| I think everyone has heard of credit reports, also called | | | | payment history and current balances as well as any |
| a consumers report. Almost everyone knows they | | | | other credit obligations you have incurred. |
| have one and many of us have spent more time | | | | Be aware that public records are also included on your |
| thinking about them than we should. But the truth is that | | | | report. Those pesky judgments, tax liens, bankruptcies |
| many people have never seen their own. I know my | | | | and overdue child support payments WILL be there on |
| parents lived into their eighties and never saw their | | | | your credit report. |
| own report. And I'm sure many people are still unsure | | | | Additionally, credit inquiries will be on your report. If you |
| of what they really are. | | | | applied for a loan, a credit card or any activity that |
| Understanding your personal report can help you make | | | | required your credit be checked will cause a notation |
| important financial decisions. If you are denied credit | | | | on your credit report. |
| your report can help you understand what is keeping | | | | Ever wonder what a credit score is and why it seems |
| you from getting the credit you need and feel you | | | | to be important? Think of it this way, your credit score |
| deserve. So already, what is a credit report? | | | | is a secret mathematical equation that is derived from |
| A consumers report is simply a comprehensive | | | | all the information on your credit report. The magical |
| document that usually includes all of your pertinent | | | | number is called your FICO Score. FICO stands for |
| personal and financial information. It will contain your full | | | | Fair, Isaac, and Company. This company developed |
| legal name and often any alias you might have used in | | | | the secret scoring formula and it was named after |
| the past or possible an alias the credit union THINKS | | | | them. Have you ever had a 60 second credit check? |
| you have used in the past. Your report will contain | | | | That check was done solely using your credit score to |
| your social security number, date of birth, past and | | | | determine your credit worthiness. For those that have |
| current addresses and past and current employers. | | | | lived in the forest for most of their life and find they |
| Now this is important! This information was obtained | | | | have no credit score that is because you must have |
| primarily from previous credit applications you have | | | | at least one open credit account on your credit report |
| completed. That means YOU gave the credit bureau | | | | that is at least six months old. |
| the information they are reporting, almost! What if | | | | Your credit score is determined by your financial |
| someone with a name close to yours applies for | | | | history. Outstanding debts, consistent late payments |
| credit? That information often times finds it's way to | | | | and collection actions against you help determine what |
| your report. It could be a relative living in your town or | | | | your credit score will be. Besides affecting whether |
| a complete stranger living across the country but often | | | | you get credit or not your credit score will influence the |
| that information hits your report. | | | | amount of interest your credit offer will have. Here is a |
| My son is Jr. He lives in another state. His date of birth | | | | news flash. the higher your credit score, the lower your |
| is decades from mine. His social security number is | | | | interest rate and of course the opposite is also true. |
| very different than mine but his information often finds | | | | Knowing and understanding your credit report gives |
| it's way to my report. And to add insult to injury, MY | | | | you leverage when applying for a mortgage, car loan |
| report has an added comment that I'm now using an | | | | but will also affect your renting an apartment or house |
| alias of Jr. I am not! | | | | and even getting a job. Have you seen your credit |
| Your report will also include comprehensive information | | | | report? If not you need to check yours as soon as |
| about any credit accounts you have had in the past or | | | | possible. What if your file contains errors and stops |
| currently have. This could include any home or auto | | | | you from getting credit, an apartment or a job. Keep |
| loans, credit cards, the credit limit on those card, your | | | | the surprises for your birthday not your financial life. |