Can a creditor or collection agency report a debt to the credit bureau even if I dispute it?

Yes, a creditor or collection agency can report a debt to a credit bureau even while the debt is disputed. Equifax and TransUnion are private companies, and creditors who subscribe to their services are generally allowed to report accurate account information, including that an account has gone to collections. Disputing the debt with the collector does not automatically put the credit bureau report on hold.

However, if information reported to a credit bureau is inaccurate — wrong balance, wrong identity, an already-paid account listed as unpaid — you have the right to dispute it directly with the credit bureau. Both Equifax and TransUnion have dispute processes that require them to investigate and correct or delete inaccurate information.

Federal privacy legislation (PIPEDA) also applies. Creditors must report accurate information and cannot knowingly report false data. If a creditor refuses to correct demonstrably wrong information, you can escalate a complaint to the Office of the Privacy Commissioner of Canada.

Generally, a collection entry remains on your credit report for up to six years from the date of first delinquency, regardless of whether the account is eventually paid. Paying a collection does not immediately remove the entry, though it will update the status. A lawyer can advise whether legal steps are available if you believe an entry is inaccurate and the bureau fails to correct it.