What is a Credit Report and What Does It Include- Crediverso,com

1. What is a Credit Report, and What Does It Include? Have you tried applying for a bank loan and were asked to produce your credit report? A credit report is an essential financial gauge that different parties need to assess your financial situation and creditworthiness. Read on for everything you need to know about a credit report. What is a Credit Report? A credit report refers to a comprehensive report that shows how well you have handled your credit accounts. It includes a breakdown of your credit history dating years back and is prepared by a credit bureau that collects this information from different agencies. What Does a Credit Report Contain? There is a lot of information contained in a credit report. It will include your personal information for identification, a list of your credit accounts and your available credit limit, the types of accounts you have and your payment history on your accounts. A credit report should contain four categories. Your identity, existing credit information, available public records and any recent inquiries you may have made. Here is a guide on how they break down these four categories. a.)Your Identity The report will contain your identification information. This will include your name, day, date and year of birth, social security number, phone number, current employment, and current or previous addresses. b.)Existing Credit Information This section of your report will include information regarding any credit accounts you currently have. The data will be detailed enough to include; ●The type of account and when you opened each account ●Your current credit limit ●Your loan total

2. ●If you have a cosigner, their information will be included here ●Recent and highest account balance ●Monthly repayments and any recent payments made The section will also include any closed accounts in your name. Your payment history will also be included here. Note that your payment history is the most crucial credit report information as it accounts for 35% of your credit score. Your payment history could date back to two years ago, while missed payments remain active on your credit report for as long as seven years. Late payments will include how much you should have paid and how long you delayed making the repayment. c.)Public Records This section will include information from transactions that the local, state or federal government records. Public records could be from property purchases, court judgments, divorce, liens, foreclosures or bankruptcies. d.) Credit Inquiries Your credit inquiries include a list of all the companies that have requested a copy of your report over the past couple of years. Depending on whether your actions were successful, an inquiry can be listed as voluntary or involuntary. For example, if you were applying for a credit card, it would be considered a voluntary inquiry. On the other hand, when a lender pre- approves your credit card, it will be labeled as an involuntary inquiry. Who Will Look At My Credit Report? Depending on the laws in your state, some people may be restricted from accessing your credit report. However, businesses that can access your credit report include;

3. Banks- when opening a savings or a checking account, the bank will go through your credit report to see if you are at risk of abandoning an account or overdrafting with them. Lenders- they are the common users of credit reports. They need to determine if you are a good person to lend to. They also use the information from the report to determine how much to lend you and a reasonable interest rate to charge you. Landlords, Utility and Insurance Companies- your landlord or utility company may request your credit information to determine how reliable you can be as a tenant or customer. Insurance companies assess your credit report to determine your rates. How Many Credit Bureaus Are There? There are three main credit bureaus- Transunion, Experian and Equifax. These credit bureaus compile data obtained from sources that lend you credit. However, some pieces of your credit history may differ among these companies since they source their information from various agencies. Nonetheless, the broad score is always relatively consistent. Access Your Credit Score for Free Curious to see your credit score rating? Use this website to access your credit score in English or Spanish