Free Credit Reports
Free Credit Score Reports and How to Get Them:
| Free credit report, all North Americans are entitled to one free credit report every year from each of the three major credit bureaus. Annual credit reports used to cost as much as 25 dollars each, until the Fair Credit Reporting Act (FCRA) made it mandatory for the three major credit reporting agencies, Equifax, TransUnion and Experian credit report agency to grant a free credit report. Consumers, upon request, are entitled to receive a free credit report once every 12 months. Accessing your free credit report is really a simple matter. Under the Fair Credit Reporting Act (more commonly referred to as the FCRA) you have the right to your free credit report at anytime with no penalty to you score. You may access your free credit report through a major credit reporting agencins such as the Experian credit report agency and Equifax |
Since you have access to your free credit report you'll want to get all three free credit report from Equifax, TransUnion and Experian credit report agency. Despite the fact that you can receive a free credit report once a year it is wise to on top of your credit report and get regular updates. You should get updated copies regularly (that you can correct any errors, in fact, according to a study conducted by the Public Interest Research Coup in early 2001, over 29% of consumer credit reports were reported to have serious errors, those errors were responsible for the denial of credit, insurance, mortgages, etc.)
If you rely solely on a free credit report you risk being out the loop for 12 months, which is more than enough time for some pretty serious problems to occur. The moral of the story is simple, Yes it’s great that you can get a free credit report, but with all the fraud and errors that can occur in a period of twelve month... one free credit report a year isn’t going to cut it.
The cost of the report is regulated by the FTC (Federal Trade Commission) to ensure that everyone has the opportunity to review their personal credit report (plus you get a free credit report).
Below is a list of the major sections found in your free credit report:
1) Personal Identification - Includes key identification information, such as your name, address and date of birth.
2) Social Security Number (SSN)
3) Consumer Statement - Allows you, the consumer, to add a brief comment about any information in your report
4) Credit Information - Provides details of your credit accounts and transactions and shows if payments are being made on time.
5) Banking Information - Includes information on your bank account and NSF cheque history.
6) Public Record Information - Contains information about secured loans, bankruptcies and/or judgments.
7) Third-Party Collections - Contains information about any involvement with a collection agency trying to collect on a debt.
8) Inquiries - Includes all organizations or individuals that have requested a copy of your credit report in the past year.
9) Mortgage information and the details about your existing mortgage(s) may appear in your free credit report; however, mortgage information is not used to calculate your credit score and is not reported by all lenders.
Your free credit report may also be viewed by individual business that you have approached, such as: credit card companies, if your renting and renting through an agency the landlord may have access to your report etc. Basically anyone that you apply to for credit (for the most part). A company can not just randomly request your credit report, they first have a permissible reason, as defined by the FCRA, and secondly your permission to pull up and view your report.
If you have every wondered how credit card companies and other creditors get your name and send you offers, it is through Experian credit report agency and the other CRA's. Though they do not do an actual inquire the just get your name and current address. If you like many others find that a tad annoying you have the right to have your name and address removed from media lists (like telemarketers).
Opt out by sending a letter to the major credit bureaus or by calling 1-888-5-OPTOUT (1-888-567-8688) toll free (the information is on the back of free credit report). This way your name will be removed from any lists, unfortunately you have to do this every 2 years, why? Ask them!
