Credit Report Information

Credit report, also referred to as credit history is an account of a person’s credit background regarding borrowing and repaying. A credit report also stores information about delayed payments and bankruptcy.

The laws regarding formation and use of credit reports are monitored and regulated by the Fair Credit Reporting Act. The credit report of any consumer is stored in the database maintained by the consumer reporting agencies under the Fair Credit Reporting Act.

Accessing your Credit Report

As declared by the Fair Credit Reporting Act, you are entitled to obtain a free copy of your credit report once a year.  A credit report contains information such as your residence, the mode of payment for your bills, whether you have ever been subjected to an arrest or sued for any reason or if you have ever filed for bankruptcy.

There are three ways to get your free copy of the credit report. You can call up the toll fee telephone number, access the official website, or send an ordinary mail. You may also order your credit reports from the three consumer reporting companies in the country.

In order to get a copy of your credit report you need to submit information that includes your full name, date of birth and social security number (SSN). In case you have changed your location over the past two years, you will also need to provide you former address.

Importance of the Credit Report

Your credit report reflects your creditworthiness. Its importance is manifold if you have applied for a loan. Your credit report plays a major role in determining whether you will get the loan and the amount that will be given to you. You also need to get a copy of your credit report to make sure the information is accurate and updated. A third very important reason why you may want to get your credit report is to take precautions against identity theft.

If you forward your request of the report by calling at the toll free number or mailing your request, it will be sent to you within fifteen business days. If you make your request online, you will be able to access it at once.

If you find the information on your credit report inaccurate, you may request the reporting companies to conduct an investigation and correct your records, as per the guidelines provided by the FCRA. Under the laws determined by the FCRA, the consumer reporting company must correct any incomplete or erroneous data in your credit report.

In order to make use of this law, you must inform the company formally about the incorrect information. The law makes it mandatory for the company to investigate into the matter within thirty days and forward you the relevant data regarding the source that provided the wrong data.

 The Fair Credit Reporting Act also determines who else can access your credit report. It states that creditor, employers, insurers and other business organizations that may need to learn about your credit background to judge your applications for insurance or credit are also entitled to access your report.

For more information on credit report, go to http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre34.shtm.