{"id":397,"date":"2019-07-05T15:28:02","date_gmt":"2019-07-05T19:28:02","guid":{"rendered":"https:\/\/yourfaircreditlawyernow.com\/?p=397"},"modified":"2021-01-01T17:43:35","modified_gmt":"2021-01-01T22:43:35","slug":"how-does-a-credit-reporting-agency-create-my-credit-file","status":"publish","type":"post","link":"https:\/\/yourfaircreditlawyernow.com\/?p=397","title":{"rendered":"How does a credit reporting agency create my credit file?"},"content":{"rendered":"

Credit reporting agencies create a consumer credit file when banks, credit card companies, collection agencies, etc. (\u201cfurnishers\u201d as defined by the Fair Credit Reporting Act) provide credit information about their experiences with a consumer.\u00a0 These experiences can be credit inquiries, on-time payments, late payments, or charge-offs.\u00a0 Furnishers typically provide this information to the credit reporting agencies in the industry standard Metro 2 Format. <\/strong><\/p>\n

The Metro 2 Format is an electronic mechanism so that credit reporting agencies have a standardized system to receive and report credit data in electronic form.\u00a0 As part of the format, credit information such as account type, account status, account balance, and account history is converted into Metro 2 codes that can be associated and reported with the identifying information for an individual consumer.\u00a0 The organization and maintenance of this information results in what the consumer refers to as their respective \u201ccredit file.\u201d\u00a0 Conceptually the credit data information maintained on a consumer is more like data in a cloud that can result in a different credit file for a consumer depending upon the information input in the inquiry process as part of a credit application.\u00a0 Most consumers are surprised to learn that credit reporting agencies do not keep copies of the credit reports that are issued when a consumer applies for credit.\u00a0 The credit reporting agencies use matching algorithms that are programmed to place certain information in specific places and provide a credit report.\u00a0 These reports are organic in the sense that the information reported can change depending on the time and circumstances.\u00a0 When a credit reporting agency receives Metro 2 data from a new furnisher regarding a consumer, the credit reporting agency attempts to match that new information with the best possible match of credit data already in possession of the credit reporting agency.<\/p>\n

Credit report errors of mismatched or mixed credit information occur when the data received by the credit reporting agency is associated with the file of a different consumer.\u00a0 Mixed credit information can be the result of the incomplete or inaccurate information being associated with the wrong consumer<\/a>.\u00a0 For example, a furnisher could transpose the social security number digits on an account that would result in the information being associated with the wrong consumer.\u00a0 Similar names or similar social security numbers for individuals that live at the same addresses can cause data to be mixed inaccurately and lead to a credit report error. \u00a0The end result can be catastrophic if the inaccurate credit information is placed on a consumer\u2019s credit report just as the consumer needs to use their credit to obtain a mortgage or buy a car.<\/p>\n

When a credit report error happens, the consumer should dispute the inaccurate information immediately with the credit reporting agency.\u00a0 Please see my previous post with helpful information on how a consumer can dispute inaccurate information on their credit report<\/a>.\u00a0 If you would like to speak to me about inaccurate information in your credit report or a credit report error about an employment related credit report, please contact my office at (703) 390-2905.<\/p>\n","protected":false},"excerpt":{"rendered":"

Credit reporting agencies create a consumer credit file when banks, credit card companies, collection agencies, etc. (\u201cfurnishers\u201d as defined by the Fair Credit Reporting Act) provide credit information about their experiences with a consumer.\u00a0 These experiences can be credit inquiries, on-time payments, late payments, or charge-offs.\u00a0 Furnishers typically provide this information to the credit reporting … Continue reading How does a credit reporting agency create my credit file?<\/span> →<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[6,24],"tags":[4,22,17,13,21],"class_list":["post-397","post","type-post","status-publish","format-standard","hentry","category-disputes","category-faq-credit-reports","tag-credit-disputes","tag-frequently-asked-questions","tag-herndon-credit-report-lawyer","tag-mixed-credit-files","tag-reston-credit-report-attorney"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=\/wp\/v2\/posts\/397","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=397"}],"version-history":[{"count":2,"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=\/wp\/v2\/posts\/397\/revisions"}],"predecessor-version":[{"id":400,"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=\/wp\/v2\/posts\/397\/revisions\/400"}],"wp:attachment":[{"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=397"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=397"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/yourfaircreditlawyernow.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=397"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}