3-Minute Read
Before you're impressed by how fast someone says they can remove something, understand what they're asking you to claim to get that result.
Scroll through social media long enough and you've probably seen the promise:
“Anything can be removed from your credit report.”
Sometimes it's seven days. Sometimes it's ten. Sometimes the pitch is even stronger: collections, charge-offs, repossessions, late payments—everything gone.
That sounds powerful.
But there's a question consumers should be asking before they hand over their money or personal information:
How are you supposedly getting it removed?
One explanation consumers may hear involves data breaches.
Your information may have been exposed in a breach involving a credit bureau, financial institution, retailer, healthcare provider, or another large company.
That exposure is serious. But a data breach and identity theft are not automatically the same thing.
The fact that someone's personal information was exposed does not establish that every negative account appearing on that person's credit report was opened through identity theft.
That's an important distinction.
The Consumer Financial Protection Bureau specifically says the identity-theft blocking process should be used for debts that actually resulted from identity theft. A credit reporting company can refuse or reverse a block when the information provided is incorrect or the debt wasn't caused by identity theft. (Consumer Financial Protection Bureau)
This is where the “seven-day” marketing becomes easier to understand.
Federal law provides a special blocking process for credit information resulting from actual identity theft. When the required identity-theft report, identification, and supporting information are properly submitted, the credit reporting company generally must block the fraudulent information within four business days. (Consumer Financial Protection Bureau)
That's very different from a standard credit-report dispute, which generally involves an investigation period that can take around 30 days. (Consumer Financial Protection Bureau)
So when somebody promises an unusually fast deletion, don't focus only on the speed.
Ask:
What remedy are they actually invoking?
And more importantly:
Does that remedy actually apply to my situation?
If someone opened an account using your identity without authorization, that's one situation.
If an account belongs to you but contains inaccurate information, that's another.
If an account belongs to you and the reporting is accurate, that's another situation entirely.
Those circumstances shouldn't automatically be thrown into the same bucket simply because someone wants a faster deletion.
The FTC has specifically warned consumers about people telling them to file false identity-theft reports concerning debts they actually owe. The agency warns that knowingly filing a false identity-theft report can carry serious legal consequences. (Consumer FTC)
This isn't theoretical, either. The FTC has brought enforcement actions alleging that credit-repair operations filed false identity-theft reports in attempts to remove negative credit information. (Federal Trade Commission)
The real objective shouldn't simply be:
“Get everything deleted.”
The first objective should be determining what is actually wrong with the reporting.
Is the account yours?
Is the balance accurate?
Are the dates accurate?
Is the payment history accurate?
Is the furnisher reporting information that can be substantiated?
Was there actual identity theft?
Is the same information appearing incorrectly more than once?
Those questions help identify the issue before selecting the remedy.
The CFPB states that accurate negative information generally cannot simply be removed because a consumer doesn't want it reported. Consumers do, however, have the right to dispute inaccurate information and information resulting from identity theft. (Consumer Financial Protection Bureau)
At Common Law Credit Solutions, the Credit Division approaches credit reporting from a different direction.
Review the report. Identify the issue. Examine the supporting record. Then determine the appropriate administrative process.
Sometimes that may involve an accuracy dispute.
Sometimes identity theft really did occur.
Sometimes additional documentation needs to be examined.
And sometimes the information may simply be accurate negative information that remains reportable.
The remedy should follow the facts—not the marketing promise.
So the next time somebody tells you:
“I can wipe anything off your credit in seven days,”
don't just ask how much it costs.
Ask one more question:
That answer may tell you far more about the service than the seven-day promise ever will.
Common Law Credit Solutions
Administrative Consumer Protection & Positioning Division
