Your credit report provides a snapshot of your credit history and your overall financial health. Credit reports help lenders decide whether or not to lend you money or extend your line of credit and what interest rate they will charge you. Other than lenders, prospective employers, insurers, rental property owners may also look into your credit report. The information in your credit report is distilled into three-digit credit scores the higher the score, the better.
While credit scores are different from credit reports, it is the information from these reports that determine your creditworthiness thereby potentially affecting all your financial decisions.
It is prudent to regularly stay connected to your credit information as it lets you monitor any suspicious intervening activity and also to observe and understand how your own behavior impacts your credit information. Your credit report contains various sections like; personal information, current accounts, credit inquiries, and negative information.
Implications of your credit report content may vary from:
Misspellings or incorrect data in the report could be signs of potential identity theft. There’s a law that allows parents to place a protected consumer security freeze on their child’s credit scores, thereby preventing identity theft.
A hard inquiry might lower your credit score minimally for a short time and remain on your credit report for two years.
A soft inquiry does not have an impact on your credit risk and will not be seen when a company asks for your report.
Failure to pay taxes can remain on your credit report for ten years. Other negative transactions like bankruptcy or foreclosure will hamper your eligibility as a borrower to apply for a loan.
A credit reporting agency(CRA) is a company that collects all information pertaining to your financial activities like where you live, and work, modes of bill payment, whether or not you’ve had any negative financial impact etc. This is combined and presented as a credit report. This is sold to creditors, employers, insurers, and others.
Things to be aware of while using free credit report websites are:
The information provided are only those given to them by the CRA they are partnered with. Chances are it might not be the whole picture.
As these websites have secure access to your financial information, they might push products that are tailored to appeal to you and your financial situation.
In spite of you being entitled to receive your credit report for free from AnnualCreditReport.com, using a paid credit monitoring service gives you the best shot at identifying identity theft.
There are companies that work on collecting and maintaining credit information of consumers. These are known as credit reporting agencies (CRAs). There are three such major CRAs in the country, namely Equifax, Experian, and TransUnion. Apart from these, there are other smaller-scale agencies too that specialize at the job. If you’re worried about “where to get my credit score?,” the larger CRAs are the most reliable bets.
These major CRAs obtain information from companies that you hold business and transactions with. People or companies that lend you money regularly report to these CRAs on your repaying status. There is also detailed information on the amount you are indebted and whether you have ever defaulted on your payments. Aside from the reports obtained from lenders, these companies also tally your general records based on certain other aspects. Some of these aspects are your public records from the local and state judiciary. These include your tax records and bankruptcy information. This information makes up an important chunk of your credit score and its report.
Equifax
Present in 24 countries, Equifax is an agency that offers consumers protection against identity theft and credit fraudulence. They also sell credit reports and credit monitoring assistance to businesses.
Experian
Experian started off in London and is now a trusted agency in 39 different countries. It provides you with a credit score, credit report, and even credit tracker on subscription. The agency uses FICO 8 system of credit score calculation. Experian was a part of Forbes’ “World’s Most Innovative Companies” in 2018.
TransUnion
Based across 30 countries with a database of over 1 billion consumers, TransUnion is another CRA giant. The agency, like the other ones, will provide you with your credit score and your credit reports. In case you decide to freeze your TransUnion credit report, it will also go the extra mile to notify Equifax and Experian, which frankly is a big help especially in case of identity theft and credit fraud.
So, the next time you are sat wondering “where to get my credit score?,” think of these three giants that provide you with an annual credit score and credit report for free once each year. However, if you are looking for more frequent updates, you can subscribe to their services and receive your monthly updates.
Did you know that you have more than a single credit score? Agencies calculate your credit score based on the data in your credit reports. If you are wondering, “where to get my credit score?,” there are three main credit reporting agencies. These can have different credit scores for you if your information on each of their credit reports is different. Also, these agencies charge a fee to reveal your credit score.
Recently, it has become easier to track and get hold of your credit score without paying any fees. You can get it from your credit card company, your loan provider, and even from a non-profit counselor. Here are a few tips you can use to check your score.