Today as per the law every consumers is entitled to receive a free credit report from three nationwide credit bureaus once during a year. However this is only generated on the consumer’s request. This report enables you to review the information that helps you to keep a track of your financial health and also ensure against fraud and identity theft. Therefore it is recommended to request your report from the 3 credit bureaus throughout the year, like every 4 months, rather than requesting them all at the same time.
Further the law also permits you to receive a free copy of your credit report if you have been denied or turned down for credit. The financial institution you applied to avail the credit must provide you with the name and contact information of the credit bureau they obtained your information from. You can there by contact this credit bureau within 60 days and use the information provided to obtain your free credit report.
Basically a credit report enables you to know your creditworthiness. It indicates your borrowing and repaying habits for a particular year. You can get all the required information about your credit status in your credit report. A credit report includes detailed information of a person's credit history, including personal information, credit accounts and loans taken, bankruptcies, defaults, Country Court Judgment, late payments and current inquiries.
The annual credit report is very important to be known by all because it will enable you to control your credit scores from falling down. Precautions can only be taken when you know in hand that something is about happen. So, it is better you keep a regular notice on the ups and downs of your scores. Also any fault or wrongly updated record can also be checked by keeping a regular notice. It will help you to catch the false updates easily and then there will be no fear of having a bad and deteriorated credit report. Therefore keeping all this in mind one should make every provision of collecting his free annual credit reports.
However note that one can easily avail a free credit report but remember that free report does not come along with a free credit score, the three digit number that lenders use to weigh your credit worthiness. It is disappointing that the free credit report does not come with a credit score that is considered as important as credit report by the most lenders. You have to pay extra to get the score.
So if you are still unaware of your scores then it is time for you to get a free annual credit report and know your creditworthiness before applying for any loan.
2 comments:
Though the free annual credit report does not contain the most needed credit score, however, getting it is certainly helpful to assess one's credit worthiness and it is free.
hi.
I like it post. because it is full of useful information about annual credit report.
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