When you see an error on your credit report it’s important to understand that taking the steps to remedy the error. Unfortunately, you’ll find that an error on your report can negatively impact your credit score and financial future, making them incredibly frustrating to handle. As such, it’s imperative to understand who can be held liable for the damages you endure and if you can seek compensation. The following blog explores the actual damages you can seek for a credit error and why connecting with a San Diego County credit reporting lawyer is in your best interest during these matters.
What Impact Can Credit Errors Have?
Unfortunately, errors on your credit report can be incredibly impactful, and you’ll find the consequences it can have on your credit can be lasting. Generally, there are two kinds of errors that can appear on your report – erroneous personal information or incorrect account information.
Incorrect personal information typically does not have a direct impact on your credit score, but it can result in your credit and loan applications being denied due to inconsistencies. If the employee reviewing your application sees that the information you’ve provided does not match what’s on your credit report, it can lead to issues.
The next kind of error impacts the account information in your report. This includes listing debts that do not belong to you, duplicate listings, reporting incorrect missed payments, and failing to remove outdated information from your account. In many instances, this can be the result of of data entry errors or identity theft. The inclusion of this incorrect information can lower your credit score, result in being denied loans, and pay astronomically higher interest rates for loans you are approved for, as the false information on your report will likely render you high risk.
Can I Fight for Actual Damages for a Credit Error?
Generally, in order to seek compensation, you must be able to prove that the credit reporting agency intentionally or negligently included false information on your credit report. For example, if you filed a dispute and provided adequate information about why certain information was incorrect, and the reporting agency still refuses to remove it from your report, you can file a claim against them.
The actual damages you can seek for the inclusion of the false information in your report include any direct loss you’ve incurred as a result of the errors in your report. There is generally no limit on how much you can seek, so long as you can prove the losses. This includes economic damages, such as being denied a loan or being approved with drastically high interest rates. In addition, you can seek compensation for non-economic damages, which represent emotional suffering.
It’s important to understand that you do not need to bear the burden of the reporting agencies’ errors. Instead, you can hold them accountable for the damages by seeking actual damages for a credit error on your report. However, navigating a credit reporting error lawsuit on your own can be incredibly complicated, which is why it’s in your best interest to work with an experienced attorney from Barthel Legal to guide you through these difficult times. Contact our firm today to learn how we can assist you in these issues.
