Cleaning Your Credit Up
After Bankruptcy

If the information they are reporting is incorrect or inaccurate then of course your score reflects those inaccuracies. So, the first challenge that you have after your bankruptcy has been discharged is correct your credit report, making sure that the information that the credit bureaus have is 100% accurate.

That is a rather monumental challenge. There are a couple of ways that you can assure that this information is correct. Here comes a blinding flash of the obvious…you need to pull a credit report. You can do this by going directly to http://www.annualcreditreport.com . The report is free if you have not used the service within the last 12 months. Once you figure out what is on the report you will know exactly what is accurate and what is not. The biggest problem most people have is in following up on their original disputes to the bureaus. It is a time consuming task.

When you do it in writing, send your disputes registered mail or registered receipt required so that you actually get a time stamp as to when it was received. The law says that the creditors must respond within 30 days of receipt of your dispute or they must remove the item you disputed from your credit report regardless if the disputed item was accurate or not. You are going to send a copy of your dispute on their form to the appropriate address. Explain that each creditor listed as active or derogatory was included in your petition and should, therefore, be removed from your credit report. The next step is where this gets difficult.

When you originally pull your credit report you are going to notice a couple of different things. There is going to be a number of creditors that are on your report that were included in your bankruptcy that do not reflect that in the itemization of information below the trade line itself. There are also going to be creditors like collection companies that have purchased your bad debt from the original creditor. You will need to identify who the original creditor was and how much was owed to them. Then you can dispute that the current information on your report is inaccurate. It is going to take some time and a whole lot of effort quite honestly to identify who is who. However, you will see a benefit from this in your credit score down the road.

Keep a log on your calendar when the timeline began with your disputes. Remember they only have 30 days to respond to you. You will need to keep on top of the credit bureaus to make sure they follow through and remove objectionable items.

The basic follow through here is going to be that time stamp that you received from the post office. You need that date so you can follow up on the 30th day. If you have no response by that date, whatever you disputed must come off your credit report. That’s the law.