Your Credit Report - The Basis of Your Score
Credit reporting agencies maintain files
on millions of borrowers. Lenders making
credit decisions buy credit reports on their prospects,
applicants and customers from the credit reporting
agencies.
Your report details your credit history as it has been
reported to the credit reporting agency by lenders who
have extended credit to you. Your credit report lists
what types of credit you use, the length of time your
accounts have been open, and whether you’ve paid your
bills on time. It tells lenders how much credit you’ve
used and whether you’re seeking new sources of credit.
It gives lenders a broader view of your credit history
than do other data sources, such as a bank’s own
customer data.
Your credit report reveals many aspects of your
borrowing activities. All pieces of information should
be considered in relationship to other pieces of
information. The ability to quickly, fairly and
consistently consider all this information is what
makes credit scoring so useful.
CHECK YOUR CREDIT REPORT
You should review your credit report from each credit
reporting agency at least once a year and especially
before making a large purchase, like a house or car.
To request a copy, contact the credit reporting
agencies directly:
- Equifax: (800) 685-1111, www.equifax.com
- Experian (formerly TRW): (888) 397-3742,
www.experian.com
- TransUnion: (800) 888-4213, www.transunion.com
If you find an error, the credit reporting agency must
investigate and respond to you within 30 days. If you
are in the process of applying for a loan, immediately
notify your lender of any incorrect information in
your report.
|