There are two basic reasons not to file your dispute for credit reporting errors online. First, there is no paper trail, which could be essential to getting these items removed from your credit history.
When you send a letter of dispute, it’s recommended that you send it certified with notice of receipt. This ensures you have proof of the date when you sent the dispute.
Why is the date important? Because credit reporting agencies are obligated by law to remove any information that cannot be verified within 30 days.
If you don’t have proof of the date when you sent the dispute, you cannot use this law in your favor. With online disputes, there is no paper trail and you may not receive an email confirmation or any other notice of dispute request.
While the credit reporting agencies may make every attempt to follow through on disputes, it’s easy for one to get lost in the system. Sometimes, creditors can refuse to verify the requested information, even though they are obligated to do so. If that happens, the data should come off your record.
The second reason not to file a dispute online is that the information isn’t handled in the same way. The Fair Credit Reporting Act was developed to protect the consumer from unfair credit reporting practices.
It was revised to include online disputes under Section 611a(8). In this section, it says that the agency may disregard other paragraphs if the information is deleted within three days of notice of a dispute.
The paragraphs to be disregarded include the following requirements:
- The credit reporting agency doesn’t have to forward the dispute and other information to the creditor.
- The credit reporting agency doesn’t have to send you with written results from the investigation of the dispute.
- The credit reporting agency doesn’t have to show the method of verification.
All of this information is important if you want to proceed with fighting the information in your credit reports. In addition, the type of delete in this situation may be a soft or temporary delete, which can then be reinstated when the creditor reports the next time.
This happens because the agency doesn’t have to send information for the dispute to the creditor. What this means to you as the consumer is that the information which is disputed and deleted from your report can come back on in as little as 30 days.