Credit Report
A credit report is a detailed record of an individual’s credit history and financial behavior. It is maintained by credit reporting agencies, also known as credit bureaus, and contains information such as an individual’s credit accounts, payment history, public records, and inquiries made about their credit history.
Lenders, landlords, and other organizations use your credit report to assess your creditworthiness and make decisions about your eligibility for credit, loans, apartments, and other financial products.
credit report
A credit report is a document that contains information about a person’s credit history, including their credit accounts, payment history, outstanding balances, and public records such as bankruptcies or foreclosures.
Three companies, TransUnion, Equifax, and Experian, collect information about the number of credit cards and loans you have and how conscientious you are about paying your bills and use it to create a credit report, which functions as a summary of your credit history.
By law, you’re entitled to one free credit report each year from https://www.annualcreditreport.com/. Although you have to pay extra for your credit score to be included with your credit report, a lot of people use this report as a quick reference to gauge how good or bad their credit is.
It’s a good idea to sign up for a free credit report from the Annual Credit Report website since other companies will charge to give you your credit history and score. It is important to review your credit report regularly to make sure the information is accurate and up-to-date, and to dispute any errors or discrepancies that may negatively impact your credit score.
What is included in a credit report
- Personal Information: This section includes your name, address, date of birth, social security number, and other identifying information.
- Credit Accounts: This section lists all the credit accounts you have, such as credit cards, mortgages, and loans. It includes the type of account, the date it was opened, the credit limit or loan amount, the current balance, and the payment history.
- Payment History: This section shows your payment history for each credit account, including whether you paid on time or were late, and how late you were if you missed a payment.
- Public Records: This section includes any public records related to your credit, such as bankruptcies, foreclosures, tax liens, and civil suits and judgements.
- Inquiries: This section lists all the times your credit report was accessed by lenders, employers, or other entities. There are two types of inquiries: “soft” and “hard.”
- Soft inquiries occur by checking your own credit reports, receiving pre-approved offers of credit or insurance, or having your current creditors conduct routine account reviews. Soft inquiries do not affect your credit score.
- Hard inquiries occur when you apply for a service like a new loan, credit card, or mobile phone contract and credit card companies or lenders review your credit report. Hard inquiries do affect your credit score and remain on your credit report for up to two years.
- Credit Score: This section shows your credit score, which is a numerical representation of your creditworthiness.
Credit reports include a lot of information, but they also leave off some personal and financial details. Here’s what details you won’t find on your credit report:
- Marital status
- Income
- Bank account details
- Education