Credit Report – Enhancing Credit Management

2007-03-08 10:33:40

( Financial )



Checking for your credit report is an effective way for you to early detect fraudulent use of your account. Credit report indicates the summation of your credit payment history. This pertains to debt report, loan report and bankruptcy report.

The information on your credit report contains your identification, credit information, public record, and inquiries. These data can be viewed by credit grantors, as permitted by law, for them to assess whether to award you credit. As you make your payment, credit grantors report it to credit bureaus. So basically, most information that reflects on your report comes straight from the companies you deal with.

The identification data on your credit report contains your name, addresses, Social Security number, birth date, employers, and civil status. Credit information shows your accounts with banks and other lenders. Your public record consists of state or county records such as bankruptcy and monitory judgments. Inquiries show your applications for new credits that could consequently add to your debt. However, credit reports do not contain other personal information that has no relevance to your credit history like race, religion, medical history or criminal record.

The use of credit reports and who may use them are carefully regulated by law. As for yourself, you have the right to gain your own reports at a reasonable cost. Companies who want to access your reports are subject to meet requirements particularly the permissible purpose under federal law, business background check and on-site inspection, and current business license. They must undergo a signed contract on the condition that they will use the information properly.

Credit reports may come with a credit score. A credit score is a statistical calculation of your credit risk level. It varies as your credit report is updated like when you make a payment. Normally, a higher number reflects lower credit risk. This information may not be included in your report though. It is usually used when a credit grantor requests for your report to measure your credit risk in an objective manner before approving or disapproving your application.

There are credit-monitoring providers who offer more than just plain reports though. They extend their service to monitoring your credit score so you may have a better chance in applying for new accounts.

By availing Fico reports or Experian reports, you may qualify to better interest rates on mortgages or home loans provided that your credit score is healthy. They can provide you with credit score monitoring that reflects the reasons why your score varies.


All rights Reserved © Tradenet Services srl
Do not duplicate or redistribute in any form.