On behalf of Debt Advisors, S.C.
Each year millions of Americans fall into financial hardship. Whether it’s the loss of a job, increased bills or debt from an emergency, financial hardship creates stress and can affect your life for years to come. Trying to dig your way out can also be difficult, especially if you have missed payments on credit cards and/or your mortgage. Regardless of the reason, if you have fallen into financial hardship choosing the right option to help you recover can be daunting and confusing. The best option for you will depend on your personal situation; if you and considering obtaining a loan to help you recover, it is important to check your credit report first to address any potential errors.
Three companies, Equifax, Trans Union and Experian, monitor individual credit, and a 2004 study revealed that a quarter of all reports had errors that could lead to a credit denial. Experts suggest obtaining your individual report from all three agencies before you apply for credit, especially if you are in financial hardship.
Consumers are allowed one free copy of their report each year (annualcreditreport.com), and if you find an error, the Fair Credit Reporting Act stipulates that an individual can challenge what he or she believes is false information. The Federal Trade Commission suggests that when you discover an error, notify the credit agency in writing of the inaccuracy and include copies of documents that verify your dispute. Send the letter by certified mail and wait 30 days for a reply. There is no charge to challenge your report, and if you are right, the false information should be removed, which will often improve your credit score and could help you out of your financial difficulties.
If you encounter difficulties correcting an inaccuracy in your credit report or have questions regarding what options may be the best for you, speak to an attorney knowledgeable in debt related issues. Financial difficulties can be stressful and complex to navigate on your own. With the assistance of a lawyer, you can learn more about your options for relief from debt and help get yourself back on the road to recovery.