If you find inaccurate information in your credit report, you have the right to dispute the information. The Federal Trade Commission even provides you with a sample dispute letter to use to dispute incorrect information in your credit report.

Here are the steps you should take:

Find your documents supporting the actual correct information and make copies

Nobody is required to do anything simply because you claim their information is inaccurate. Just like frivolous law suits, frivolous claims of inaccurate information are simply discarded. Take the time to find any document you have to show that the information in the credit report is wrong or incomplete. You never want to send your originals, so make copies of the documents.

Write a letter to the credit reporting agency

The FTC provides a great letter on how to dispute your credit report. Follow their example and you can be sure your letter will include everything required to see action. Generally, credit reporting agencies are required to start an investigation within 30 days of receiving your letter.

Follow up on the investigation

You should receive written notice of the results of the investigation. If the information was found to be inaccurate the information provider is required to send the corrected information to all three credit reporting agencies. You should also receive a free copy of your updated credit report which does not count towards your annual free credit report allowance.

After receiving the notice of a change to your report, request that this change be sent out

Upon your request the credit reporting agency is required to send the corrected information to anyone who requested your report in the past six months. They are also required to provide you with the name and address of the information provider.

Keep checking your credit report annually

After a few months check your credit report from the other credit reporting agencies to make sure the information was changed with these agencies.

That is all there is on how to dispute your credit report. There is nothing difficult about it. The law provides protections for consumers, so the mechanisms for changing reports and time limits are already in place. You only need to follow through. Request the free annual credit report you are entitled to every year, so you know that the information is accurate when you apply for a loan, lease or insurance.

Disputing your credit report will not help you, if the information in the report is accurate. Only the passage of time will erase information you don’t want to see in there. Most negative information will remain on your report for seven years from the date of the occurrence, for bankruptcy that increases to ten years.

In the rare case that your dispute cannot be resolved, you are entitled to have the credit reporting agency include a statement in your report indicating that the information in question is under dispute. Try to avoid this. Keep records of your credit transactions, so you can prove your responsible financial management.