FTC & Credit Repair

The Fair Credit Reporting Act (FCRA) was enacted in 1970 to promote fairness, accuracy and the privacy of personal information reported to credit bureaus by creditors and others.
The FCRA allows a consumer to challenge the information on his or her credit report on the basis of "completeness and accuracy."


The credit bureaus are required to complete the investigation within a "reasonable period of time." This time period has been set at thirty days.

If, after an investigation by the credit bureau, the disputed information "is found to be inaccurate or can no longer be verified, the [credit bureau] shall promptly delete such information."

In theory, the disputation process should be simple, but many consumers quickly discover that creditors and debt collectors can make the process more difficult than they imagined.

Creditors routinely charge higher rates of interest to those with negative credit histories, so sloppy credit reporting may serve to maximize their profits, a circumstance that can make the process of credit repair a difficult and frustrating experience for most consumers.