What if your credit report shows all your accounts are in good standing but you are being denied credit? The lenders tell you the decision is made because of a lot of negative information on your credit report. None of that shows up on the credit report the credit bureaus sent you. This scenario is not uncommon. The credit report which your lender sees is different from the credit report you have. Sometimes the lender will show it to you and show you the credit report he is actually seeing. Sometimes they are looking a tri-merge report which is put together by a re-seller containing all three bureaus’ reporting. You can request a copy of the tri-merge report. Or it may show names similar to yours but not quite the same. If the report has information on it that is not yours, this may be a mixed file situation. The credit bureau has mixed your credit information with the credit information of someone else. Many of the policies used by the credit bureaus make mixed files extremely possible. It is more likely to happen with similarly named people or Father/Son Sr./Jr. situations. Sometimes your social security number is one digit off.
It is important to send a dispute letter with your identifying information to the credit bureaus, show something with your correct address such as a utility bill or mortgage statement. Document your information as differing from what is being reported wrongly.
The credit bureaus are on notice of how their practices result in mixed files. They have even signed consent orders with the FTC acknowledging the problem and promising to fix the problem.
Fill out a written request for your credit report from each of the three major credit reporting agencies. Use this form and also send in with it a copy of your social security card and driver’s license. Mail it certified mail, return receipt requested. Make a copy of each form you send in before you mail. Keep records.
If it is a mixed file situation, you may receive letters denying credit which you personally have not requested. Keep those records.
These circumstances may substantiate a lawsuit against one or more of the credit bureaus. If you retain an experienced attorney who knows how to dig and what to look for, a lawsuit under the Fair Credit Reporting Act may be a productive route to follow. The credit bureaus can be held to account for their practices. I handle cases under the Fair Credit Reporting Act for mixed file and other credit report issues in the North Texas and Dallas areas.
