Need some advice . . . Had a mortgage loan with Litton Loan that was paid in full and closed in 2008. Recently I noticed that they were reporting the status as Pays 31-60 days late. I disputed the status with EQ and they came back confirming the status and putting a 30-day late on my report for December 2010. I called Litton Loan and they had me fax a copy of the EQ Litton tradeline to their dispute resolution department, which I did. In two weeks they have not corrected the innaccurate reporting and today they added another 30 day late for February 2011. Litton will not give me any direct contact with their dispute resolution department, only a fax number. And anyone I speak to on the phone tells me that they do not have access to my credit report and there's nothing they can do. Any advice? My inclination is to file a lawsuit tomorrow to make them get off their butt and correct this. Before I do though, just want to make sure that there isn't something I should do prior to filing with small claims. (To date I've disputed with EQ and faxed a letter to Litton's dispute resolution department demanding that they remove the inaccurate reporting within 72 hours.) Thanks!
It's always helpful to give the CRAs / OCs / CAs a "reasonable" amount of time to work through your problem. This shows the courts that you gave them plenty of time to work through the issue, and makes it much harder for the CRA / OC / CA to claim a "bona fide error". I would send a certified letter to each, giving them 30 days from receipt to fix the problem. Maybe something similar to the following: "Dear ____, On __ / __ / __ I contacted you regarding an inaccuracy on my Experian credit report stemming from Litton Loan. The entry in question is listed below. Be advised that as this mortgage was paid in full in 2008, and as the balance currently shows zero, a delinquency of any sort is impossible. Please correct this entry on my credit report immediately. I am once again enclosing account statements which clearly document the paid status of this mortgage. I am hopeful that this can be resolved amicably, despite your refusal to resolve this matter previously. However, should you remain unwilling to correct your mistake, I will be forced to seek resolution through alternate means. ACCT #: __________ (insert any additional information from this entry on your credit report) Sincerely, ________" Enclose any documentation you have supporting your claim that the mortgage was paid off in 2008. If you don't get anywhere with this, and you have the time to do so, maybe send a second letter 45 days after the first. If they still don't resolve it within 30 days, it's time to file a lawsuit.
