Your credit score is one of the most important numbers influencing your financial well-being. Whether you’re applying for a loan, securing a credit card, or even renting an apartment, lenders and businesses use your credit score to decide if you are likely to pay them back or not. Understanding your credit score and knowing how to dispute errors can help you maintain a healthy financial profile.

Understanding Your Credit Score

Credit scores typically range from 300 to 850 and are based on factors such as payment history, credit utilization, length of credit history, types of credit, and new credit inquiries. Here’s how to break down the scoring system:

• Excellent (800-850): You have a strong credit history with responsible credit use. You’re likely to receive the best loan terms and interest rates.
• Very Good (740-799): You have a solid credit record with minimal negative marks.
• Good (670-739): This is an average score range that qualifies for most loans, though interest rates may be higher.
• Fair (580-669): Lenders may view you as a higher risk, leading to more restrictive loan terms.
• Poor (300-579): A low score may make it difficult to obtain credit or result in higher costs.

How to Spot Errors on Your Credit Report

Errors in your credit report can happen due to clerical mistakes, identity theft, or outdated information. Common errors include:

• Incorrect personal information (misspelled names, wrong addresses)
• Accounts that don’t belong to you (a sign of identity theft or misreported accounts)
• Duplicate accounts (same account appearing multiple times)
• Incorrect payment history (on-time payments marked as late)
• Old debts still listed (negative items that should have expired)

To check your credit report, request a free copy from the three major credit bureaus—Equifax, Experian, and TransUnion. You can also request your credit report for free once a year by going to annualcreditreport.com. 

How to Dispute Credit Report Errors

If you find an error, follow these steps to dispute it:

1. Collect any records (bank statements, payment confirmations, loan agreements) that support your claim. If you are signed up for eStatements at Waypoint Bank, your statements can conveniently be found in your online and mobile banking profiles. 
2. Submit a dispute online, by phone, or by mail to the appropriate credit bureau. Clearly explain the error and attach evidence.
3. If the mistake originated from a lender or credit card company, notify them directly and ask for a correction.
4. The credit bureau has 30 days to investigate and respond. If the error is confirmed, they will update your report.
5. Check your credit reports regularly to ensure corrections are made and no new errors appear.

How Waypoint Bank Can Help

At Waypoint Bank, we believe in empowering our customers with financial knowledge. If you need help understanding your credit score or disputing errors, our team is here to guide you through the process. Stay proactive about your credit by setting up alerts, keeping your balances low, and making timely payments. A well-maintained credit score opens doors to better financial opportunities! Contact us today to learn more about how we can support your financial success!