Recent changes in underwriting guidelines with Fannie Mae, Freddie Mac and FHA now prohibit a loan to be closed with accounts labeled "Consumer Disputes This Account". If you are running into this issue reporting on your credit report it can be very frustrating to remove this information. Below we have made a detailed list of how to rapidly remove these accounts in dispute on your own.
To quickly remove the accounts in dispute:
Contact the Credit Bureaus:
- TransUnion 1-800-916-8800
- Experian 1-888-397-3742
- Equifax 800-846-5279 or 866-322-3162
- CSC 1-866-487-0264
- Obtain a credit report at www.annualcreditreport.com (you will need the report numbers for the next 2 steps)
Ask the bureaus to take the accounts out of dispute:
- The customer support rep that you are speaking with can tell you if the remark is reporting from them or the creditor. Tell them “THESE ACCOUNTS NEED TO BE TAKEN OUT OF DISPUTE”
- Find out a timeline for the accounts being taken out of dispute
- Obtain the credit report or dispute identification code to follow up on the process online
Periodically check your reports online:
(This can be done every 2 or 3 days)
Accounts in dispute with the creditor:
- Some accounts may have been disputed directly with the creditor – they are required by law to update your credit report to show account in dispute. To remove this comment you will need to contact the creditor directly.
- Some creditors may press you to pay a balance on the account and it may be a step required to do if the creditor is unwilling to provide documentation.
- Press the creditor to get a letter faxed while you are on the phone with them that this account is no longer in dispute.
Issue’s and FAQS:
- We have found that some accounts (few) have never been disputed but are showing that they are in dispute.
- This will take persistence to get the company to send information that the account was not in dispute and you may need to climb the corporate ladder to do so, but it can be done.
- The run around – if the credit bureaus tell you that they did not place the dispute comment on the credit report and they cannot remove it tell them you would like to initiate a dispute that the account is not in dispute. They control what is posted on your credit report and can remove the information.
- If the creditors tell you they do not have a letter for this simply tell them that you still need one because they are reporting inaccurate information on your report that needs to be deleted.
- You may also get them to update their online dispute system (E-OSCAR) with the bureaus to remove any comments.
- Documentation beats confrontation. Document, Document, Document every person that you talk to, every conversation so that you can refer back at all times.
- Be persistent. Don’t take no for an answer – if the person you don’t know can’t give you the answer you want then ask for their manager and keep climbing until you get answers.
- BE NICE. Sugar attracts more flies than vinegar. The nicer you are the further you will get and the more help people will be willing to provide you. Be nice as much as possible.
Once you see your report updated it may take some time before the credit provider of your lender to updated their report. To find out how soon this account will updated the lender will need to contact their credit provider representative to find out when their reports update with the credit bureaus. If you wish for Credit Guys to help you with this problem we are more than happy to help you with these accounts.