When the FCRA was revised by FACTA, they put in a section for "Expedited Dispute Resolution" Section 611a(8) ... otherwise known as the on-line dispute system.
If you read that part you will notice this sentence:
"the agency shall not be required to comply with paragraphs (2), (6), and (7) with respect to that dispute" if they delete the tradeline within 3 days."
- Paragraph 2 is the part that requires the CRA to forward your dispute and all related documentation you provide to the creditor.
- Paragraph 6 is the part that requires the CRA to provide you with written results of the investigation.
- Paragraph 7 is the part that requires the CRA to provide you with the method of verification on request from the consumer.
CRA stand for Credit Reporting Agency ... TransUnion, Equifax, and Experian.
The law isn't specific enough to say permanently delete or suppress ... herein lies the problem.
The CRA can "soft delete" it for 30 days and then the tradeline can reappear when the furnisher reports it again in the next 30 day cycle.
This is due to the fact that the CRA's aren't required to tell the creditor you disputed it at all.
This leaves a system in place where the consumer thinks they are getting a delete, but it is only temporary.
Since the creditor doesn't know it was deleted, they will re-report it and the CRA will put it back on your report.
Furthermore, you lose the hard-copy of the investigation results you would otherwise get if the dispute was done by mail by a reputable credit repair company.