Reviewing the information below will help you understand why you should review and maintain your credit report, using credit score repair basics.
Most of us have been told at one time or another that the credit report is something of extreme importance. What is reported on that paper will determine whether you get a loan that you need. Even if you have always paid your bills on time, you could be a victim of identity theft, which will affect your financial situation in one way or another. By learning what you will typically find on your credit report, you will be better equipped the look through it all.
First its important to obtain copies of your report from all three credit bureaus. A good place to do this is at Equifax themselves. You can get the 3 in 1 credit report – I personally monitor my Fico score as well but you don’t have to. These are the bureaus that your creditors report to and you will need to investigate all three to determine what incorrect and derogatory items you have.
You also need to know that the reports will have a few different sections. Remember, there is nothing on there about your race, salary or net worth. Therefore, everything that you are being judged by is simply your payment history. In the first section, you will find the standard information such as your name, address, employers name and your social security number. If there are liens in your name, such as a car note or a mortgage lien, those will be found in another section. For each debt you have, information such as the date it was opened, the amount owed, limits and payment history will be reflected on the credit report.
The court system also reports to the credit agencies. Generally, these reportings consist of divorces, judgments, liens, and bankruptcies.
Each time you apply for a credit card, car loan, or other type of line of credit, an inquiry is made on your credit report. At the end of your credit report there is a list of all of the companies that have inquired about you. Make sure that you are paying special attention to that area, as that is an area that could warn you of someone trying to get credit in your name.
Of course, there is no hiding that it is important to make sure that your credit report is cleaned up and stays that way. Each piece of negative information that is reported on you will remain on your report for seven years. Bankruptcies will remain for ten years.
It is important to make sure that you are reviewing your credit reports with a fine tooth comb to make sure that you are fixing all errors. Even a small error could cost you thousands of dollars in interest rates. It is up to you to make sure that your credit report is clean as no one else is responsible for it. It may seem like a lot of work but it is well worth it in the end.
