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First, tell the Credit Bureau in writing what information you believe is inaccurate. Include copies (NOT originals) of all the documents that support your position. In addition to providing your complete name, social security number telephone number and address, your letter should clearly identify each item in your report you dispute, state the facts and explain why you dispute the information, and request deletion or correction. You may want to enclose a copy of your report with the items in question circled. Your letter may look something like the sample below. Send your letter by certified mail, return receipt requested, so you can document what the Credit Bureau received. Keep copies of your dispute letter and enclosures. Accurate record keeping with all the dates is invaluable.

The Credit Bureau must reinvestigate the items in question—usually within 30 days—unless they consider your dispute frivolous. They also must forward all relevant data you provide about the dispute to the information provider who in its turn must investigate and review all the relevant information, and report the results. If the information provider finds the disputed information to be inaccurate, it must notify all nationwide Credit Bureaus so they can correct this information in your file.

-Information that cannot be verified must be removed from your file.
-If your report contains erroneous information, the Credit Bureau must correct it.
-If an item is incomplete, the Credit Bureau must complete it. For example, if your file showed that you were late making payments, but failed to show that you were no longer delinquent, the Credit Bureau must show that you’re current.
-If your file shows an account that belongs only to another person, the Credit Bureau must delete it.

When the reinvestigation is complete, the Credit Bureau must give you the written results and a Free Credit Report if the dispute results in a change. If an item is changed or removed, the Credit Bureau cannot put the disputed information back in your file unless the information provider verifies its accuracy and completeness, and the Credit Bureau gives you a written notice that includes the name, address, and phone number of the information provider. 

Accurate Negative Information in You Credit Report

Accurate derogatory information can generally stay on your report for 7 years from the last reported date. It is worth noting that the 7-year period is from the date of the last report not the occurrence. In other words a collection account will stay on for 7 years form the updated date every time that it’s updated. There are certain exceptions:

-Information about criminal convictions may be reported without any time limitation.
-Bankruptcy information may be reported for 10 years.
-Credit information reported in response to an application for a job with a salary of more than $75,000 has no time limit.
-Credit information reported because of an application for more than $150,000 worth of credit or life insurance has no time limit.
-Information about a lawsuit or an unpaid judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer.

Other Factors Effecting Your Credit Score

Your credit score may very well be a lower than a desirable number despite the fact that you have never been late in a single payment and have no other derogatory information reported.  Why the low score?

Factors other than late payments which effect your credit score can include but are not limited to:

A very new account such as a car loan, credit line or a mortgage loan will normally have an adverse effect on your credit for the first 6 months. The newer the account, the bigger the hit. High balance on a credit card as compared to its credit limit will also have a negative effect. Too many credit enquiries also depress your credit score.

Sample Credit Report Dispute Letter