Credit Dispute Letters: Don’t Use Templates

credit dispute letters
OCR-A was a font developed to be easily recognized by early Optical Character Recognition programs, as well as humans. (Photo credit: Wikipedia)

Credit Dispute Letters Need Careful Wording

Deny negative credit report entries.  Make the alleged creditor verify.  Unverifiable debts must be removed within 30 days. Put the collection agency to its proof.  You have no duty to acknowledge the alleged debt.

When disputing an inaccurate entry on your credit report use your own words.  Internet wannabe credit gurus have produced form credit dispute letters which not only don’t achieve what you are trying to accomplish, but can actually cause your dispute to be labelled as frivolous and rejected out of hand.  Credit dispute letters always start with letters direct to the credit bureau that reports them.

The reason for this problem is the pervasive use of E-OSCAR, software that is designed to ferret out form letters as it reduces your dispute to a code, usually out in India or some other place where American jobs have gone to people who speak English as a second language if that.  E-OSCAR is an acronym for Electronic Online Solution for Complete and Accurate Reporting.

This loathsome system has withstood legal challenges up to this point although we can only hope that some sharp eyed lawyer will file and win a successful class action suit to liberate consumers. These kinds of short cuts to real dispute investigation circumvent the intent of the  law.  E-Oscar uses optical character recognition matched up with data bases.  Even if the dispute is 10 pages long it is reduced to code as follows:

  • 31%……………Not mine
  • 21%……………Account status
  • 17%……………Inaccurate information
  • 9%…………….Account amounts
  • 7%…………… Account closed
  • 15%……………Other

This is hardly the meaningful dispute process envisioned in the Federal statute.  As always, be persistent and prepared to appeal if denied.  Document everything.  Use certified mail.  Skip the worthless on line dispute resolution process provided by credit reporting agencies as a cost cutting measure.  You need to be prepared to present a detailed case to the Consumer Financial Protection Bureau on appeal from an adverse decision by the credit reporting agency.

Your Credit Dispute Letters Will Question Ownership of the Debt

You must challenge the collection agency to prove that it owns the debt.  There is no contract between you and the debt collection agency.  Unless your account with the original creditor says “You are responsible for payment of the debt to the creditor or its ASSIGNS” you have no duty to pay the debt collector.  Check with your Secretary of State to see if the debt collector’s corporation is valid.  Check with your State Department of Business Regulations to see if they have renewed their State license.

Credit Dispute Letters Demand Complete Payment History, Interest and Fees

Your credit dispute letters will include a demand for your original signed contract, complete payment history and a detailed statement of all interest and fees and how they were calculated.  Deny, deny, deny and make them verify.  You have every right to put them to their proof.

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After practicing law for 37 years Edward F. St. Onge, Sr. now devotes all his time to helping consumers achieve a high credit score with amazing speed. Learn the counter-intuitive secrets to credit scoring through his down to earth instructions backed by extensive knowledge of the laws and trends. All of the latest tricks and techniques that they don't want you to know now at your disposal. At last a level playing field for the consumer!

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