10 Reasons To Get Your Free Credit Report
#10 See Who's Been Checking Your Credit
A wide variety of people are looking at your credit report: lenders, credit issuers, landlords, and potential employers.
All of these people consider your credit score a reliable indicator of your financial responsibility in the past, as well as
the risk they might take when lending you money, issuing you a credit card, renting you an apartment, or hiring you for a
particular position.
As an informed consumer, you need to get your free credit report to see what all these other people are seeing. If you're planning to make a major change in your life such as applying for a mortgage, buying a car, getting another loan or credit card, renting an apartment, or competing for a new job, getting your annual credit report can help you achieve your goals. Even if you're not looking to get a loan or apply for a new job or apartment, it's still important to understand how your credit report can affect you, since emergencies come up and you may have to get credit straight away. To get started, click the button at the top of this page.
#9 Guard Your Credit From Identity Theft and Fraud
Did you know that your credit score is at risk every single day? When you give your credit-card information over the phone in a public place, discard canceled checks and bank statements, or respond to an email that requests sensitive data, you're at risk for identity thieves hijacking your financial life for their own gain.
These thieves are growing more sophisticated every moment, learning new ways to illegally obtain and use your personal data such as Social Security numbers, bank account information, or telephone calling-card information for fraud or deception.
Video: Credit Report and Identity Theft
Did you know that nearly 10 million Americans are victims of identity theft each year, with an average loss of $5,000 per victim? These statistics from the Federal Trade Commission are frightening, but getting your free annual credit report can help you identify identity theft and fraud and take immediate action to protect your credit. You can get started easily by clicking the start now button at the top of this page.
What is a Good Credit Score?
Lenders, credit-card issuers, and other companies or individuals consider your credit score a numerical representation of the credit risk that you present to them. So what is a good credit score? Credit scores usually run the gamut between 300 and 850, with a score of 300 considered lowest and a score of 850 considered best.
However, any score above 700 is considered good, though you want your score to be as close to 850 as possible. Average scores range from 620 to 700, and credit scores of less than 620 are considered poor. Subprime borrowers will be offered higher rates and fewer choices of loans. Subprime is a term that means less than perfect or a person with a less than desirable credit history. To qualify for a mortgage loan, you need a minimum score of 500 to 520.
The higher your credit score, the more likely it is that you will be offered favorable terms by lenders, rent the apartment of your choice, or be a top candidate for your next career move. However, if your credit score isn't where you would like it to be, getting your free credit report will give you a realistic picture of the financing for which you are eligible.
#8 Know Your Credit Score
Since banks, credit-card issuers, landlords, and sometimes even employers and utility companies consider your credit score a major indicator of your financial history and future risk, it's vital that you too know your score so you know where you stand.
Since your credit score changes over time, it's important to get your free credit score regularly so you can monitor your financial progress. If your score is already strong, getting your free credit report will show you how to maintain it. All you need to do to get started is click on the button at the top of this page.
However, if your score isn't as strong as you'd like it to be, getting your free credit report will allow you to see your score and analyze the financial habits you'd like to fix. While fixing your credit score requires time, you can immediately start improving it by not missing payments, paying down debt, and making sure to stay on top of any reporting errors that may be in your current credit history.
#7 Fix Reporting Errors and Mistakes
No one's perfect. People and companies sometimes make mistakes - and these errors could be reflected in your credit report.
Our free credit reports allow you to review your report for any mistakes. These could be as minor as a misspelling of your
name, an employer you've never had, or an incorrect address. Unfortunately, mistakes aren't always minor - and they can
damage your credit score. Information that is not correct, complete, or up-to-date could either indicate a mistake on the
part of a reporting party, or could be the beginning of outright identity theft or fraud if you spot bogus accounts or any
other unauthorized financial activity.
By clicking the button at the top of the page, we can help you spot and dispute any errors in your credit report while helping you prevent possible identity theft. Keeping on top of errors is a major reason for you to keep an eye on your credit report.
#6 Checking Doesn't Lower Your Score
Checking your own credit report does not lower your credit score. The only inquiries that may affect your score are inquiries from credit issuers, which is why you should be wary of trying to establish too many accounts at once.
In fact, checking your annual credit report helps your score since you're enabling yourself to keep on top of your financial picture, learn about your fiscal progress, and correct bad habits that may be costing you points on your score. There's no reason not to check your credit!
What is a good credit score? Any score over 700 is considered good, while scores under 620 are considered poor.
#5 Your Credit Report's Effect on Credit Card Applications
If you're applying for a credit card, your credit report will determine the kind of terms and fees you'll face - and will even determine whether at all you're approved for a card. Those with a more positive credit score will be offered more favorable terms and fees, while those with lower scores are considered subprime and will have to pay more for the privilege of getting credit.
To avoid having too many inquiries on your credit report - which can hurt your score - you need to know where you stand before beginning to apply for credit cards. If your score is strong, you'll be able to apply for the most competitive cards. However, if your credit is average or subprime, there's no point in wasting your time or points on your credit score by applying for such a competitive card. We'll help you figure out where you are, the types of cards you should apply for, and the ways to make your score better in the future.
What Factors Affect My Credit Score?
Several factors make up your credit score:
- Payment history is 35 percent of your score. A consumer's previous payment history is considered a reliable indication of whether they will be a good credit risk in the future.
- Amounts owed are 30 percent of your credit score. Keeping these amounts as low as possible indicates to lenders that you know how to handle credit responsibly.
- Length of credit history makes up15 percent of your credit report. A longer credit history tells lenders, landlords, and potential employers that you have learned how to handle credit over time.
- New credit comprises 10 percent of your credit score. Watch out for opening too many new accounts at one time, as this can diminish your score.
- Other factors make up the other 10 percent. These include demographics such as marital status and types of credit used.
Video: What makes up a credit score?
#4 You're Buying a Home
Buying a home is one of the biggest financial decisions you'll ever make. Before you begin shopping for a mortgage, it's essential to get a clear picture of your fiscal standing. By getting your annual credit report, you'll be able to see your score as well as payment history, both positive and negative - the same things that lenders will see when they're considering your loan application.
Your credit report gives you an at-your-fingertips accounting of your financial obligations such as loans, revolving credit, and other accounts - which are all important factors in a mortgage lender's eyes. You'll also be able to evaluate how much you should be seeking to spend in terms of a mortgage loan, giving you a more complete picture of how much financing you're seeking before you file your application.
There is a complicated array of mortgage loans available, all with varying terms and conditions. When you know your financial picture before beginning the application process, you already know which loans may or may not be appropriate for you. This not only saves you money, but time.
#3 You've Gone Through a Divorce
Major life changes such as a divorce can radically affect your credit. You've likely merged some if not all of your finances with your former spouse, and the process of separating your accounts can damage your credit. This is the time to assess your responsibilities, sell all shared assets, dissolve all joint accounts, divide your cash, and document everything.
Unfortunately, in the chaos of a divorce, you and your spouse may not properly separate your financial lives, and your credit can bear the brunt of this. Sometimes these credit-report dings are as simple as reporting errors, which can be disputed and removed. However, your report may betray more serious damage as a result of your divorce. It's important to know about any damage so that you can take immediate action to repair the damage.
Checking your credit will also let you know if you still share any debts with your former spouse. If you've neglected to cancel any joint accounts, your credit report will reflect this. Find out now if this is happening to you buy clicking the start now button above. You'll also know which creditors to notify of the divorce so that you won't be responsible for your former spouse's financial activity.
#2 Save Thousands in Interest When Getting a Loan
Nobody wants to pay more than necessary when it comes to obtaining a loan. Whether you're seeking to finance a car, a house, or any other sort of financial obligation, you no doubt want to get the most competitive loan possible so that you can save money throughout the lifetime of the loan.
Getting your free annual credit report is a powerful way to save thousands of dollars in interest when getting a loan. By understanding your financial picture - including payment history, amounts owed, mix of credit, number of inquiries, and any mistakes or potential fraud - you'll be able to approach mortgage lenders with confidence since you understand the range of loans for which you may be qualified.
By starting the process in an informed manner, you'll be able to negotiate with potential lenders as to terms and fees. To get the lowest possible interest rate, you'll need to understand which lenders are most likely to finance your purchase and be able to negotiate by pointing out the positive aspects of your credit history. Of course, you won't be able to do this if you don't know what's in that credit file!
#1 It's Free!
There's no better deal than free! That's why we're offering our free credit reports for absolutely
free for 30 days. There's no time like the present to get your credit report and see where you stand in terms
of your financial picture. Click the button at the top of the page and let us help you monitor your credit,
get the financing, job, or apartment you want, and maintain a positive financial picture for the security of
you and your household.