What information is in your credit report?

It is important to realize the nature of the credit report information that various people have access to. Here are some of the items that can be found in your credit report:

• Every loan you have ever taken out, including car, home, credit card, payday and other loans that are reported. The information on these loans includes who made them, whether you made on time payments and whether you ever exceeded your balance. Your credit report also includes information on whether the loan is paid off and whether the account has been closed.
• Personal information. This is information about you. It includes your name and address, as well as your Social Security Number. Your employer information (past and present) may also be included.
• Public records information. This is information that appears in public records. Your credit report may contain information on liens and judgments, as well as bankruptcies and court appearances.

You should check your credit report information to ensure that it is accurate and up-to-date. Some information, such as bankruptcies, have to be removed after 10 years. Other information on loans is usually removed after three to five years.

Why you should check your credit report information

It is very important to have an up-to-date and accurate credit report. This is because the information is used for a variety of purposes. Here are some reasons that having accurate credit report information is important:

Credit companies are looking at your score. Before they decide whether or not to issue you a loan, or a credit card, or a mortgage, lenders want to see your credit report. Inaccurate credit report information may result in you being denied credit. Additionally, you may find that the terms that you would like on a loan, such as interest rate and payment flexibility, are not offered to you if you have a poor credit history. Having errors fixed can get rid of some of these negative effects on your score.

Inaccuracies are bound to happen. Credit reporting agencies have a great deal of data to process and compile. Errors in data entry, reporting and other types of problems are bound to occur at some point. Because it is your credit report, it is your responsibility to keep track of mistakes and have them corrected.

Credit history changes regularly. Your creditors and others are constantly reporting information to the credit bureaus. This means that it is important for you to be on top of the latest happenings with your credit report. You want to catch errors, but you also do not want surprises when it comes to getting approved for a loan. Checking your credit score can mean that you are warned ahead of time of potential roadblocks.

Identity theft is a growing concern. The fastest-growing crime is identity theft. Your credit report information can actually help you catch identity fraud and combat it. New accounts opened in your name are recorded in your credit file, and if you see something that doesn't appear right, it can be an alert that someone has stolen your identity.

It is important to check your credit report regularly in order to avoid the problems that come with an inaccurate credit report.

Fixing mistakes in credit report information

It is possible for you to have errors fixed on your credit report. Here are the steps to take if you feel that inaccurate information is on your credit report:

1. Contact the credit bureau and file a dispute. Do this on the phone and in writing. The credit bureaus also allow you to initiate a dispute via the Internet.
2. Contact the reporting company. If the mistake is about a balance on your credit card, or a payment you made to your bank, you should contact the reporting company. That way they can investigate on their end as well.
3. Gather documentation to support your case. Find documents that support your dispute. Whether they are payment stubs, statements or other documents, you need some sort of proof. Make multiple copies, and keep the originals for yourself.
4. Follow up on the claim in 30 days. Credit reporting agencies have 30 days to fix the problem. If nothing has happened in that time, follow up. If nothing is happening within 60 days, consider a lawyer's help.
5. Write a summary explanation. If the credit bureau determines that the information is not an error, it will not modify your report. In such cases, you have the right to tell your side of the story with a summary explanation that appears in your credit report.