Have you ever wondered what the credit bureaus do with all of the documents you send them?
All of the bank statements showing your bills were paid on time, all of your police reports, affidavits, canceled checks, etc… corroborating your innocence. It all goes into one place:
Up until now, the credit bureau’s automated account verification system known as e-OSCAR, which forwards dispute codes to credit furnishers, was not equipped to handle anything except for a 3 digit code summarizing your dispute. So all of the documents you carefully put together are taken to the shredder and destroyed.
This of course is a violation of the FCRA which states that the credit bureaus must forward all received documents to the data furnishers for review.
Well, things are about to change!
According to Stuart K. Pratt, president, and CEO of the CDIA, starting at the end of the year, the credit reporting agencies Experian, Equifax, TransUnion, and Innovis, will be forwarding all of the documents they receive to the creditors reporting on your credit report.
The days of having your 3-page essay explaining why your account is being incorrectly reported, being squashed into a 3-digit code are over.
Because it’s ILLEGAL and the CFPB’s recent report outlining the credit bureau’s business practices finally got some reaction from the Senate. In fact, 3 of the 5 Senators in the Commerce, Science, and Transportation Subcommittee questioning Mr. Pratt had inaccuracies in their credit reports. And because it took one consumer 14 years to fix a merged credit report.
What does this mean for you?
For the first time, in a long time, creditors and data furnishers will be able to see your full dispute letter along with all of your supporting documents to why the account they are reporting is incorrect.
The credit repair process should improve and become faster, better, and more transparent. We at CreditFirm.net applaud the work of the Senate Commerce, Science, and Transportation Subcommittee for fighting for your consumer rights and your privacy.