Credit Score « Free Credit Bureau Report

March 28, 2011

Understanding The Three Credit Report Companies

Filed under: Finance — Tags: Credit Bureaus, Credit Help, Credit Information, Credit Report Companies, Credit Reports, Credit Score, Creditors, Equifax, Equifax Credit Bureau, Experian Credit Bureau, Home Mortgage, Insurance, Loan Approval, Statuses, Transunion Credit Bureau — @ 6:22 pm

Jared Wright asked:

Credit report companies offer their services to people who need to get their credit score and other information about their financial status. A credit report is required when you apply for a loan such as a home mortgage, and may also be required when you want to apply for a credit card. There are credit reports for individuals, and there are also some reports which are made to evaluate the statuses of companies.

Credit report companies are also known as credit bureaus. There are three major credit report companies, which are the Equifax Credit Bureau, the TransUnion Credit Bureau, and the Experian Credit Bureau. These companies collect different information from creditors, which are then used to generate reports that are sold to their clients.

A credit report is a valuable document in the sense that it includes information which may grant or deny loan approval, employment, licensing, insurance and other business needs. Individuals and businesses alike are dependent on their credit scores and report to help in evaluating their current financial standing.

Some information which is available from credit companies includes the following:

• Identification. Credit report companies have consumer details such as name, employer, address, name of spouse and the company or employer of the spouse.

• Credit history. This includes accounts which are active, including the account numbers, the date when the accounts where opened, the payments and other activities made for it, balances, amounts that were paid in the past, and how often payment was late. These are all bases for a low credit score, meriting a lender ground for denying you of a loan.

• Derogatory items. These include risks which may affect the lender or the company which will deal with the other party. Judgments, suits, bankruptcies and tax liens may prevent you from getting approved for a loan.

• Inquiries. Companies or individuals may have asked for your information, such as banks and financial institutions which have required your bank details. You will be given information about the inquiries which happened in the last 18 months only.

Credit report companies update your information regularly so that their database is updated and is relevant. Lenders can access your information to help them decide whether or not you can be trusted with a loan or a new credit card. You can also access your own credit score by logging in to the website of the three credit bureaus mentioned above so you can monitor your finances as closely as you need.

Juanita

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March 24, 2011

Better Business Bureau Advises Americans on Credit Report Monitoring

Filed under: Finance — Tags: Adequate Records, Credit Bureau, Credit Consumers, Credit Monitoring, Credit Report Dispute, Credit Score, Dispute Errors, False Information, Federal Trade Commission, Fraud Alert, Fraudulent Charges, Loans Mortgage, Public Interest Research, Report C, Research Groups — @ 12:44 pm

Krystle Chan asked:

By now, most Americans understand the importance of credit monitoring as a protective measure against identity theft and reporting errors that may jeopardize one’s financial standing. What may be more difficult is knowing how to read one’s report or the steps that need to be taken to dispute errors. The Better Business Bureau has provided a few tips Americans can follow to ensure their credit report is healthy and error-free.

The actual report will contain a record of all open lines of credit, student loans, mortgage and utility payments and other types of financial information that affects a credit score. The document will also record any bankruptcies or tax liens.

Examining a credit report will also allow consumers to gauge their financial standing. They can view areas where they may be strong, such as paying bills on time. Individual’s may also discover their credit weak spots, such as using too much available credit.

Consumers should review the accuracy of all information on the report and immediately report any errors. A study conducted by the U.S. Public Interest Research Groups revealed that nearly 79 percent of credit reports contained some type of error. If an error is listed on the credit report, consumers should contact credit bureaus and be prepared to submit supporting documentation to disprove the false information listed. Individuals who discover fraudulent charges should contact credit bureaus to request that a “fraud alert” be placed on the report. The police should also be notified and consumers may want to file a complaint with the Federal Trade Commission.

In order to make sure the credit report dispute runs smoothly, individuals should keep records of all correspondence and documentation throughout the process. Maintaining adequate records, including names, phone numbers, and conversation summaries with credit bureau representatives will facilitate resolution.

Credit reports can be viewed as a report card of overall financial health. Consumers should actively monitor their reports in order to protect their finances and, in cases of identity theft, their reputations with lenders. Credit reports also serve as a guideline for the areas in which improvements can be made.

Bradley

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March 23, 2011

How To Get Rid Of Bad Information On Your Credit Report By Writing Letters

Filed under: Finance — Tags: Bad Credit, Birth Date, Credit Bureaus, Credit Rating, Credit Score, Creditor, Equifax, Esperian, Fico, Late Payments, Matter Of Fact, Personal Credit Report, Personal Information, Score Name, Writing Letters — @ 12:50 am

Helen Hecker asked:

Assuming you already have a copy of your annual credit report you may have already found some errors that should be removed. Errors should always be a big concern because they can and probably have affected your credit score, also called a FICO. You can repair your credit with a little bit of help.

It may seem like a lot of work but it’s really easy. The hardest part is actually sitting down to do it. You’ll need to check all three credit bureaus to make sure the same error isn’t on all three but if you just have one credit report, start with that one.

First make a list of any and all errors that you find on your personal credit report. These could be in the form of personal information such as birth date or more likely there will be information that you know not to be true such as late payments or no payments recorded etc. If you think there is any possibility that you could be wrong check your past history with the creditor in question first.

You want to make sure you are right before you make the request to have any information removed from your credit report.

You will be sending the letter only to the credit bureau mentioned on the report, which would be Esperian, Equifax or TransUnion. You don’t want to sound angry in the letter, just be matter-of-fact, straightforward and business-like. Just outline the facts – name of creditor, dates, and the error(s) or problem(s) you’re finding on the credit report.

Here is a sample letter:

Date:

To whom it may concern at Esperian (or other credit bureau):

I recently acquired a copy of my credit report and found some errors that I’d like to dispute. I am enclosing documentation to prove the information is incorrect and would like a correction. I value my good standing and good credit history and want to maintain a good credit rating and credit score.

Name the creditor along with the reference date including the month, day and year if possible.

The error(s) I have found are:

I’m including copies of my payment record, with a (cancelled check or online payment print-outs or any other documentation that you have).
I would appreciate any attention to the matter as I would like my credit report to be accurate. I’m sure you understand that credit bureaus need to include only information that is accurate in my file.

Thank you for taking a look at my letter and file and hopefully making the necessary corrections so I can continue to maintain my good credit standing. Please let me know that my file has been reviewed and what action has been taken. I would also like a copy of my corrected credit report sent to the enclosed address. Thank you.

Sincerely,

Besides your full name as shown on the report, include you mailing address, a copy of the report that you have, your social security number, driver’s license photocopy and any other documentation such as a cancelled check or online payment confirmations.

Make a copy of the letter for yourself and a copy of any enclosures with the letter. Send the dispute letter by certified mail with a ‘return receipt’ requested. Then make sure to get the free credit reports from the other two main credit bureaus or reporting agencies to make sure they don’t have the same incorrect information. You can get free instant credit reports from the other two online.

Dale

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March 14, 2011

How to Check Your Credit Score For Free

Filed under: Finance — Tags: Annual Credit Report, Credit Bureaus, Credit History, Credit Score, Date Of Birth, Free Credit Report, Free File, Point Of View, Reminder, Report Organization, Security Purpose, Simple Questions, Simple Steps, Social Security Number, Step 3 — @ 6:02 pm

Jeslyn Jessy asked:

According to the Federal Law passed in 2005, everyone in UK is eligible to receive one free credit report annually from each credit bureau. You can check your credit history and safeguard your credit score at zero cost. Let me show you some simple steps to obtain your credit file on complimentary basis.

Step 1: Go to the official website of Annual Credit Report organization

Why do you need to go to this particular website? Seriously speaking, for security purpose, you are advised not to request your credit file from other parties. In UK, the Annual Credit Report website is the only authorized online source where the consumers can access their file for free under the Federal Law. Hence, you should not go direct to the credit reporting agencies if you want to get a copy of your file for free.

Step 2: Fill up the online form

Go to the website and fill up the online form carefully. You are required to provide your full name, address, social security number and the date of birth.

Step 3: Decide how many reports you wish to receive

Once you have provided your personal details, you should then decide whether you want to receive your report from one, two or three credit bureaus. In my personal point of view, you should request from all bureaus since you can get all reports for free. At the same time, you can check whether the details shown in all files are the same and there is no mistake.

Step 4: Print your online report

Once you have made your selection, a screen will appear allowing you to immediately print your report. Here is an important reminder for you. You MUST PRINT your report. If you don’t print at this time, you will lose your eligibility for a free file until next year.

If you are not internet savvy, don’t worry. You are recommended to contact this organization at 1-877-322-8228 to request for your free credit report. The officers who attend the call normally require the callers to answer some simple questions for verification purpose. Once they have identified the callers’ personal details, they will deliver the reports to the callers within two to three weeks.

When you have received your credit report, you are reminded to read and check it for accuracy. Make sure all the information is updated. If you find any inaccurate item, you must make your report to the credit bureau immediately.

Now, what if you need your report again a few months later? Can you still obtain it for free? It depends on the situation. If you are currently unemployed and you are receiving unemployment benefits or public assistance, you are still eligible to get your credit file at no cost. However, if you don’t fall under this category, you need to pay the reporting agencies for each report you need.

To sum up, everyone is entitled for a free report every year. You will only be required to pay for the report under certain unusual circumstances.

Jennifer

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March 13, 2011

Credit Bureau Reports and Your Credit Rating – Do You Understand Your Credit Score?

Filed under: Finance — Tags: Consumer Reporting Agencies, Credit Bureau Reports, Credit History, Credit Insurance, Credit Score, Creditors, Equifax, Experian, Fair Isaac Corporation, Insurance Employment, Personal Credit, Personal Score, Renting A Home, Term Loans, Trade Accounts — @ 10:15 am

Marilyn Katz asked:

Do you know what a credit rating is? Furthermore, do you know what your own personal credit score is? Most people don’t think they need to worry about it. They do. Even if you don’t ever borrow money you need to be concerned. Let’s say you need to buy a new car, and like most of us, cannot pay cash for it. You will need a car loan. At some point in your life, you will probably want to buy a home. You will probably need a mortgage! The most important factor the lender considers is your credit history and credit score. This wil factor into the interest rate offered to you. You need to understand this important part of your financial life in order to manage it to work in your favor. If you ignore it, it will probably work against you.

A credit rating is issued by an agency. The rating is a measure of how you have handled your finances. A credit report contains information on where you live, how you pay your bills, and whether you’ve been sued, arrested, or filed for bankruptcy. Nationwide consumer reporting agencies sell the information in your report to creditors, insurers, employers, and other businesses that use it to evaluate your applications for credit, insurance, employment or renting a home.

There are three major bureaus. Each company determines your personal score based on a formula developed by the Fair Isaac Corporation. Each agency uses a slightly different term for their score. Equifax calls their score “Beacon;” Experian calls their score “FICO;” and Trans Union calls their score “Empirica.” Since lenders do not usually report account activity to all bureaus your credit score may vary.

The rating takes into account activity related to revolving and installment based credit that is not secured by hard assets. This includes your credit cards, term loans, trade accounts, public utilities, lines of credit etc. The agencies may not use the same scoring system so even if all the information is exactly the same the score may vary. The rating system provides you with a credit score between 300 and 900 and a higher score indicates a lower credit risk. A score of 650 or higher is usually considered good credit by most lenders.

What Factors Matter?

Payment History -Were payments made on time? – 35%

Amounts Owed – Is the balance owed close to the limit? – 30%

Length of Credit History – How long have your accounts been open? -15%

Taking on more debt – How many new accounts have been opened/? – 10%

Types of credit in use – Mortgage, auto, consumer finance accounts, revolving and installment loans -10%

What is not calculated?

Your race, color, national origin, sex, age, marital status Your salary, occupation, job title, employment information or home address The interest rate on your charge accounts Any items such as child support, rental agreements, credit counseling participation Is your credit score always accurate? No. It is estimated that almost 80% of credit reports contain errors. So if you want to correct these errors you will have to get a copy of your report. Fortunately, the Fair Credit Reporting Act requires each of the nationwide consumer reporting agencies (mentioned above) to provide you with a free copy of your credit report, at your request once every 12 months.

Jamie

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