Dec
30
How to Read a Credit Report
December 30, 2009 |
Navigating a credit report can be a bit confusing but it is important to understand how all of those numbers affect you whether or not you are considered credit worthy. A credit report is broke into four basic sections and each one is important to your credit score.
The first section contains your identifying information
This is just the basic information that identifies who you are. It can include a list of addresses where you have lived, your name and any other names you have gone by, your social security and driver’s license numbers, spouse’s name, date of birth and telephone numbers that have been linked to your name.
The second section contains your credit history
This section will list all of the credit accounts that you have. It will tell how long you have had the account, what kind of account it is, if it is a joint account, amount that the loan was for or the credit limit you have, total amount that you owe, amount of monthly payments, Status of the account, and if you have been making your payments on time. This section might also include notes that tell if you typically pay late or have a debt that was never able to be collected.
The third section contains your public records
This section includes any bankruptcies, tax liens, or judgments against you. If it is in the public records, it will show up in this section of your credit report.
The fourth section contains inquiries
Anytime someone requests your credit report, that information goes into this section. That means that every time you fill out an application for credit, that credit request will be noted on your credit report. Not all inquiries on your credit report were initiated by you. Soft inquiries are those requested from companies looking to contact you unsolicited and offer you a pre-approved loan or credit card.
View our recommended sources for a personal credit report.
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Aug
23
How To Read A Credit Report
August 23, 2009 |
Your credit card report is your financial report. Your future transactions depend on this information. You may find yourself in a situation when you didn’t get the job you were sure you would get, or that you were turned down for an apartment that you wanted to rent. You look for the reason, and realize it is because of the irregularities that are present in your credit card report.
When so much depends upon your credit report, it becomes imperative that you ensure that there are no negative errors in it. For this, first of all, you need to verify that all the information given in the credit report is correct. The information is classified into four categories.
Personal Information
This section of your credit report spells out your personal details such as your name, spouse’s name, your age, salary, current employers, and former employers. Don’t simply assume your personal information mentioned is correct. Apart from checking these details, you also need to check that nothing is misspelled.
Reported Accounts
This section is further divided into two categories: monthly accounts and default accounts.
Monthly accounts
All financial organizations, insurance companies, departmental stores, oil and gas companies, and more report your credit history and these find mention in the monthly report section.
Default accounts
This section lists all the payments that you did not make. These may include telephone bills, electricity bills, installment etc. Again, you need to do a careful check of these accounts, as there may be chances that you made the payments, but they have been erroneously mentioned under this category.
Public Information
As the name itself suggests, this section of your report details information that is of public interest. This includes details of law suits, bankruptcies, court judgments, loans and debts. It is important for you to note that landlords, bankers, insurance companies, and prospective employers all check out your credit report. Any adverse information can prevent your getting the job or loan, as the case may be.
Inquiries
This section lists all the companies, banks, employers, and landlords, who have made inquiries about your credit report. Too many inquiries can result in a negative impression, as most lenders will assume that you are looking around for a lot of cash and so you might not be able to pay your installments.
Fix Your Credit Report provides detailed information on Causes Of Bad Credit Reports, Effects Of Bad Credit Reports, Fix Your Credit Report, Free Copy Of Credit Report and more. Fix Your Credit Report is affiliated with Free Annual Credit Reports.
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