CREDIT REPORTS

If you’re wondering about your creditworthiness, and want to see what lenders and credit bureaus think of you and your financial picture, you will probably want to see your credit score and credit history. Getting your credit score and credit history is easy; however, you need to be careful from who and where you are getting your credit report from.

There are a multitude of websites on the internet that advertise “free credit reports” or “free credit scores.” So it’s very easy to obtain your credit information. But one thing consumers should be aware of is that sometimes these websites that offer to give you free credit information fail to give the credit score that matters to lenders, and that is the FICO credit score. The FICO credit score system is generated by the Fair Issac Corporation by gathering your credit history from the 3 credit bureaus: Experian, TransUnion, and Equifax.

The practice of employers checking job applicants’ credit before agreeing to hire them for a position is becoming more common than ever – and in many cases, is abusive. So why is it happening? Why are employers taking it upon themselves to check your credit as a way to decide whether they want to hire you? We’ll take a look at this concept, as well as ways that you can protect yourself from this happening to you.

Why are Employers are Checking Your Credit Reports?

When you are looking for your annual credit report from the three major credit bureaus, it makes sense to ask, “How often does the credit bureau update my report?” After all, you may want to time your annual request for your no-cost credit report at the time when you will get the most up-to-date information.

Credit Bureaus Can Update Reports at Any Time

A good credit report is vital when it comes to most aspects of your financial life. It can help you buy a house, apply for a credit card or lease a car. 

When your credit report is good, it can open all sorts of doors for you, helping to secure financing or the security of a loan. But when your credit report is low, it may keep you from doing the things you need to keep your life running smoothly.

How Do You Know if Your Credit Report Needs Improving?

Whether you are trying to buy a car or apply for a mortgage, your credit report is a tool that lenders will use to evaluate your financial responsibility. 

All of your employment and payment history is contained within your credit report. If you have had any unfortunate instances that may mar your credit score, these will remain on your credit report for 7 years.

What Types of Credit Problems Remain on Your Report for 7 Years?

If you’ve looked at your TransUnion credit report and find that there is an item that appears to be incorrect, consider disputing that item. This credit bureau makes it simple to report any information that appears to be incorrect through a number of methods.

Steps you would take to dispute the item:

Step #1: Identify Inaccurate Information: Identify which item on your credit report appears to provide inaccurate information and search through your finances to verify it is truly an erroneous item.

Your credit report contains a great deal of vital information. This information can be used by many different sources for a number of things, such as applying for a mortgage or leasing a car. 

Credit bureaus provide information such as your employment history, payment history, inquiries and public records so that companies know whether or not you are a secure candidate for a loan, lease or other contract.

Why are things like my employment history on my credit report?

America’s obsession with credit has led to the development of a finely tuned industry that tracks, monitors, catalogs and scores it all.

If you’ve got any form of credit, your payment history (or lack thereof) is reported to the major credit bureaus, as are all your borrowing and lending agreements. Your requests for credit that aren’t approved get recorded, and your requests to see your credit information are also logged for people in the lending business to see. Anything that has to do with your credit history gets written up in a credit report. Based upon the credit report, the credit bureaus will then calculate your credit score. 

If you’ve walked through your Equifax credit report only to notice one or more errors, it’s good to know that disputing the information is fast and easy. Whether you take on the dispute via the Internet or over the phone, by walking through the process, you can have the conduct and investigation to determine whether the information on your report is valid or not.

Online Investigation:

Identity theft is a serious crime that occurs to tons of people each year. Those who have been through this gut-wrenching experience can tell you that it’s something you never want to live through if you can help it. It robs you of a positive existence and often costs tons of money in losses.

To try to decrease your chances of becoming a victim of identity theft, it’s important to be careful where you submit your personal information, who you let see it, and even how you dispose of it. But another way to help decrease your chances is to frequently check your credit reports.