You probably have heard “credit experts” tell you that the best way to improve your credit is to dispute anything and everything on your credit record. However, a new report by PERC (Policy and Economic Research Council) and supported by reports from FICO indicates that this may be a waste of time. The report, titled “U.S. Consumer Credit Reports: Measuring Accuracy and Dispute Impacts,” indicates that “less than one percent of all credit reports examined by participants prompted a dispute that resulted in a credit score adjustment and an increase of credit score of 25 points or greater”. The report concurred with evidence found in an earlier report that determined that while there are errors on many credit reports, the vast majority of these errors do not have “a material impact on credit scores – and by extension, lender decisions.”
This is likely to be disturbing news for many people in a time when credit is harder to get than ever before. However, all this really means is that you must be even more diligent when monitoring your own credit and enlist the help of a qualified, experienced and proven-knowledgeable and effective expert should you wish to attempt credit repair. It should probably not surprise you that FICO’s own report indicates that FICO is doing just fine in the credit analysis business; the issue is whether they are handling your credit appropriately.
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