6 Things You Should Review on Your Credit Reports

 

Your credit reports contain far more than a credit score.

They contain information about your identity, accounts, balances, payment history, inquiries, and other financial information that can affect decisions lenders and other businesses make about you.

That's why simply checking your score isn't enough.

You should periodically review the actual information appearing on your credit reports.

Here are 6 important areas to check.

1. Personal Information

Start with the information identifying you.

Review:

Your name and name variations

Current and previous addresses

Date of birth

Employment information, when listed

Old information isn't automatically an error. Credit reports often contain previous addresses and variations of your name.

But information you don't recognize deserves attention.

If an unfamiliar address appears along with an unfamiliar account, investigate further.

2. Accounts and Balances

Review every account appearing on your reports.

Look at:

Creditor name

Account status

Current balance

Credit limit

Original loan amount

Date opened

Payment status

Make sure you recognize the accounts and that the information being reported appears accurate.

Pay particular attention to revolving balances because they can affect your credit utilization.

3. Payment History

Look carefully at the payment history reported for each account.

You may see indicators showing:

Current

30 days late

60 days late

90+ days late

If you believe a payment was incorrectly reported late, compare the report with your statements, bank records, payment confirmations, or other documentation.

Don't assume something is accurate simply because it's appearing on a credit report.

4. Collections and Charge-Offs

Negative accounts deserve careful review.

If you see a collection or charge-off, determine:

Do I recognize the original account?

Who is currently reporting it?

Does the balance appear correct?

Are the dates accurate?

Is the account status being reported correctly?

Don't immediately dispute or pay an account simply because you see it.

First understand exactly what is being reported.

5. Credit Inquiries

Your reports may show companies that accessed your credit.

Hard inquiries commonly occur when you apply for financing, although not every credit check is a hard inquiry.

Review the companies listed.

If you don't recognize an inquiry, investigate who made it and why.

An unfamiliar inquiry doesn't automatically mean fraud, but you should understand who accessed your credit information.

6. Public-Record Information

Depending on the report and information available to the credit reporting agency, certain public-record information may appear.

Review any such information carefully.

Make sure it actually belongs to you and that the information being reported is accurate.

If something doesn't belong to you or you genuinely believe information is inaccurate or incomplete, document what you found before taking action.

Compare All Three Credit Reports

Don't assume your three reports are identical.

Information appearing with Experian, Equifax, and TransUnion can differ because creditors and furnishers don't necessarily report the same information to every bureau at the same time.

Compare them.

Look for differences in:

Accounts

Balances

Payment histories

Collections

Inquiries

Personal information

The goal isn't to find something to dispute.

The goal is to understand exactly what is being reported about you.

Regularly reviewing your credit reports can help you catch inaccurate or unfamiliar information before you're trying to qualify for an important loan or financing opportunity.

Knowledge is power. Know what's on your reports.

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