Why should I look at my Credit Report ?
Information about you and your credit experiences, such as your bill-paying history, the number and type of accounts you have, late payments, collection actions, outstanding debt, and the age of your accounts, is collected from your credit application and your credit report. Using a statistical program, creditors compare this information to the credit performance of consumers with similar profiles. A credit scoring system awards points for each factor that helps predict who is most likely to repay a debt. A total number of points -- a credit score -- helps predict how creditworthy you are, that is, how likely it is that you will repay a loan and make the payments when due.
Curious what your overall credit score is? While credit scoring has been shrouded in mystery for many years, there are now several Web sites that help consumers determine their credit rating or score. Each analysis is unique. The most popular credit scoring model among lenders is computed by Fair, Isaac & Co. and is commonly referred to as a FICO score. As of March 2001, consumers can obtain their FICO credit score instantly. This is an historic development brought about by recent legislation and we encourage all consumers to take advantage of this offer!
Because your credit report is an important part of many credit scoring systems, it is very important to make sure it's accurate before you submit a credit application. Get a Copy of your Credit Report.
With your "Credit Report", you can :
Adding Accounts to Your File
Your credit file may not reflect all your credit accounts. Although most national department store and all-purpose bank credit card accounts will be included in your file, not all creditors supply information to CRAs: Some travel, entertainment, gasoline card companies, local retailers, and credit unions are among those creditors that don't.
If you've been told that you were denied credit because of an "insufficient credit file" or "no credit file" and you have accounts with creditors that don't appear in your credit file, ask the CRA to add this information to future reports. Although they are not required to do so, many CRAs will add verifiable accounts for a fee. However, understand that if these creditors do not report to the CRA on a regular basis, the added items will not be updated in your file.
You can also obtain a free online copy of your credit report from by visiting Free Credit Report. This offer includes a free credit monitoring service for thirty days and is open to all U.S. consumers. You can cancel the credit monitoring service at anytime without cost or obligation. If you choose to keep the service after thirty days, the cost is $79.95 annually.
It is a good idea to obtain a copy of your credit report from each of the three major bureaus, since each bureau is independent and each bureau may list different information. If you would like to obtain a copy of your credit report from all three credit bureaus, consider a convenient online 3-in-1 merged report. The cost is $34.95 (this cost includes free access to their credit advisory hotline, credit report key, and dispute forms!).
