Wednesday, December 23, 2009

Benefits of getting credit report!

If you want to begin to repair your credit, requesting a copy of your credit report is the first step. How you can obtain a copy of your credit history and the benefits of doing so are explained in this article.

The most common reason people request a copy of their credit history is to assist with repairing their credit. Credit reports list entries which include a person's financial history, such as identifying information, accounts, and payment history. The review of a credit history will tell a person if all of their information has been recorded accurately or if there is false or inaccurate information which may be affecting their credit score.

If a person discovers inaccurate information on his report, he can dispute this information by sending a letter to the reporting bureaus requesting a revision or deletion of the information. If, within 30 days, the bureau cannot obtain verification of the disputed information, the bureau must remove the entry from your report. This will increase your credit score.

Credit reports are also helpful for finance and budgeting purposes. Obtaining your report allows you to view your status in one neat, concise report. A report can allow you to determine if you should work to consolidate your debt or assist with prioritization of payments.

Reviewing your history can also help protect you against identity theft by allowing you to compare all recent credit activity with your recollection of your personal credit transactions. Identity theft is a serious threat to a person's financial situation as well as their credit worthiness.

There are several ways to request a copy of your credit history. You can obtain a copy of your report from one of the many internet businesses which offer this service. Additionally, you can obtain a copy for free from the three major reporting agencies, Experian, Equifax, and TransUnion. These three major credit reporting agencies are legally obligated to provide you with a free copy of your report once every twelve months. You may obtain your free copy of your report by calling Annual Credit Report at (877) 322-8228.

It is wise to obtain a copy of your credit report. Request yours today and when it arrives, sit down and review it for any inaccuracies, so you can begin to rebuild your credit.

Tuesday, December 15, 2009

Make your credit report simple!

It is a wise decision to get a credit report from a credit reporting agency. Once you have your report, you must know how to read it. This will help you in understanding the information sent and judging your financial position from a lender's point of view.

It should be remembered that there are three main credit reporting agencies in the USA namely Equifax, Experian, and TransUnion. It is a requirement of the Federal Trade Commission that all three of these companies give a credit report to their clients free of cost once ever year, if asked for it. Remember that this report is sent to the lenders and credit card companies to check your record if you ask for a loan or credit card so knowing your credit score beforehand would be beneficial for you. It has been seen that credit reports contain fraud, identity theft and wrong information which makes the person ineligible for getting a loan, credit card etc.

It is quite easy to understand a free credit report. Here's how! The report consists of five basic points.

1. The particulars of the person such as name, social security number, phone number, etc.

2. Public Records Information, i.e. if you have any previous evidence of bankruptcy, civil judgments etc

3. The information about collection agency, which basically includes any debts that you were unable to pay.

4. Information about your credit cards, open accounts, utilty accounts, loans, leases etc.

5. The names of companies who have asked for your credit reports in the past.

Ensure that you have gone through all these points. Also, keep a check that your information is updated. Immediately report any wrong information to your credit agency because it takes a few weeks for your request is processed.