Learn how Lexington Law Firm removes negative items from your credit reports. We show you the ins and outs of the dispute process from first hand knowledge of Lexington Law's operations. So you can either dispute your negative items yourself or make an informed decision when hiring Lexington Law Firm.
The Fair Credit Reporting Act allows consumers the right to 1 free credit report from each of the major credit bureaus Experian, Equifax, and Trans Union every year. There are multiple ways to get the free copy.
The Fair Credit Reporting Act (FCRA) allows consumers and Lexington Law the right to dispute anything on your credit report you believe to be inaccurate or erroneous. The reason for disputing can range from it not being yours, to a wrong balance, to just wanting the negative item verified. You can dispute 3 different ways including:
P.O. Box 740241
Atlanta, GA 30374
P.O. Box 2002
Allen, TX 75013
P.O. Box 1000
Chester, PA 19022
There are different strategies for which negative items and how many negative items should be disputed. Some items hurt your credit score more and should be disputed first. Other items like late payments need to be disputed differently to try and remove the late payment, but the entire account if possible. Here is a list of items known affects on your credit score:?
|Negative Items||If your score is 680||If your score is 780|
|Maxed-out account||Down 10 to 30 pts.||Down 25 to 45 pts.|
|30-day late payment||Down 60 to 80 pts.||Down 90 to 100 pts.|
|Debt Settlement||Down 45 to 65 pts.||Down 105 to 125 pts.|
|Foreclosure||Down 85 to 105 pts.||Down 140 to 160 pts.|
|90-day late payment||Down 100 to 120 pts.||Down 180 to 220 pts.|
|Bankruptcy||Down 130 to 150 pts.||Down 220 to 240 pts.|
Here is a list of negative items in order of impact:
Bankrupcty, Judgment, Tax Lien, 90-Day Late Payment, Collection, Charge Off, Foreclosure, Repossesion, 60-Day Late Payment, 30-Day Late Payment
Amount owed on an account and how recent it is change how much a negative item affects you. The more recent a negative item, the more affects you. The more owed on an item, the more it affects you.
Credit bureaus are always trying to mark an account as frivolous, so it is important to write a good dispute letter that doesn't raise any red flags. You can do this by disputing only 1/3 of your negative items at a time. If you have a lot of items(30 or more), you can do a little less. If you don't have very many items(5 or less), you can do all of them. A general rule of thumb is to dispute 1/3 of your negative items.
Disputing negative items with your creditors is similar to disputing with the creditors. The letters you use are slightly different, but the creditors are bound under the same Fair Credit Reporting Act to verify your negative listings. The results are usually less effective because creditors don't always have a dispute department in place or are not used to dealing with creditor intervention letters. That is why it is good to have a law firm on your side to take it to the next level if needed.
This is the required information for a dispute letter:
In most situations you will either not receive a response or receive a form letter from the creditor that resolves nothing. You can either follow up with another letter and might get the same result or call your creditor. They are required by law to provide documentation of your account, so get it and if they don't have it, get proof of it. It is very important to get a letter from the creditor stating that they are not reporting your account. This letter is used to forward to all 3 credit bureaus to remove any negative item that is reporting.
In most situations you will either not receive a response or receive a form letter from the creditor that resolves nothing. You can either follow up with another letter and might get the same result or call your creditor. They are required by law to provide documentation of your account, so get it and if they don't have it, get proof of it.
It is very important to get a letter from the creditor stating that they are not reporting your account. This letter is used to forward to all 3 credit bureaus to remove any negative item that is reporting.
You can do anything that Lexington Law Firm can do for you. You can also probably do it for less money and it will give you more knowledge and control over your finances. But Lexington Law will do a better job because of their experience and dispute process. They will save you time and put you at ease.
So it is up to you what you want. Do it yourself or hire Lexington Law Firm.