What the Fair Credit Reporting Act (FCRA) means to you, the consumer

Posted by : Frank Mignosi

FCRA-fair-credit-reporting-actTo some, achieving a higher credit score may already seem like an impossible task. Between the bills piling up on the kitchen counter and the daily phone calls from said creditors trying to collect the debt, you might find it hard at times to catch your breath. On the bright side, the Fair Credit Reporting Act (FCRA) was put in place to protect consumers from unfair reporting practices.

Quick Overview of the FCRA

As stated by Wikipedia “The Fair Credit Reporting Act (FCRA) is a United States federal law (codified at Title 15 United States Code Section 1681 and following) that regulates the collection, dissemination, and use of consumer information, including consumer credit information. Along with the Fair Debt Collection Practices Act (FDCPA), it forms the base of consumer credit rights in the United States. It was originally passed in 1970, and is enforced by the US Federal Trade Commission, the Consumer Financial Protection Bureau and private litigants”

Common Reporting Errors That Contradict The Fair Credit Reporting Act

Accounts that are not yours: Also known as “mixed credit” are very common errors that can wind up on your credit report. More common than you’d think, a consumer will find an account listed on their report that actually belongs to somebody else with a very similar name.

Outdated Accounts: Accounts that should have been removed after the time to collect the debt has legally expired but are still appearing on your report.

Incomplete Data: This is something the eye can’t usually detect by just looking at the report, but there is certain information the collection agency must have by law to ensure the account actually belongs to you, before reporting that data to the credit bureaus. If the information can’t be verified the item must be removed.

The reporting errors listed above are just a few of the more common scenarios. There are many more out there, and with each error comes a different method to dispute the information to have it corrected or even removed. You can surely dispute the information by yourself, but our team here at Cake Credit Repair already has proven methods and will do all the leg work for you. Please feel free to check out our website. Do not hesitate to give us a call for a FREE consultation with one of our Mortgage & Credit Specialists.