Our Credit Bureau Communication Process


Our team place an extreme importance on utilizing every known consumer right available to maximize service effectiveness in our continuous pursuit of credit accuracy for each consumer.
Upon enrollment into GOLD, SILVER or BRONZE Service Levels, CreditServices.com™  offers a Product FEATURE™ named, Bureau Discovery which places consumer as the one deciding on which item to investigate or validate based on its current reporting ‘state’ and how the account is effecting one’s credit profile. The consumer gives CreditServices.com™ verbal authority during the course of the credit consultation to validate the accounts in question through CreditServices.com™ account investigation method and process.

Our discovery Method.

Our account investigation process has been designed to investigate reporting accounts in multiple ways. Having these system options has delivered one of the highest removal rate in the nation.

MAILInvestigation via Mail.


Our Solutions Specialists develop Bureau investigation letters to be sent through the mail, this is to verify the report is 100% free of error.

FAXInvestigation via Fax.


Our Solutions Specialists develop Bureau investigation letters to be sent through fax, this is to verify the report is 100% free of error.

coorporate building iconInvestigation via Creditor.


Our Solutions Specialists develop Bureau investigation letters to be sent through fax, this is to verify the report is 100% free of error.

Credit Bureau Process


The communication CreditServices.com™ makes is through investigation letters sent on behalf of CreditServices.com™ consumers. The details to the challenging of each account in relation to the consumers request are structured to abide by GOVERNMENT STATUTES FCRA | ECOA | FCBA 
The process CreditServices.com™ exercises to accurately and legally validate consumer credit accounts that are either currently reporting, or have reported information at one time to the Credit Bureaus, is to do so via US Postal Service / standard mail. The procedure to validate accounts for consumers based on their request is an option for each consumer through these investigative actions. These actions and services are specific to each consumer and are not always the course of action in relation to: current credit status, consumer’s credit goals and the consumer’s acknowledgment on the accuracy to the accounts reporting or have reported.
The Verification content used by CreditServices.com™ was developed to match the internal system the Credit Bureaus currently utilize to streamline their mass response tactics, E- OSCAR. The relationship and reason for investigation of account data to be challenged is to verify whether the data in question is accurate, valid and correct. CreditServices.com™ will challenge specific aspects and areas of the accounts in question from payment history to balance reporting details. To do this, CreditServices.com™ uses their internal code and letter development system, Random Recognition System™ to customize our personal investigation process.

What Service Levels offer the Bureau Discovery Process?

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FCRA | FAIR CREDIT REPORTING ACT


Your credit report contains information about where you live, how you pay your bills, and whether you’ve been sued or arrested, or have filed for bankruptcy. Credit reporting companies sell the information in your report to creditors, insurers, employers, and other businesses that use it to evaluate your applications for credit, insurance, employment, or renting a home. The federal Fair Credit Reporting Act (FCRA) promotes the accuracy and privacy of information in the files of the nation’s credit reporting companies.
Some financial advisors and consumer advocates suggest that you review your credit report periodically. Why? Because the information it contains affects whether you can get a loan — and how much you will have to pay to borrow money.To make sure the information is accurate, complete, and up-to-date before you apply for a loan for a major purchase like a house or car, buy insurance, or apply for a job.To help guard against identity theft. That’s when someone uses your personal information — like your name, your Social Security number, or your credit card number — to commit fraud.
Identity thieves may use your information to open a new credit card account in your name. Then, when they don’t pay the bills, the delinquent account is reported on your credit report. Inaccurate information like that could affect your ability to get credit, insurance, or even a job.
Reference Source | https://www.consumer.ftc.gov/articles/0151-disputing-errors-credit-reports

 

CORRECTING ERRORS.


Under the FCRA, both the credit reporting company and the information provider (that is, the person, company, or organization that provides information about you to a credit reporting company) are responsible for correcting inaccurate or incomplete information in your report. To take advantage of all your rights under this law, contact the credit reporting company and the information provider.

STEP ONE.


Tell the credit reporting company, in writing, what information you think is inaccurate. Use our sample dispute letter. Include copies (NOT originals) of documents that support your position. In addition to providing your complete name and address, your letter should clearly identify each item in your report you dispute, state the facts and explain why you dispute the information, and request that it be removed or corrected. You may want to enclose a copy of your report with the items in question circled. Send your letter by certified mail, “return receipt requested,” so you can document what the credit reporting company received. Keep copies of your dispute letter and enclosures.
Credit reporting companies must investigate the items in question — usually within 30 days — unless they consider your dispute frivolous. They also must forward all the relevant data you provide about the inaccuracy to the organization that provided the information. After the information provider receives notice of a dispute from the credit reporting company, it must investigate, review the relevant information, and report the results back to the credit reporting company. If the information provider finds the disputed information is inaccurate, it must notify all three nationwide credit reporting companies so they can correct the information in your file.
When the investigation is complete, the credit reporting company must give you the results in writing and a free copy of your report if the dispute results in a change. This free report does not count as your annual free report. If an item is changed or deleted, the credit reporting company cannot put the disputed information back in your file unless the information provider verifies that it is accurate and complete. The credit reporting company also must send you written notice that includes the name, address, and phone number of the information provider.
If you ask, the credit reporting company must send notices of any corrections to anyone who received your report in the past six months. You can have a corrected copy of your report sent to anyone who received a copy during the past two years for employment purposes.
If an investigation doesn’t resolve your dispute with the credit reporting company, you can ask that a statement of the dispute be included in your file and in future reports. You also can ask the credit reporting company to provide your statement to anyone who received a copy of your report in the recent past. You can expect to pay a fee for this service.

 

 

STEP TWO.


Tell the information provider (that is, the person, company, or organization that provides information about you to a credit reporting company), in writing, that you dispute an item in your credit report. Use this sample dispute letter. Include copies (NOT originals) of documents that support your position. If the provider listed an address on your credit report, send your letter to that address. If no address is listed, contact the provider and ask for the correct address to send your letter. If the information provider does not give you an address, you can send your letter to any business address for that provider.
If the provider continues to report the item you disputed to a credit reporting company, it must let the credit reporting company know about your dispute. And if you are correct — that is, if the information you dispute is found to be inaccurate or incomplete — the information provider must tell the credit reporting company to update or delete the item.
Reference Source | https://www.consumer.ftc.gov/articles/0151-disputing-errors-credit-reports

 

 

The E-Oscar Batch Interface.


The E-OSCAR (Online Solution for Complete and Accurate Reporting) system is utilized even when consumers send in detailed investigations, with supporting documents. The investigation is broken down into a two or three digit code and sent to the original creditor to verify a simple code, failing the duty to investigate the account in a manner that most Americans would disapprove of.
The E-OSCAR method of investigating credit report accounts may be the reason your credit report account challenges were verified as being accurate when you are positive a mistake has occurred. The Credit Bureaus or Credit Reporting Agencies (CRAs) have created an automated computerized system of dealing with consumer credit report investigations.
E-OSCAR is the system that allows data furnishers to electronically communicate with credit reporting agencies throughout the investigation process. Once an investigation is entered into the automated system at the credit-reporting agency, the data furnisher is automatically notified of the challenge through their E-OSCAR online communication system. Data furnishers are provided the three-digit ‘dispute code’ along with details about the consumer. They respond to all ‘disputes’ directly in the online system, and the data furnishers have thirty days to respond or the item is automatically deleted. The online system appears to be an efficient way to transfer information and to communicate; however, due to minimal information being transmitted, it is impossible to understand the full picture of the consumer’s dispute.
With recent enhancements (Batch Interface) to e-OSCAR, the process has become even more transparently non-compliant with the FCRA. E-OSCAR offers data furnishers the ability to update via a Batch Interface, which facilitates the processing of large volumes of consumer disputes in an automated electronic format. This enables the data furnishers to further automate the process by establishing automatic responses to the consumer disputes.
For example, a reporting agency may choose to auto-populate the response fields based on certain criteria, and then the staff has the option to review each one manually prior to submission. The problem with this interface is that the reporting agencies leave the final review up to the individual clerk. There is usually no requirement to even review the consumer dispute, although this is clearly required by law. As most employees are overworked and underpaid, most of the consumer disputes will probably not be reviewed by an actual live person. Once again, this benefits the data furnishers and credit bureaus alike. The Batch Interface itself is not a violation of the FCRA, as data furnishers are free to do with the information what they wish, without fear of repercussions. When the information is not reviewed, but automated, there is a clear violation of the FCRA.
In other words, they’re just providing the tools to break the law. Despite this disclaimer, there’s really no legally compliant reason to have the Batch Interface in the first place. The FCRA mandates each dispute be investigated, but then the reporting agencies empower the data furnishers with tools to avoid having to do an actual investigation. This is a distribution of responsibility, where everyone involved gets to avoid the blame, and it’s transparently unfair to the general public.

 

 

The E-Oscar Terminology.


 

Information Furnisher | The people who put information about your credit accounts on your credit report. They send information about your credit card accounts, the number, when they were opened, and your payment history to the bureaus. Entities who are also considered information furnishers are collection agencies, the courts (judgments and bankruptcies), mortgage companies and any other type of credit companies.
Automated Credit Dispute Verification | This is what E-OSCAR was invented for, a way to cut down on the work in the credit bureaus consumer dispute process. Instead of calling the creditors themselves to check on information a consumer has disputed, it’s done via a computer.

 

 

The E-Oscar System Details.


E-OSCAR is a web-based, Metro 2 compliant, automated system that enables Data Furnishers (DFs), and Credit Reporting Agencies (CRAs) to create and respond to consumer credit history disputes. CRAs include Equifax, Experian, Innovis and TransUnion, their affiliates or Independent Credit Bureaus and Mortgage Reporting Companies. E-OSCAR also provides for DFs to send “out-of-cycle” credit history updates to CRAs.
The system primarily supports Automated Credit Dispute Verification (ACDV) and Automated Universal Data (AUD) form processing as well as a number of related processes that handle registration, subscriber code management and reporting. ACDVs initiated by a CRA on behalf of a consumer are routed to the appropriate Data Furnisher based on the CRA and subscriber code affiliations indicated by the DF. The ACDV is returned to the initiating CRA with updated information (if any) relating to the consumer’s credit history. If an account is modified or deleted, carbon copies are sent to each CRA with whom the DF has a reporting relationship.
The Credit Bureaus’ websites make it sound as if the companies supplying the information to the credit bureaus (the credit card companies, mortgage companies and collection agencies, for example) original creditor (or data furnisher). From the testimony of Leonard Bennett with the employees of TransUnion, this is not what really happens. Every dispute is reduced to a 2 character code and supporting documentation is NEVER sent to the information furnisher.
The “investigators” at the credit bureaus have a maximum of 4 minutes to determine what 2-digit code to reduce the dispute to send to E-OSCAR and through E-OSCAR, the information furnishers.
The Automated Universal Data form (AUD) form is the form Equifax sends out for EVERY investigation, not just some of them. TransUnion and Experian send out forms that look basically the same (names are changed, layout is a bit different, etc.). In Cushman v TransUnion, Stevenson v. TRW (Experian), and Richardson v. Fleet, Equifax, et al, the courts ruled each and every time that the CRA couldn’t merely “parrot” information from the creditors and collection agencies…that they have to conduct an independent REASONABLE investigation to ensure the validity of the debt and the honesty/integrity of the creditor/CA in question.
AUDs are initiated by the DF to process out-of-cycle credit history updates. The system is used to create the AUD and route it to the appropriate CRA(s) based on subscriber codes specified by the DF in the AUD record. The E-OSCAR & AUD process is intended to provide the CRA with a correction to a consumer’s file that must be handled outside of the regular activity reporting cycle process E-OSCAR may not be used to add or create a record on a consumer’s file or as substitute for “in-cycle” reporting to the CRAs.

 

 

The E-Oscar ‘Dispute’ Code.


E-OSCAR SYSTEM code data document that CREDITSERVICES.COM™ uses internally based on the credit bureau guidelines, as well as your account investigation letters

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According to testimony provided in congressional hearings, credit bureaus used the same 4 to 5 dispute codes for 83% of the disputes filed.


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By investigating credit reports online there is no opportunity for you to attach any relevant information or additional copy to your investigation. The “offline” FCRA dispute procedure requires the credit bureaus to forward “all relevant information” provided by the consumer to your creditor when you file a dispute. When disputing credit reports online, you give up this legal right. So you can’t submit a copy of your cancelled check, billing statement, or a letter documenting your settlement agreement.
Consider the fact that the FCRA requires the credit bureaus to respond to your dispute within 30 days or the disputed item must be deleted. When you file your dispute online, the credit bureau electronically forwards your dispute to your creditor or the furnisher of information instantly.
According to lawsuit deposition testimony of credit card company employees, the automated dispute system simply matches certain information like your name, social security number, and account number to the same information provided by the credit bureaus in your automated dispute and their system “verifies” the credit item you disputed.
In other words, not only does the automated dispute system make it easier for the credit bureaus to respond faster to meet their 30 day time limit imposed by the FCRA, but it gives the creditors a way to do a limited “verification” without performing a real re-investigation of your dispute as required by the FCRA. Many creditors abuse the automated dispute system by simply “parroting” the disputed information the credit bureaus send electronically and they don’t actually perform a re-investigation as required by the FCRA. They simply confirm that the information in their system matches the information in the credit bureau records that you disputed. So if you dispute a credit card charge off, the automated dispute system simply confirms that it’s your account and automatically sends the credit bureau a response that the reported credit item has been “verified”. Think about this | What if the account is actually yours but it wasn’t a charge off? When our clients receive a system generated form letter in the mail from the credit bureau stating “the item you disputed was re-investigated and the creditor has ‘verified’ that the item is being reported accurately”. The Problem is this | No human actually even reviewed your dispute.

 

 

Online investigation Process.


When investigating credit reports online you don’t create a paper trail of your correspondence to the credit bureaus. So when you’re ready to take further legal action because of their violation of the FCRA, you lack proper documentation.
Section 611a (8) of the FCRA specifically limits your legal protections when disputing credit reports online using the credit bureaus’ ‘online dispute’ process.
The “Expeditious Dispute Resolution” section states:
The agency shall not be required to comply with paragraphs 2, 6, and 7 with respect to that dispute if they delete the trade line within 3 days.

 

What legal protections the consumer gives up when they use their online dispute system


  • Paragraph 2 | requires the credit reporting agency to forward your dispute, and all relevant information you provide, to the creditor.
  • Paragraph 6 | requires the credit reporting agency to provide you with written results.
  • Paragraph 7 | requires the credit reporting agency to provide you with the method of verification on request from the consumer.
When investigating credit reports online using the credit bureaus’ automated dispute system, the Credit Bureaus are off the hook for complying, they no longer have to forward any relevant documentation you provide to the creditor. They don’t have to notify you in writing of the results of their re-investigation and they don’t have to tell you what method they used to verify the credit items you dispute.

 

 

THEIR SECRET


First the Credit Bureaus comply with this section of the FCRA by deleting your investigated credit item within 3 days. At this point they no longer have to forward the dispute to the creditor. The next month your creditor will update your credit item with the credit bureau automatically as they normally do each month. The updated credit information will basically re-report the same negative item you disputed and you will never know all of this happened because they don’t have to give you the results of the re-investigation under this section.
The Credit Bureaus are required to give you special notice and provide certain certifications when they re-report a credit item that was previously deleted. But this protection is waived when you file your dispute online. So the item can be deleted within the 3 days of your dispute and re-reported without you even knowing. This information is publically available, but rarely publicized. So when the credit bureaus state they provide an online dispute process for your convenience, it is for their benefit not the consumers.

 

 

 

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