Ask Consumer Ed

Dear Consumer Ed:

I make loan payments, which are reflected on my credit report. I pay every month, but sometimes the loan company skips a month and does not report to the credit bureau. Isn’t that hurting my credit, and don’t they have to fix that?

Consumer Ed says:

Unfortunately, there is not much you can do on your own to force a lender to report information regarding your accounts. Lenders are not obligated to report anything; however, if they do report, the information that they report must be correct pursuant to the Fair Credit Reporting Act (FCRA). The loan company should accurately report the balance of your loan.

Check your credit reports periodically and address errors immediately. Serious errors could affect your ability to obtain a loan, insurance or even a job or could affect your credit rating, which in turn would mean that you might have to pay a higher interest rate when you borrow money. Your payment history is an important factor in determining your credit score.

If you find errors on your report, such as an incorrect loan balance, you can dispute the errors at no cost. Details on how to dispute an error are included with your credit report, but basically you should notify the credit bureau (also called credit reporting agency), as well as your loan company. The credit bureau must investigate your allegations within 30 days and will notify you of the result.

You may contact the credit bureaus at:

Equifax
equifax.com/disputes

Experian
experian.com/disputes

TransUnion
transunion.com/disputes

Consumer Ed is brought to you by the Georgia Department of Law’s Consumer Protection Division. Go to ConsumerEd.georgia.gov to submit your own question and read additional consumer tips. Remember…we do not give legal advice. Always consult a lawyer about legal issues.