Opinions on dispute method - mail or online?

[mere2368]

I typed out a letter to each CRA outlining my disputes.  I know there is an option to dispute on-line and upload documentation.  Originally I was going to send it via priority mail, but I am now wondering if I should do it online and just upload the letter, that way I can track it and get the results sooner?  Any thoughts, suggestions, opinions?  Thanks!

[RobertEG]

In my opinion, the issue is more one of how the CRA handles your information after it is received than whether you should transmit your documentation by snali mail or upload.

A major problem with the CRA handling of disputes has, for decades, been their lack of forwarding of all your supporting documenttion to the furnisher.

They have chosen to make their own determination of what is or is not relevant, and usually transmit nothing other than their standard e-Oscar data form.

Thus, regardless of whether you transmit info to them in wrting or electronically, there is no assurance that they will forward it all to the furnisher for their consideration.

The CFPB advised the CRAs about 2 years ago that they would be looking seriously at the CRA policy of not sending all information to the furnisher.  Hopefully, the CRAs are now doing a better job, but they certainly are not sending any supporting arguments you also include.

My suggestion is consider using the direct dispute process, and bypassing the CRA entirely.

If you send the dispute directly to the furnisher of the information, be they a creditor or debt collector, you automatically ensure that ALL of your supporting documentation and arguments get into their hands and thus are considered in their investigation.  When they get info via e-Oscar, the consumer has not such assurance.

[mere2368]

Thank you Robert!  Does the CRA even look at the supporting documentation?  Like if I uploaded the letter, would they even read it or does it just get passed through some computer system?

[RobertEG]

For decades, the clerk at the CRA would simply fill out a Universal Data Form (UDF), which would provide a code number describing the type of dispute, and a small block where the clerk could additionally enter additonal info up to 25 words.  They rarely if ever attached your supporting documenttion.

The UDF would then be transmitted electronically to the furnisher, who would upon completion of their investigation, almost always without the supporting documentation, simply check a box indicating their outcome, and send back to the CRA.

The CFPB notified the CRAs in a public news release approx two years ago that they expected the CRAs to forward all supporting documenttion, and would be taking steps to assess their compliance.  I have seen no formal follow-up report from the CFPB, and dont know the extent to which they have reformed.

I certainly, however, would not expect them to also be forwarding your arguments and comments.

The implemntation of the direct dispute plocess back in 2011 was intended to correct that deficiency by enabling consumers to send their dispute directly to the furnisher.

Thus, by both legislation and CFPB compliance instructions, the CRAs have been under scrutiny for their referral process.

[mere2368]

Ok!  Thank you again for the information.  I am going to take the direct dispute route.  I really appreciate your time and explanation of this to me!

[Anonymous]

I have heard the most luck disputing things online than through the snail mail. What kind of information are you disputing? Again depending on what you are disputing ymmv.

[redbeard]

The advantage of letter vs online is you can dispute more types of things.  In many cases, it can be hard to find the right dispute type in the drop down box they give you.  Problem is, you can be pretty much assured, when you send in a paper dispute, someone takes the letter, goes online and processes it for you.  By doing it yourself, you eliminate someone filling out the online form on your behalf.

I read somewhere once that mailing in the letter preserved some legal rights that you waive when you do the online dispute, but I'm not clear on what that was really all about.  Might be worth checking into.  I think it had mostly to do with arbitration.  The article was written by a credit repair agency, so I assumed it was pretty biased.

Face it, the reality is, most people file disputes with the CRA hoping there is no response from the creditor which will in turn cause a deletion.  Still happens, but computers are much better at this game nowadays.  Because of this, the direct dispute is usually better, you are usually appealing more to a sense of fairness or a second chance.  

I don't think how you file the complaint with the CRA will alter the outcome much.  I'm willing to be told I'm wrong, but I doubt I am.  

Dan