Act quickly if there’s an error in your credit report

I recently checked my credit score and found a black mark on my report, which I don’t think should be there. What can I do?

Your credit report includes lots of personal information about you, including how well you’ve been paying your bills, how you use credit, details of court judgements against you and whether you have ever been bankrupt.

New comprehensive credit reporting means that your file contains more information than it once did. As well as listing bills you’ve defaulted on, it also includes information on how well you are keeping up with ongoing payments.

You can request a free copy of your credit report from any of the credit reporting bureaux – or CreditSimple makes it available online.

If you see something that looks wrong, query it. A lower score makes lenders less likely to offer you a loan when you need it.

Credit Simple spokeswoman Hazel Phillips said about 1 per cent of people had queried something on their files.

‘‘If you’re looking at your Credit Simple credit history, you can dispute it from directly within your Credit Simple dashboard – we have a button that says ‘question this’ – you just hit the button and fill out the comment box about why you think it’s wrong.’’

She said it would still be necessary to contact the other two credit reporting companies, Equifax and Centrix, in case they also held the incorrect information.

‘‘You can also call the credit provider in question and get them to fix their records. This correction will eventually flow on to the credit reporting agencies, but if you want to speed things up, it’s best to hit everyone, all at once.’’

The Citizens Advice Bureau says: ‘‘Credit reporting agencies are required by law to ensure that the information they hold about you is correct. If you notify them of incorrect information on your credit record, they have to investigate. In the meantime, they must either suppress the information or flag the disputed information to show it is being checked.’’

If you think the default is the result of someone else fraudulently using your details, contact the police, too. They will notify the credit reporting companies of the outcome of their investigation.

❚ If you have a consumer question you would like answered, email susan.edmunds@fairfaxmedia.co.nz