Your credit report plays a crucial role in your financial life, influencing whether you’re approved for a home loan, car finance, or even a mobile phone plan. It outlines your credit history, including your repayment behavior, defaults, inquiries, and more. Therefore, ensuring the information it contains is accurate is essential.

Unfortunately, errors on credit reports do happen, whether from simple clerical mistakes, misreported information, or identity theft. These errors can lower your credit score and affect your financial opportunities. That’s why it's vital to understand how to check for errors and correct them efficiently.

What Is a Credit Report and Why Accuracy Matters

A credit report is a detailed record of your credit history compiled by credit reporting agencies (CRAs). In Australia, the three major CRAs are:

• Equifax

• Experian

• illion

These agencies collect financial data from banks, lenders, and utility companies. The report includes:

• Personal information (name, address, date of birth)

• Credit accounts (loans, credit cards)

• Repayment history

• Defaults and overdue payments

• Bankruptcy and court judgments

• Credit inquiries from lenders

Inaccurate entries in any of these sections can reduce your credit score, causing lenders to see you as a higher-risk borrower—even when the information is wrong.

Common Errors Found on Credit Reports

Understanding what to look for is the first step in correcting credit report errors. Some of the most common mistakes include:

1. Incorrect Personal Details

• Spelling errors in your name

• Wrong birthdate

• Old or incorrect addresses

2. Incorrect Account Information

• Outdated repayment statuses

• Incorrect account balances or limits

• Closed accounts reported as open

3. Duplicate Listings

• The same loan or credit card showing up twice

4. Accounts You Don't Recognize

• Accounts that don’t belong to you may be the result of clerical errors or even identity theft.

5. Outdated Negative Listings

• Defaults or bankruptcies that should have been removed after the statutory retention period (usually 2–7 years)

These mistakes can significantly impact your ability to secure credit, rent a property, or even pass a background check for employment.

How to Get a Free Credit Report in Australia

Every Australian is entitled to one free credit report per year from each credit reporting agency. You can request your report from:

• Equifax: www.equifax.com.au

• Experian: www.experian.com.au

• illion: www.illion.com.au

You should request reports from all three, as each agency may hold different information. Once you receive them, go through the reports carefully, comparing them with your financial records.

Steps to Correct Errors on Your Credit Report

Fixing a credit report error in Australia is a straightforward process but requires attention to detail. Below is a step-by-step guide.

Step 1: Identify the Error

When reviewing your report, take note of:

• The incorrect entry

• The name of the credit provider

• The type of error (duplicate, outdated, wrong balance, etc.)

• Any documents that support your claim (e.g., statements, receipts)

Document everything clearly so you can reference it later when filing a dispute.

Step 2: Contact the Credit Provider

Before going to the credit reporting agency, it's often most effective to first contact the credit provider (e.g., your bank or lender).

What to Include in Your Complaint:

• Your full name and contact information

• A clear explanation of the error

• Supporting evidence (PDF statements, emails, etc.)

• A request for correction and written confirmation

Credit providers in Australia are legally required to respond within 30 days under the Privacy Act 1988. Most lenders take these claims seriously, especially when well-documented.

Step 3: File a Dispute with the Credit Reporting Agency

If the credit provider refuses to correct the information, or you want to file the complaint directly, contact the relevant credit reporting agency. Each has a formal dispute process:

• Equifax: Dispute Form

• Experian: Dispute Resolution

• illion: Credit Fix Request

Provide the Following:

• A copy of your credit report with the error highlighted

• Supporting documents

• A cover letter explaining the issue

• Contact details and identification documents

The agency is legally obligated to investigate and resolve your dispute within 30 days. If the error is confirmed, they must correct it and notify any party that has accessed your report in the last 90 days.

What Happens During the Investigation?

During the 30-day investigation period:

• The credit agency contacts the credit provider for clarification.

• If the information is found to be incorrect, it will be corrected or removed.

• You will receive an update from the agency confirming the outcome.

• If the information is verified as correct and remains, you’ll be given a chance to include a 120-word statement on your credit report to explain your side of the story.

What If Your Dispute Isn’t Resolved?

If the issue remains unresolved or you’re dissatisfied with the result, you can escalate the matter.

Australian Financial Complaints Authority (AFCA)

If the issue involves a bank, lender, or financial institution, you can file a complaint with AFCA:

• Website: www.afca.org.au

• Phone: 1800 931 678

• Email: info@afca.org.au

Office of the Australian Information Commissioner (OAIC)

If your complaint is about how your personal information is handled, contact the OAIC:

• Website: www.oaic.gov.au

• Phone: 1300 363 992

These bodies provide free, independent dispute resolution and can order financial institutions or credit agencies to correct incorrect information.

Your Rights Under Australian Law

Under the Privacy Act 1988, you have the right to:

• Access your credit report

• Request corrections of inaccurate, incomplete, or outdated information

• Dispute any incorrect entries

• Receive written confirmation when a correction has been made

Credit providers must also:

• Respond to your complaint within 30 days

• Notify you of the outcome in writing

• Inform you of your right to escalate to an external dispute resolution scheme

Pro Tips for Protecting and Monitoring Your Credit

Taking proactive steps can help you prevent future issues and maintain a healthy credit profile.

1. Set Calendar Reminders to Request Annual Reports

Schedule an annual reminder to get your free reports from Equifax, Experian, and illion.

2. Use a Credit Monitoring Service

Consider using paid services that alert you in real-time when changes happen to your report.

3. Notify Providers of Personal Information Changes

Make sure your credit providers have up-to-date contact information.

4. Shred Personal Documents

Always destroy bank statements and personal documents before disposal to reduce the risk of identity theft.

5. Watch for Warning Signs of Identity Theft

Unfamiliar accounts, rejected credit applications, or unusual contact from debt collectors may indicate someone else is using your information.

What Not to Do When Correcting Credit Report Errors

❌ Don’t Ignore It

Even small errors can snowball into larger financial problems. Take the time to fix them.

❌ Don’t Pay for “Guaranteed” Credit Repair

Be wary of services that charge upfront fees or claim they can “remove negative but accurate” listings. No one can legally remove correct information from your report before the allowed time.

❌ Don’t Submit Incomplete Disputes

Credit reporting agencies can reject your dispute if you don’t provide sufficient information. Always include clear documentation and contact details.