Experts say that about 70% of the credit reports have errors. This means that there are 7 chances that your report is wrong. This can help you if you have a bad credit report and you need to change that. So when you get turned down by someone at the bank because of a bad credit report then you can consider the fact that they messed up your credit report as well and you can contest it.
There are a lot of errors that may appear due to this fact.
A few years back the consumers were not at all allowed to see their credit reports. This is why they could not deal with the problem in time. They were only rejected by the fact that their scores were too low but they could not do anything about that.
But now that people have access to their reports they can easily react. One person can get a free credit report from the credit bureau, once a year. They can then tell if the scores are too low and they can take actions. They have to check for errors in the report like typo errors and calculation errors.
In some cases the identity theft creates problems. You may find out that the low credit report does not belong to you. in that case you have to report the stolen identity and take actions. They have to investigate this and then take matter further.
You have to write a statement and explain your own side of that story. This statement will have to be verified by the authority in question.
In some cases you have to pay for the extra verifications that take place when the authority will check your statement. All in all there are a lot of errors in the credit reports and you have to clarify matters.