What impact do (our) disputes have upon credit files... i.e.- Are all my past disputes with the CB's sitting in a file ... helping the CA's form +/- financial opinions of me???
I found as I was disputing and having old accounts re-verified and/or updated, my scores dropped considerably even though other derog accounts were getting cleaned and/or deleted. Often accounts get re-aged in the score model when they are "verfied" during an investigation. It was only after I got the very last derog account removed that my scores took a big leap up. Also, I have some paid/closed accounts in perfect standing the show "in dispute" in the remarks. It doesn't affect my scores at all, but if someone were to take a close look at my credit file, it may raise a few eyebrows.
Is this true? Anyone else want to comment? I didn't know that by disputing something and having it come back verified it "reages" the account according to the Fico scoring model. So it almost doesn't make sense to dispute an old negative tradeline? This is the first time I heard this and I'm interested in hearing other's opinions. Thanks! Luke
I strongly believe they do keep copies of your disputes. I have heard the EVIL EXP scans your disputes letters. As far as giving this information to CA's to form +/- financial opinions, I don't think they do that, unless you disputed something specifically with the CA. Which, they could only give that particular CA information in a dispute that was directly related to them.
I'm under the assumption that if the credit file being pulled is manually reviewed, the creditor would prefer to see as few collection accounts, etc. on the credit file. Even though they may reage and lower your score, if the file is reviewed manually maybe you will still be better off. However, if you are using a creditor with a score driven automated approval system, it would probably be another story.
