Get a copy of your Credit File
To get a copy of your credit file and find out what the problem will not cost you anything, most credit file agencies offer a free 30 day trial. If you have a broken credit agreement or incurred a County Court Judgment (CCJ), it will be recorded on your file. You need to provide your full name, D.O.B, current address, and any previous addresses over the past 6 years.
CCJs can not be erased from the database and you should not go to a credit repair company which claims it can wipe out CCJs. But if you pay off the CCJ, you can ask the credit reference agency about how to contact the county court concerned for a "certificate of satisfaction". The CCJ is then marked as satisfied on the database.
You can also add a "notice of correction" to your file which explains any special circumstances such as long term illness which made you get into debt in the first place.
If you are not in debt you could be affected by a member of your family with the same surname and address, who is in debt. If you are not financially affected, ask the credit reference agency for a ' Disassociation '.
I have my credit report. What do I do now?
Go through it and look for negative items, such as: Past due history, multiple searches, and public records (bankruptcies, county court judgments). If any of these are inaccurate, dispute them directly with the credit bureau.
I found errors on my credit report. What do I do now?
All incorrect or unfair credit information has to be eliminated from your file. All consumers have the right to challenge the accuracy of their credit report. Once you challenge the accuracy of a particular item, the credit bureau must investigate that item as soon as possible. If the credit bureau finds the item to be incorrect, or cannot confirm or deny it, it must be removed immediately from your credit file.
What if I found more than one error?
It's a legal obligation for the credit reference agencies to deal with every query raised. You should challenge each error separately, in writing only. You have to patient when dealing with the credit bureaus. Deal with each item one at a time.
How do I correct negative information on my credit report?
Challenging the accuracy or completeness of an item is the best way to have a negative item removed. It is best if you can include documentation that supports your challenge. If negative information is outdated, you again need to bring this to the attention of the credit bureau in writing. If the credit bureau fails to verify the items you challenged within a reasonable time (about a month) from the date your challenge was received then you should seek legal advice.
Why is challenging a credit entry effective?
There are three reasons for this. First, the credit bureaus were too busy during a particular period that they could not re-verify the item you challenged within the time limit, and therefore they removed it. Second, because of human error correct information was inadvertently deleted. Third, after two or three years a closed or inactive file is often stored offsite by your old lenders, and so they cannot access it, and as a result they do not respond to the credit bureau because it is too much work.
The negative item I challenged has been confirmed by the lender. What should I do now?
It is normal that some of your challenged items will be confirmed by the lender, and they will not be removed from your credit file. Wait 1 to 6 months and try again, with a written challenge.
All my attempts to have an item removed have failed because the lender keeps verifying them. What do I do next?
If this is the case, you need to talk directly to the lender and see if you can convince him to come to a settlement. If you agree to pay him off, make sure you get in writing that he will remove any negative information from your credit file. Once you have this in writing, only then pay him. Otherwise, he may take your money and do nothing.
There are many ways to improve your credit rating.
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