Unless you’ve had reoccurring issues with your credit file, it better serves you to avoid credit monitoring services, which can cost $180 a year. Even though many of these services are owned by the credit bureaus themselves, they’ll do the same thing you do (for free) —discover the error on your record after it’s there. For free, you can get the same info monitoring services get. Go to AnnualCreditReport.com. You are entitled one free report from each of the three bureaus, Equifax, Experian, and TransUnion. If you’re applying for credit, a loan, or competing for a job soon, get all three reports now so you can look them over to ensure the information is correct. Otherwise, spread out the three yearly reports, requesting one report every three months: Maybe in January you request one from TransUnion. In May you request one from Equifax and in September, Experian.
Review the on-time payments listed on accounts you know you have. Check for addresses listed as yours, and spelling of your name as well as variations of your name. Most importantly, check for records of debt that aren’t yours, and for inquires for loans you haven’t applied for. This could be a sign of identity theft, or a legitimate mistake, perhaps a mix-up with similar Social Security numbers. Either way, according to Money magazine and SmartCredit.com, this issue is the most difficult to get fixed.
If it’s your issue, call the bureau with the incorrect information immediately. Ask them to put fraud alert on your file. Also, go to Consumer.ftc.gov.
If you find an error on your credit report, let the appropriate bureau know. You can do this online, or by mail. If you have documentation, mail may be best. Make copies, highlight the relevant, correct information, and briefly and clearly explain (type if your writing isn’t really easy to read) what the error and correction are. Make sure you have copies of what you’re sending before you send it certified mail, requesting a return receipt.
Again, check your three credit reports regularly. AnnualCreditReport.com is the official site and is free. If you want your credit score, go to MyFico.com. There is a fee for the score. It’s good once in a while to check in on your score. It’s about $20.