be a lengthy process, but it’s important to take action if you believe there is an error. By following these steps, you can protect your credit and work towards a more accurate credit report.
