Credit Repair: How to Fix Errors and Rebuild Your Credit

What credit repair really is

Your credit score is calculated from the data in your credit reports at Equifax, Experian and TransUnion. If that data is wrong, your score can be wrong too. Credit repair is the process of finding those errors and getting them corrected or deleted.

The CFPB is blunt about the limits. A credit repair company cannot legally remove accurate information, and it cannot guarantee your score will go up. What paid firms mostly do is send dispute letters on your behalf, relying on the rule that disputed items must be investigated. Accurate items that are verified stay on your report. Bureaus can also reject disputes they consider “frivolous,” such as mass-produced form letters.

So the real question is not “which company can fix my credit?” It is “what on my reports is actually wrong, and what can I change going forward?”

Step 1: Get all three reports

Each bureau now offers a free credit report every week at AnnualCreditReport.com, a policy the three bureaus made permanent in September 2023. You can also call 1-877-322-8228. Reports do not include scores, but they show every account, balance, payment record, inquiry and collection that scores are built from. Pull all three, because lenders do not report to every bureau.

Look for accounts you don’t recognize, late payments you made on time, wrong balances or credit limits, debts listed twice, closed accounts shown as open, and items older than the reporting limits below.

Step 2: Dispute errors yourself

The CFPB recommends disputing in writing with each bureau that shows the error. Explain what is wrong and why, ask for it to be corrected or removed, and include copies (never originals) of proof such as statements or payment confirmations. Sending the letter by certified mail with a return receipt gives you a record. The CFPB publishes free sample letters.

• Investigation: Federal law requires the bureau to investigate free of charge, generally within 30 days, forward your dispute to the company that supplied the data (the “furnisher”) and send you the results in writing.
• Outcome: If the item is inaccurate or can’t be verified, it must be fixed or deleted. If the bureau rejects a dispute as frivolous, it must tell you why within five business days of deciding.
• If it stays: You can also dispute directly with the furnisher, and you can add a short statement of dispute to your file that future lenders will see.

If an account was opened in your name by someone else, report it at IdentityTheft.gov. If a bureau or furnisher won’t fix a clear error, you can file a complaint with the CFPB online or at (855) 411-2372.

How long negative items last

Source: Experian; WalletHub summary of Fair Credit Reporting Act limits. Checked October 2026.

Medical debt has its own rules. A federal court struck down the CFPB’s medical-debt reporting rule in July 2025, but the three bureaus’ voluntary policies still apply: paid medical collections are removed and medical collections under $500 are not reported.

Step 3: Rebuild what disputes can’t fix

Under FICO’s model, payment history makes up 35% of your score and amounts owed another 30%. That is where accurate negative history gets outweighed over time:

• Pay every account on time from now on; automatic minimum payments prevent new late marks.
• Pay down revolving balances so you use a smaller share of your limits.
• If you have little or damaged credit, a secured credit card or a credit builder loan adds positive payment history.
• Avoid applying for several new accounts at once.

Our guide to how credit scores work explains each factor in detail.

If you’re considering a paid company

Paid credit repair is legal, but you are paying for letters you can write yourself. Published prices run roughly $50 to $140 a month, plus setup or “first work” fees, and many plans run for months. The CFPB returned $1.8 billion in December 2024 to 4.3 million people charged illegal advance fees by Lexington Law and CreditRepair.com.

Under federal law, a credit repair company must give you a written contract listing the total cost, the services and how long they’ll take, and you can cancel without penalty within three business days. The FTC says to walk away from anyone who:

• wants payment before doing any work;
• tells you not to contact the bureaus yourself or to dispute accurate information;
• suggests a “new credit identity” or filing a false identity theft report, which is a crime.

We compare published prices and guarantees in our credit repair companies guide.

Free help

If debt itself is the problem, a nonprofit credit counselor (look for agencies accredited by the National Foundation for Credit Counseling or the Financial Counseling Association of America) can review your budget and reports, usually free or at low cost. The CFPB’s website has dispute templates and a complaint portal at no charge.

Guides in this section

Frequently asked questions

Sources

• CFPB – How do I dispute an error on my credit report?
• CFPB – Credit counseling vs. debt settlement, consolidation or credit repair
• CFPB – How do I get a free copy of my credit reports?
• govinfo.gov – 15 U.S.C. 1679b, Credit Repair Organizations Act prohibited practices
• govinfo.gov – 15 U.S.C. 1679d, Credit repair organization contracts
• FTC – Looking to fix your credit? An illegal credit repair scam isn't the answer
• Texas State Law Library – Disputing credit errors
• Experian – When does bankruptcy fall off my credit report?
• WalletHub – How long does something stay on your credit report?
• myFICO – What's in my FICO Scores?
• Checkbook – Federal judge kills CFPB rule that banned medical debt in credit reports
• CUInsight – CFPB returns $1.8 billion to 4.3 million Americans harmed in credit repair scheme

Rates, fees and terms change often. Figures were checked in October 2026; confirm current details with the provider before you apply.