We are getting closer to concluding this series on credit provided by personalmoneystore.com’s payday loans money blog.

We hope that the information provided thus far has been helpful to you in obtaining, reviewing and understanding your credit report as well as how credit works in general.

Now that you have reviewed your credit report, you may have found some errors. These errors, insignificant as they my seem, can prove devastating to your financial options over time.

Imagine what you would save on your home mortgage payment if your interest rate was a 1 to 2 percent lower. Your credit score can make a big difference on rates such as these, so working toward improving your credit score by fixing any errors can save you lots of extra money over time.

Finding Errors On Your Report

We all make mistakes, including our creditors. When creditors report your personal information to the credit bureaus, and when the credit bureaus update your personal credit report, mistakes are sometimes made that can cause you as the consumer to suffer undeserved consequences. Therefore, you must take ample time to look over your report to assure its accuracy.

Choose Your Errors Wisely

When reporting errors, you will want to pick and choose your disputes wisely. If you see a discrepancy such as the wrong creditor’s name or a recorded date on an older account that is inaccurate, it is best to leave these undisputed, as these issues do not have any real effect on your credit rating.

Additionally, remember when you dispute an error on your credit report, make sure you have the necessary documentation to back it up. Failing to have adequate support for your claims will get your dispute discarded as well as any other dispute that you file in the next 12-month period. So report only those errors that have a negative bearing on your credit rating.

The Law is on Your Side

When it comes to your credit, the law is on your side. If you have a dispute and the documentation to prove it, the credit bureaus must do their part to resolve it, or they will be held in violation of the laws protecting consumers. Be sure to make copies of everything you send to the credit bureaus so you have the necessary means to force the issue if your dispute fails to get addressed appropriately.

The Most Common Mistakes You’ll Find

1. Creditor Information that is InaccurateUsually errors such as these don’t matter a whole lot, but if you are insistent upon eliminating the error, request that the item be deleted. The bureaus will then delete the information or contact the creditor to verify the mistake in question. Therefore, if at all possible, try to clear the error with you creditor first before making the request to the credit bureaus to edit your personal report.Don’t expect to find all your accounts on your report. Some accounts, such as those established with payday loans lenders, don’t typically report information to the credit bureaus.
2. Inaccurate Credit LimitsIf you see that any of your credit limits are higher than they actually are, you will want to report them as inaccurate because it shows you have more financial liability than you actually do.
3. Inaccurate Account TypesIf you have closed an account that is reported open on your credit report, this too can hurt your credit rating. Some inaccuracies, however, may actually help you in your pursuit of good credit, such as a loan that you may already paid off that has duplicate entries on your report. This will only show that you have been consistently responsible. Leave it alone!
4. Inaccurate BalancesContrary to the above, if you have a account that you owe money on that is reported twice or more on your report, this will hurt you in that it shows you have more outstanding debts than you really do.This is a common scenario that often happens with consumers who have been turned over to collections. A credit report will show two accounts owed, the account with the creditor that turned them over to collections and the new collection account. Both will show the same debt.If this happens to you, you can have the original account deleted as the original creditor has sold your account to the collection agency.
5. Inaccurate Reports of Delinquency or Late PaymentsThese errors can hurt you the worst. If you see a late payment or delinquent account on your credit report and can prove otherwise through either a printed online statement or receipt, you should not have any problem overturning the error on your report.

Reporting information

The names and contact information of the three bureaus are as follows:

Equifax: P.O. Box 740250, Atlanta, GA 30374- 0241.
Report fraud: Call (888) 766-0008 and write to address above.
TDD: (800) 255-0056
Web: www.equifax.com

Experian: PO Box 9532, Allen, TX, 75013
Report fraud: Call (888) EXPERIAN (888-397-3742) and write to address above.
TDD: Use relay to fraud number above.
Web: www.experian.com/fraud

TransUnion: P.O. Box 6790, Fullerton, CA 92834-6790.
Report fraud: Call (800) 680-7289 and write to address above.
TDD: (877) 553-7803
E-mail (fraud victims only): fvad@transunion.com
Web: www.transunion.com

Good Luck with your credit-building endeavors, and stay tuned to the payday loans money blog for more credit building tips.