If you're denied credit

If your application for credit is turned down, the potential lender must send you a letter that tells you why or instructs you how to contact them for more information about the reasons. They also have to give the name and contact information for the credit reporting agency that provided them with your report. If your application is turned down because of your credit report, you're entitled to a free copy if you request one. You have 60 days from the time you learn that you were turned down to request a free report.

Being denied credit is frustrating, and you might be embarrassed as well as inconvenienced. But studies have shown that as many as a third of all credit reports have errors, so it's worth checking yours to make sure all the information is accurate.

Correcting mistakes

If you do find a mistake, report it to the credit bureau immediately. They're required to investigate all complaints and correct your report if there is an error. If they don't agree that there's an error, you have the right to submit a brief statement that explains your position. The company must include your comment when it sends out future reports.

If you discover and report an error, follow up to see that it has been corrected. And if you submit a comment, check to be sure it is included.