What to do when a deleted item is Re-Inserted

Consumers who have successfully removed negative items from their credit files must continue to monitor their credit reports in case the creditor re-inserts the negative item.

Credit repair is only the beginning step in obtaining good credit scores. Once you have taken steps to repair your credit you will keep a close watch on your credit report.

Creditors do not always respond to credit disputes within the 30 day time limit. Consumers may misinterpret a negative item being removed as a permanent resolution.

If a creditor responds to a credit dispute after the 30 day timeframe, the credit bureaus will re-insert the negative item. The only way to ensure a good credit report and great credit scores is to Monitor your FICO Score. Even though you may be successful in disputing and getting a negative credit item deleted, the negative item could be reinserted.

If a previously negative item is reinserted the Fair Credit Reporting Act (FCRA) requires the credit reporting agency to notify you no later than five (5) days after the date of reinsertion. This FCRA requirement is rarely practiced. Additionally, the creditor who reinserts the negative item also must certify the information is correct.

Two options when a negative Item is Re-Inserted

1. Request a new investigation and dispute re-insertion. A simple letter is sufficient:

“On (date) I discovered (negative credit item and account number) had been re-inserted into my credit file. You are required to notify me within five (5) days of re-inserting a previously deleted item. I did not receive any such notification. Please delete this item immediately.”

Simple and straight to the point works well. You do not have to quote the FCRA. Save that for later if you have to threaten to file a lawsuit.

2. File a lawsuit against the creditor for re-inserting the item under the Fair Reporting Credit Act (FRCA). It is unlikely a creditor, collection agency or furnisher of information will have the accurate documentation to support re-inserting the negative credit item, especially since the item had been previously deleted. The creditor will not likely take time to deal with a lawsuit just to re-insert information they probably cannot back-up anyway.

In the case of a negative item resurfacing after the FCRA’s reporting periods have expired, you have the leverage for the credit reporting agencies to delete the negative information immediately. Notify the credit reporting agencies that the reporting period has expired and they will remove the negative tradeline.