Doctors and medical offices don’t report your unpaid bills to the credit reporting agencies. They send them to bill collection agencies and they report your debt. Once reported, the unpaid medical debt may negatively impact your credit score making it drop 50 to 100 points. Whether paid or not, the medical debt reported will stay on your credit report for up to 7 years.
The credit reporting agencies tell us that your Chapter 7 bankruptcy will stay on your credit report for up to 10 years. However, what many people don’t know is that approximately 2 years after filing for chapter 7 bankruptcy, your credit score will improve if you maintain a good bill payment record. Additionally, you may be able to acquire new credit cards after the 2 year period.
Your bad credit isn’t just a nuisance; it will impact every area of your life. When you finally decide to take matters into your own hands and fix your credit problems, many areas of your life will improve.
Luckily, these days there are a lot of options for proactive and hands-on folks who want to take back control of their financial lives. While there are many DIY credit repair options out there, getting professional help can walk you through the sheer volume of necessary procedures which can be overwhelming — not to mention being sure you’re getting the right information.
That’s why we’ve put together a simple plan to get you back on the right financial track. Call or email us for a quick chat to see if we can put a plan in place to reduce your stress and get your credit score higher than ever.
When it comes to credit reporting, you must know your rights. Here is an overview of the Federal Fair Credit Reporting Act
Your rights under the Fair Credit Reporting Act include:
- You have the right to receive a copy of your credit report. The copy of your report must contain all of the information in your file at the time of your request.
- If you contest the completeness or accuracy of information in your report, you may file a dispute with the CRA and with the company that furnished the information to the CRA. Generally both the CRA and the furnisher of information are legally obligated to reinvestigate your dispute as long as it is not frivolous.
- CRA’s must correct or remove inaccurate, incomplete or unverifiable information in their files. CRA’s must remove obsolete information in their files.
- If you are a victim of identity theft or are on active duty with the military, you have more rights under the FCRA.
- Only those with a permitted purpose or with your express permission may access your file.
- Generally employers must have your express written permission to obtain your report.
- Any company that denies your application, or takes an adverse action against you, based on information obtained from a CRA, must inform you of the adverse action and must supply you with the name and address of the CRA they used.
- You have the right to a free copy of your credit report in numerous instances including when your application for credit or employment is adversely affected because of information supplied by the CRA. You can get a free credit report each year in any case.
- You may opt-out of lists provided by the national credit bureaus that are based on your credit file.
- You may sue under the FCRA for violations of the Act.
- Credit scores are available to you on request from credit reporting agencies and sometimes from mortgage lenders. There may be a fee for the score.
If you have any issues with the information contained in your credit report, please call or email us for assistance. We have the necessary experience and knowledge to deal directly with the reporting agencies. In most cases we can get the negative information removed or corrected to improve your score and get you the loan or mortgage you desire.