What is a credit error? 
The law defines a billing error as any charge: 
 
• for something you didn't buy or for a purchase made by someone not authorized to use your account;
• for something that is not properly identified on your bill or is for an amount different from the actual purchase price or was entered on a date different from the purchase date; 
• for something that you did not accept on delivery or that was not delivered according to agreement. 
 
Billing errors also include: 
 
• errors in arithmetic;
• failure to show a payment or other credit to your account;
• failure to mail the bill to your current address, if you told the creditor about an address change at least 20 days before the end of the billing period;
• questionable items, or any item for which you need more information.
 
Once you have written about a possible error, a creditor must not give out information to other creditors or credit bureaus that would hurt your credit reputation until the matter is resolved. And, until your complaint is answered, the creditor also may not take any action to collect the disputed amount.

The law is on your side if information on your credit report is proven to be false but is not removed, according to the Fair Credit Reporting Act. Under the law, you are entitled to actual damages, plus punitive damages that the court may allow if the violation is proved to have been intentional. In any successful lawsuit, you will also be awarded court costs and attorney's fees.

If you feel that a credit bureau has not responded promptly and fairly to your situation, contact the attorney general of your state or the Federal Trade Commission in Washington at 202-FTC-HELP.

You may also sue any credit-reporting agency or creditor for breaking the rules about who may see your credit records or for not correcting errors in your file.

A person who obtains a credit report without proper authorization -- or an employee of a credit reporting agency who gives a credit report to unauthorized persons -- may be fined up to $5,000 or imprisoned for one year, or both. A lot of people can see that report -- including everyone to whom you have applied for a loan or credit. So be careful when applying for credit.

When the companies you apply to check your report, they can find out who else has been checking your report and determine what, when and how you have been applying for credit. That means if you have been getting turned down and are desperately applying for credit all over town, your potential creditors will know.

Contribution Source: Bankrate.com

Credit errors and innaccuracies can seriously reduce your credit score. There are laws that aid consumers in their pursuit of credit repair. CreditLawGroup.com can facilitate the process for you in what is an often frustrating and drawn-out process. Click on the link to find out how CreditLawGroup.com can help. http://creditlawgroup.com