How to Dispute False Credit Bills

Identity theft is still a growing concern, despite stricter laws and technologies instituted in recent years. Receiving a false credit bill, or seeing one on a credit report is frightening when it occurs. Though the credit system is unfortunately run on a "guilty until proven innocent" system, there are laws and ways an honest consumer can fight back against false credit bills. Though the most complicated cases may require legal action and possibly even a consumer attorney, there are ways for people to fight back on their own against false credit bills.

Instructions

1

Write a letter to the collection agency or lender who has issued the false claim against you, whether they did so through sending you a letter, calling you on the telephone, or making a negative report against you to the credit bureaus. Tell them this debt is not yours, and you insist they prove the validity of the debt. This is called debt validation, and your right to it is protected under the Fair Debt Collection Practices Act (FDCPA) and Fair Credit Reporting Act (FCRA.) Send your correspondence through certified mail, in case you need to prove your case in court at a later date.

2

Obtain copies of your Equifax, Experian and TransUnion credit reports. You can do this for free once a year by visiting AnnualCreditReport. A link to the website is noted in our Resources section of this article.

3

Write a letter to the credit bureau reporting the false credit bill, if this applies. Remember that you must send the same letter to every credit reporting agency who has this on your record, as they all are independently owned and operated. In your letter, state that this is not your account and you believe you could be a victim of identity theft. Send the letter certified mail so you have a record of when it is received.

4

Write follow-up letters to the collection agency or lender, and if applicable, the credit bureaus, if you do not hear back within about 40 days after they received your letter. Remind them that failure to investigate your inquiries could open them up to civil action.

5

File a small claims court lawsuit, or consult with an attorney, if you cannot get these accounts removed through letter writing.