Do you know what your credit report score is, or are you even sure how to find out that necessary information? Many people don’t take advantage of obtaining their free credit report, often times they assume that the three major credit reporting agencies, Experian, Trans Union and Equifax are all linked by computer networks, but they’re not. Each company reports different information and if one has negative information and the other one doesn’t you might never find out until you try to apply for a loan or receive a denial for credit. Not keeping up to date on your credit report score is just like dismissing the necessity of balancing your checkbook, errors are sure to be missed. Your credit report score is determined largely by your credit history, if you pay your bills on time and it doesn’t matter if you just pay the minimum, your payment history is what’s recorded. Slow pays, late payments and defaults affect your credit in ways that linger for 5-7 years. Creditors have a direct link to the three major credit reporting agencies and when you give them a reason to send negative information they are quick to do so. Positive payment history can get buried and making sure that information stays current is your responsibility. If you find negative information on your credit report then you have an obligation to let the credit reporting agency know about it. They, by law, have to change that negative mark if you have proof that it’s incorrect, or if they are unable to obtain proof that it is correct. You might find a less than enthusiastic person to help you with this procedure but due diligence on your part is a must. Negative information can affect your ability to get a car loan or mortgage. Even applying for credit and being denied allows you to obtain a free credit report. You should take advantage of this free offer because knowing what your credit report score is can mean the difference between an interest rate that saves you thousands of dollars and one that will keep charging you through the nose for years. The major three credit reporting agencies keep a record of your credit history from the first day you are given credit. There is no limit to how far creditors car go back in your history to determine whether to extend credit to you or not. Your credit report score is also a factor in even gaining employment. The importance of knowing your credit score should not be approached with a lax attitude or as a mundane responsibility. Your ability to obtain credit or a lower interest rate is indicative of knowing your credit history and what’s being reported. You’re allowed a free credit report from each of the three major reporting agencies every three months. Choose a different agency every three months and you’ll be able to see what each agency has listed. Many times people don’t find out what’s in their credit report or obtain their credit report score until they apply for credit and been denied. Being ahead of the curve and obtaining a free copy of your credit report and knowing what’s in it can give you an edge when negotiating with a creditor. You can discuss with clarity and confidence a better interest rate or a lower interest rate based on your credit report score. If you obtain your credit report and find conflicting information then you have a right to have it corrected. Contact your creditor and request that they investigate the mistake and correct it within 30 days. You’re in charge of your credit history and your credit report score, make sure you’re aware of what’s being reported to the companies who may potentially extend you credit.
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