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Your credit report critical to your financial life may all be a mistake.
A new study shows these reports may be way off and costing you 25 or more points on your credit score.
So happy findings inaccuracies in -- sent here to help is John Alzheimer president mark Craig dot com John welcome great to see you again -- Thanks Gerri -- -- and -- so we have this new report that says 7%.
Of credit reports have bears.
Really just 7% -- you kidney.
I've seen Brett ports that are much much higher than that and come on if you've ever -- to your credit report you know you really know who that person is half the time -- in the report.
While it you know it's one of these it depends on -- you listen to him what you define as an -- I'm according to -- the policy and economic research council.
Actually less than one -- -- A crowd reports had meaningful errors and what a way -- finding meaningful error was that when he corrected.
That led to a 25 point increase in your score actually point 93%.
Which is really really -- almost almost unbelievable.
That's one study then you look at a study done -- years ago I don't -- they should call her to the pot -- -- public interest research group.
Which said that 79%.
Of credit reports contain errors -- addition definition of an error was very different than a perk study but still.
Why -- cannot results what is right there 79 per right here.
I'll be honest with you I don't think either of them -- right I think the true number is somewhere in between.
-- the fair credit reporting act does not say that an -- in a credit report.
Is an -- that when he corrected equals a 25 point increasing your -- that was just.
It's not okay -- -- that was just the soul that was exactly right that's something that they determine as being.
I really liked about the -- can -- them a true error an accredited -- meaningful air.
But it won't get down to brass tacks here at the end of the day these credit reports have lots of mistakes and then the material that information is not always accurate.
This different than that determines what your credit score is in your credit score determines -- -- you're gonna be able to afford a house with -- -- -- kids in school it is critical to your financial life.
Yeah I I agree I I did this study is a little bit troubling look it was done by very very Smart people don't get me wrong.
That the study is a little bit troubling not only is of less than 1% figure are really hard to believe.
But the sample was really really small 2400 consumers -- 600 million.
Consumer files are sample issues they compensated of people who actually took part in the study.
They gave them and they a specific toll free number to call to get errors but -- Addressed on a credit report that's not something that you and I can just simply get by picking up a -- getting popular -- -- I don't why a lot white glove treatment is essentially wow.
No wonder if now -- -- that's just annoying.
So I -- -- take away here really is that there are lots of mistakes and credit reports happens all the time and it's beacon -- they should go -- to them isn't necessarily all that reliable.
It should be no big surprise the information comes from banks and other institutions they don't always have accurate stop.
So what do you do about it.
While it -- It is incumbent upon all of us to be good stewards of our own credit report information at our data regardless of what other people value.
We have to be claiming our free credit reports they were changes in the laws.
Sever years ago they gave very aggressive consumer rights to get act.
Access -- information for -- and 96%.
A free credit reports go unclaimed.
Year over year.
That's absolutely atrocious I don't wanna hear anybody complain about anything democratic pork while 4% of the credit reports that we've been -- to be comfortable law.
Are actually being -- we just don't care and it's sad.
Get the information look at the information talk to a lender talked to credit reporting agencies it's critical that you have this information if you care about your financial life.
You really didn't -- thanks for coming in today we really appreciate it.
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