How to Read a Credit Report and Dispute Errors

Editorial note: This guide is for general education, not individualized financial advice. We independently research every topic and cite our sources. Our editorial standards · How we make money.

Your credit report is the raw material for your credit score. Lenders, landlords and some insurers and employers (with your permission) may review it. Errors are not rare, and an inaccurate late payment or an account that isn’t yours can cost you real money through higher interest rates. The good news: you can check your reports for free and dispute mistakes yourself.

Get your free credit reports

Federal law gives you the right to free credit reports from each of the three nationwide credit bureaus — Equifax, Experian and TransUnion. The only official site is AnnualCreditReport.com, where free weekly reports are available. Be wary of look-alike sites that require payment or sign you up for subscriptions.

Review all three reports, since each may contain different information.

Section 1: Personal information

This section lists your name and name variations, current and past addresses, date of birth, Social Security number (partially masked) and sometimes employers.

Check for:

• Names or addresses you have never used — a possible sign of identity theft or a mixed file.
• Misspellings that could merge your file with someone else’s.

Personal information does not directly affect your score, but errors here can lead to accounts that aren’t yours appearing on your report.

Section 2: Accounts (tradelines)

This is the heart of the report. Each credit account shows:

Check for:

• Accounts you don’t recognize.
• Late payments you believe were made on time.
• Wrong balances or credit limits (a missing limit can make utilization look higher).
• Closed accounts shown as open, or accounts you closed listed as “closed by grantor.”
• The same debt listed twice.
• Accounts included in a bankruptcy still showing a balance.

Section 3: Inquiries

Hard inquiries happen when you apply for credit and a lender reviews your report. They can lower your score slightly and appear on your report for two years.

Soft inquiries — checking your own report, prequalification offers, account reviews by existing creditors — are visible only to you and do not affect your score.

Check for: hard inquiries from lenders you never applied to, which can signal fraud.

Section 4: Negative items — collections and public records

This section may show:

• Collection accounts — debts sent to collection agencies.
• Charge-offs — debts the lender has written off (you may still owe them).
• Bankruptcies — the main public record that appears on credit reports today.

Most negative items can be reported for up to seven years; Chapter 7 bankruptcy can be reported for up to ten years.

Check for: debts that are not yours, already paid, older than the reporting period or listed with incorrect amounts.

How to dispute an error

Under the Fair Credit Reporting Act, both the credit bureau and the company that provided the information must correct inaccurate or incomplete information.

1. Document the error. Note which bureau, which account and what is wrong.
2. Gather evidence: statements, payment confirmations, letters, a police or identity theft report if relevant.
3. Dispute with the bureau that shows the error — online, by mail (certified mail with return receipt is useful) or by phone. Explain clearly what is wrong and what the correct information is.
4. Dispute with the furnisher (the lender or collector) as well.
5. Wait for the investigation. Bureaus generally must investigate within 30 days (sometimes 45) and send you the results. If information is changed or deleted, they must notify you.
6. Check your updated report.

The FTC provides dispute instructions and sample letters. Disputing is free — you never need to pay a company to do it for you.

If your dispute is rejected

• Provide additional documentation and dispute again.
• Ask the bureau to add a brief statement of dispute to your file.
• Submit a complaint to the Consumer Financial Protection Bureau.

Signs of identity theft — and what to do

Red flags include accounts or inquiries you don’t recognize, addresses you have never lived at and collection notices for unfamiliar debts.

1. Place a fraud alert or credit freeze with the bureaus. A freeze is free and blocks most new-account fraud.
2. Report it at IdentityTheft.gov, which creates a recovery plan and an official identity theft report.
3. Dispute the fraudulent accounts using that report.
4. Contact the affected companies to close or correct accounts.

How often to check

Review all three reports at least once a year, and more often if you are planning a major application such as a mortgage or car loan, or if you have been a victim of fraud. Checking your own reports never lowers your score.

The bottom line

Reading your credit report takes about 15 minutes per bureau. Check personal information, every account, inquiries and negative items; dispute anything inaccurate; and use free freezes to protect yourself. An accurate report is the foundation of a strong score — see how credit scores work and how to improve your credit score.

This guide is part of our Credit & Credit Cards hub and our complete personal finance guide. Spot an error? Request a correction.