Copyright (c) 2010 Suzy Vanstrusen
So you have been advised that the first step to solving your debt problems is to get a copy of your report and examine the status of your debts. After requesting a copy of your report from a legitimate credit bureau, you’re still left in a state of confusion. You really don’t know what to make out of the numbers and details in your credit report. There are a couple of terms in your report that you don’t understand? So what do you do?
Consumers who are checking their credit report for the first time will most likely find all these details very confusing. In this article, we’ll talk about the basic elements of a credit report and what each of these details reveal about you.
Personal Information
This is the first part of your credit report that includes all personal information about you- your name, address, phone number, Social Security number, driver’s license number, spouse, employer, and other applicable data. Most consumers just skim through this part of their credit report. But although this particular section contains only basic identification that you already know, you still want to make sure that all of them are correct. Take note that misspellings, missing digits, and wrong details are common errors found in a credit report. It is best to spend enough time in reading and understanding every detail carefully.
Credit History
This is the most important part of your credit report. Here is where all your activities that concern credit are recorded. The different types of credit you have, your record of payments, your credit line, debts, past due bills, transfers, charge offs, etc. This section includes the first and oldest account you opened, the accounts that you’ve closed, and inactive accounts in your name.
Are you a good borrower? Do you pay your debts on time or are you often late in submitting your payments? Do you maximize the use of your credit line? If you have been a victim of fraud or identity theft, you can check this section for any signs of unauthorized charges in your name. Yes, all information listed here directly affects your credit score. Actually, a person’s credit worthiness will be largely based upon the details of his/her credit history.
Public records
If your debt problems are really serious, chances are this section would contain some notes. Tax liens, judgments, foreclosures, bankruptcies- any of these will be place under the public records section of your credit report. Thus, you’ll want to keep this particular section of your report clean and free from any remarks.
Inquiries
Lastly, your credit report will have a section reserved for inquiries made by lenders or insurers whom you’ve applied credit with. This section will be filled with inquiries if you are the type of person who often send credit card applications to various banks just to get the freebies offered. A record of too many inquiries puts you in a bad light. Lenders would immediately get the impression that you’re submitting applications all at once in the hope to get approved by even one creditor.
A credit analyst and a writer of EzCreditRepairSolutions.com , Suzy Vanstrusen has been providing consumers with tips and tricks in repairing your credit. Check the site for more
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