So the myths about credit reporting.
Credit reports are a complex animal. And I'll use a number of examples on what can be repaired on and what cannot.
So I'll start with what cannot be disputed effectively?
Most of the time, when something is true and is being reported as true - for example - you are not paying your $5,000 credit card and it's showing as late. And that's true. Well, sending in a dispute is probably not going to do anything about that. If it continues to report even after you dispute, you certainly can't sue on that.
Now, where can we make a difference on the credit report? Most of the time is inaccurate information, whether it's identity theft or confusion. You see a lot of errors between Jr. and Sr. where the debt of Sr. is showing up on Jr. That's an error and we should dispute that. By disputing that off, we sometimes drastically improve your credit score and your credit stance.
The big difference is, how do you dispute? The rule of thumb is you need to send a letter that clearly identifies you to the three credit bureaus identifying the error on your credit report. If the bureaus of the creditor don't timely respond, then perhaps there is something we can do, like oftentimes filing a lawsuit.
But the big difference is that, disputing accurate information, not only is it not likely a lawsuit, but it's probably not going to do you any good.