What Is the 502 Letter for TransUnion?

The 502 letter from TransUnion is a formal notice that the credit bureau has flagged a dispute or possible error on your file and is asking you to provide additional information before it can finalize a decision. It may mean your report is under review, that an item could be removed, or that a correction could be pending.

For example, after you dispute a late‑payment, the 502 letter may request a copy of your payment history or a letter from the lender; if you reported identity‑theft, it could ask for a police report or fraud affidavit; if a creditor sent a corrected balance, the letter may simply confirm the update will be posted within 30 days. In every scenario the letter signals that TransUnion will act on the documents you supply, which could change the item's status and potentially improve your credit score.

The next section, 'Read your 502 letter line by line,' shows exactly how to interpret each request.

You receive a 502 letter from TransUnion when the agency flags a dispute that didn't meet its verification standards.

• You may have filed a dispute missing a required document, so TransUnion could not validate the claim.
• You may have cited contradictory information reported by the creditor, prompting TransUnion to request clarification.
• You may have attached a fraud or identity‑theft alert, which can trigger a 502 notice to protect your file.
• You may have tried to dispute an item that is already settled or removed, leading TransUnion to issue a 502 for a nonexistent record.
• You may have used a third‑party service that submitted the dispute without proper authorization, causing TransUnion to send a 502 letter.

Read each section of the 502 letter to see exactly what TransUnion is flagging. The top line usually shows your name, address, and account number; the next paragraph lists a reason code (for example, 'late payment' or 'inquiry') along with the date the item was reported. Below that, the letter states the dispute deadline - typically 30 days from receipt - and provides contact information for the bureau or creditor you must reach out to.

When you encounter a reason code, compare the date and description with your own records; if something looks wrong, mark that line and note the specific error. For every item you intend to challenge, follow the instruction in the letter - usually a short mail‑back form or an online portal link - within the stated dispute deadline. Keep a copy of the completed pages and the original 502 letter for your files, as you may need them later when you move on to the next section about taking immediate steps.

After you mail your 502 letter to TransUnion, focus on monitoring the bureau's investigation and preparing any needed follow‑up.

1. Keep the signed copy and proof of delivery (certified mail receipt, tracking number). You may need these if TransUnion later claims they never saw your request.
2. Mark a calendar for 30 days from the mailing date. The Fair Credit Reporting Act requires TransUnion to investigate within that window (Fair Credit Reporting Act guidelines).
3. When the 30‑day period ends, obtain the updated credit report or the written results. Review each item the bureau says it verified, corrected, or removed.
4. If you receive no response, an incomplete answer, or a decision you disagree with, send a follow‑up letter. Cite FCRA § 502, request a 'timed dispute,' and set a new 30‑day deadline.
5. Store all correspondence, dates, and notes in a dedicated folder. This documentation will support any future complaint to the CFPB or legal action.
6. Based on the investigation outcome, move on to the next step: disputing any incorrect items highlighted in the 502 letter's results.

The fastest path to contesting wrong entries cited in a 502 letter is to submit a focused dispute to TransUnion.

• Read the 502 letter line by line, note every item you believe is inaccurate.
• Collect supporting proof (bank statements, payment receipts, identity documents).
• File the dispute online or by certified mail, attach a copy of the 502 letter and the evidence.
• State clearly that the item 'may be incorrect' and ask TransUnion to verify it under the Fair Credit Reporting Act.
• Keep a copy of the submission and the tracking number; TransUnion 'could' respond within 30 days.
• Review the investigation results; if the item remains, consider escalating to the CFPB or a consumer attorney.

A 502 letter from TransUnion may alter how a disputed entry appears on your credit report, which could raise or lower your credit score.

• If TransUnion removes the item, the negative factor disappears and your score may improve.
• If the item stays and is marked 'in dispute,' some scoring models could treat it as a risk factor, potentially lowering your score slightly.
• The letter itself does not change the score; only the post‑investigation data does.
• A denial may prompt you to file a second dispute or contact the CFPB, which could delay any score impact.
• Corrected information stays on the report for up to seven years, so a successful 502 outcome can protect your score long‑term.

Because the score effect depends on TransUnion's final decision, follow the next steps in 'dispute incorrect items referenced in a 502 letter' to ensure any inaccuracies are removed promptly. For more on your rights, see the Fair Credit Reporting Act guidelines.

• You receive a 502 letter after a lender reports a disputed medical debt; TransUnion may have flagged the account, you could verify the provider, and after you submit proof the entry may be removed.
• You get a 502 letter because a credit‑card company sent a late‑payment notice that you never saw; TransUnion could have missed the notice, you may request the original statement, and the late mark may be corrected.
• You see a 502 letter tied to a rental‑pool report; the property manager may have entered the tenancy incorrectly, you could supply a lease, and TransUnion may update the record.
• You are sent a 502 letter after a small‑business loan is listed as a charge‑off; the creditor may have used an outdated account number, you may provide the loan agreement, and TransUnion could adjust the status.
• You get a 502 letter when an old collection appears after a bankruptcy; the collector may have ignored the discharge, you could file the bankruptcy docket, and TransUnion may delete the collection.

When a 502 letter points to identity theft or fraud, TransUnion is telling you that a disputed entry could be the result of someone misuse of your personal information.

You may need to :

• place a fraud alert on your TransUnion file, which could prompt lenders to verify your identity before opening new accounts,
• request a free identity‑theft report from the Federal Trade Commission's recovery portal,
• file a police report and keep the case number handy for future disputes,
• contact TransUnion's fraud department to confirm the suspicious item and ask for a copy of the underlying documentation,
• review all recent credit activity and flag any unfamiliar accounts for removal.

After you've secured the alert and gathered documentation, continue monitoring your credit reports regularly; the next section explains when you should involve the CFPB if the dispute remains unresolved.

If TransUnion fails to correct the disputed item within 30 days of your 502 letter, or if their response contains new errors, you may want to file a complaint with the CFPB; the agency can pressure the bureau to investigate and may help you obtain documentation of the mishandling. (See the 'immediate steps you must take after a 502 letter' section for the deadline details.)

If the dispute is still pending but TransUnion has provided a clear timeline, has acknowledged the error, or you can resolve the issue through their online portal, you could continue working directly with the credit‑reporting agency and hold off on involving the CFPB; escalation may be unnecessary until the bureau's internal process stalls. (The next section, 'when to hire a lawyer over a 502 issue,' explains when legal help becomes worthwhile.)File a CFPB complaint about a credit‑report dispute

FICO Score 2 can dip from an authorized user only when that user's activity alters the primary account's payment history or amounts owed. Adding a user does not create a new hard inquiry, nor does it change the account's credit‑age or mix; the primary's score reflects the existing account's performance alone.

If the authorized user racks up a high balance and the primary misses a payment, the missed payment tags the primary's payment history and the higher utilization inflates the amounts owed factor, both pulling the Experian FICO Score 2 down. Removing the user, however, leaves the primary's record untouched, because no new credit line is created and no hard pull occurs. This indirect effect explains why some borrowers see an unexpected score drop after adding an authorized user, linking directly to the five factors discussed earlier.

You can stop new 502 letters from arriving by keeping your TransUnion file clean and reacting fast to any changes.

1. Review your credit report quarterly on the TransUnion online portal. Spotting unfamiliar accounts early may give you time to dispute before a 502 letter is generated.
2. Set up automatic alerts for hard inquiries, new tradelines, or status changes. Notifications could catch errors the moment they appear.
3. Resolve disputes within the 30‑day window outlined in the original 502 letter. Prompt, documented replies may prevent TransUnion from escalating the issue.
4. Freeze or lock your credit when you're not actively applying for new products. A freeze could block unauthorized entries that might trigger a 502 letter.
5. Use strong, unique passwords for all financial sites and enable two‑factor authentication. Reducing the chance of fraud may lower the likelihood of future 502 correspondence.
6. Keep copies of all creditor communications, payment receipts, and dispute confirmations in a single folder. Organized records make it easier to prove accuracy if TransUnion raises a question again.
7. Contact your creditors directly whenever you notice a discrepancy before TransUnion contacts you. Early correction may stop the issue at the source.
8. Periodically update your personal information (address, phone number) with each lender. Accurate data could reduce mismatches that sometimes lead to a 502 letter.
9. If you suspect identity theft, file a fraud alert with TransUnion immediately. An alert may halt further erroneous reporting that could generate another 502 letter.
10. Consider enrolling in a reputable credit‑monitoring service that flags potential errors. Professional monitoring could catch problems you might miss on your own.