What is a credit report?
Your credit history is kept track of by three major credit
reporting services. It is being used to provide information
to lenders, landlords, and even employers. This is why it
is so important to keep yours healthy.
The companies you borrow money from report your repayment
history to the credit reporting bureaus. This includes credit
cards, school loans, doctors, hospitals and more. They report
the good credit history, like paying things back on time,
and the bad as well, like late payments, defaults, judgments
and liens. Your report is usually your credit history for
7 to 10 years and follows you around wherever you go.
What is on it
Your credit report will have your name address and social
security number. It will also have previous addresses and
any other names you have used in the past. It will have your
credit history, who you owe, how much you owe and whether
you pay on time. Your report might also have any public information
and could include tax problems, arrests and convictions. Lastly
it will include a list of companies that have looked at your
credit report. Companies who offer you credit cards are a
good example, every time they check your credit it will show
up on your report.
Your credit report is extremely important to your financial
well being. If you use your credit wisely it will help you
in many ways including getting a rental, buying a house, a
car or even getting that job you want. If your credit history
isn't good it can really get in your way. In addition to this
there are frequently mistakes on your credit report. It is
important to check it regularly to watch for errors or identity
New laws make it easier to check your credit reports. The
three major reporting bureaus now have to give you copies
of your reports at least once a year, but you have to ask
for your them. Mistakes can be easy or difficult to fix but
it is important to repair them as soon as possible and not
let them sit on your record.
The credit reporting bureaus are;
The typical consumer credit report includes four types of
- Personal information: your name, current
and previous addresses, social security number, date of
birth, and current and previous employers. This information
is gathered from credit applications, so its accuracy depends
on filling out the forms completely and consistently each
time you apply for credit.
- Credit information: specific information
about accounts at banks, retailers, and lenders. The accounts
are listed by type, the date opened, the credit limit or
loan amount, outstanding balances, and the timeliness of
payments on the account.
- Public information: information gleaned
from public records, including bankruptcy filings, tax liens,
judgments, and possibly arrests or convictions.
- Inquiries: the names of those who obtained
a copy of your credit report for any reason. This information
comes from the credit-reporting agency, and it remains on
record for up to two years, consistent with federal law.
Your credit report can have a dramatic impact on your financial
stability. With good credit, you can obtain loans at a low
interest rate with ease. But if your credit history is poor,
your financial options may be limited. Either way, you have
a right to know what to expect when a lender runs a credit
check on you.
Credit reports may by law be provided only to those creditors,
insurers, landlords and employers who have a legitimate need
to see them.
Studies have shown that many credit reports contain inaccuracies
that can harm your credit rating, leading to rejections when
you apply for loans, insurance, even a job. Therefore it's
essential that you regularly check all of your credit reports
to protect your good credit standing.
You have the right to review your credit report and correct
How To Check Your Credit Report
To check your credit report, visit following sites: