{"id":5190,"date":"2008-09-19T07:30:35","date_gmt":"2008-09-19T12:30:35","guid":{"rendered":"http:\/\/magic1host.com\/blog\/2008\/09\/19\/dispute-credit-avoid-this-common-mistake\/"},"modified":"2008-09-19T07:30:35","modified_gmt":"2008-09-19T12:30:35","slug":"dispute-credit-avoid-this-common-mistake","status":"publish","type":"post","link":"https:\/\/magic1host.com\/blog\/?p=5190","title":{"rendered":"Dispute Credit – Avoid This Common Mistake"},"content":{"rendered":"
by Matt Douglas<\/div>\n

Disputing negative credit<\/a> items with the credit bureaus Equifax, Experian, and Transunion can often be a challenge. Many times the bureaus respond to a dispute with a letter indicating they verified the disputed item. Accordingly, you are stuck with the information being reported about you.<\/p>\n

Credit bureaus always respond to disputes with a letter where they inform you that you have the right to attach a 100-word statement to your report. Often, people believe this is a good opportunity to explain away their negative information or argue their case.<\/p>\n

People often mistakenly use the 100-word statement to explain some situation that led to their bad credit. For example, they may want to justify late payments with the loss of a job or a medical condition.<\/p>\n

Be cautious about adding a consumer statement to your credit file.<\/p>\n

This “concession” by the credit bureaus is not a concession at all. In fact, the 100-word statement will only make matters worse for you.<\/p>\n

People often send in statements like this: “I fell behind on my credit card bills, but I have since caught up. My boss laid me off from my job of 20 years. Even though I could not pay my bills, it was only a temporary situation and now I am current.”<\/p>\n

The unexpected loss of employment may sound like a reasonable explanation to be late once or twice on a credit card bill. Plus, I would give that person credit for catching up on her bills and staying current since the bad financial spell.<\/p>\n

Credit bureaus interpret a late payment one way. They interpret it as an indication of a bad credit risk.<\/p>\n

Instead, the credit bureaus see somebody who isn’t smart enough to have an emergency fund to cover basic minimum payments should something go wrong financially.<\/p>\n

Attaching a 100-word statement is really bad for three additional reasons: (1) Such a statement confirms that Yes – you really were late on those payments. (2) The credit bureaus will ignore any future disputes you mail because you already admitted fault. (3) Should you apply for new credit in the future; every creditor will see your candid admission that you are not able to pay your bills during times of emergency – and therefore a bad credit risk. <\/p>\n

There is no reason for them to conduct an investigation. Finally, you have put yourself into a category of consumers that potential creditors avoid. Any potential creditor may avoid giving you credit out of fear that you will likewise default on payment should you run into a rough financial patch in the future.<\/p>\n

If a creditor does not read your statement, then nobody will. Most applications are reviewed digitally and so the 100-word statement serves no purpose other than a weapon credit bureaus use against you.<\/p>\n

Briefly, the 100-word statement is dangerous to your credit file. It serves no good purpose for the consumer whatsoever.<\/p>\n

\n
About the Author:<\/div>\n
To learn more about online credit repair<\/a> or for information about lexington law<\/a> visit us.<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Disputing negative credit items with the credit bureaus Equifax, Experian, and Transunion can often be a challenge. Many times the bureaus respond to a dispute with a letter indicating they verified the disputed item. Accordingly, you are stuck with the information being reported about you.<\/p>\n","protected":false},"author":1157,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[86],"class_list":["post-5190","post","type-post","status-publish","format-standard","hentry","category-management","tag-management"],"_links":{"self":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/5190","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/users\/1157"}],"replies":[{"embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5190"}],"version-history":[{"count":0,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/5190\/revisions"}],"wp:attachment":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5190"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5190"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5190"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}