If you haven’t checked your credit report recently, you might want to do so. More people than ever are reporting errors on their credit reports.
The CARES law passed by Congress in March 2020 allowed many consumers to defer payments on federally guaranteed mortgages and student loans, and it was promised that there would be no impact on their credit rating, but unfortunately for many, their credit ratings have taken a hit.
But instead of listing the accounts as current, some companies have reported these deferred payments as overdue.
“There is a kind of disconnect between the lenders and the credit bureaus that is causing this situation,” said Octavio Blanco, financial reporter for Consumer Reports.
Complaints about credit report errors have doubled in the past year, according to the Consumer Financial Protection Bureau, and the impact of these errors can have lasting effects on a consumer’s ability to obtain loans.
“It’s a tough time for these issues, and the raison d’être of the CARES Act was to give people a break because they lost their jobs, they don’t have the income to keep their families afloat. “Blanco said. .
What can you do
If you find an error, dispute it with each credit bureau.
Get your documents to prove your case and upload them with your claim.
Credit bureaus have 30 days to investigate your dispute. If they find in your favor, the credit bureaus will make the changes. So keep checking back to make sure they did.