Free Credit Report

Credit Reports and Histories

admin — Wed, 10 Mar 2010 03:49:14 +0000

Whenever a person applies for a loan of any sort – whether it is a mortgage, a personal loan, or even a credit card, their credit report is pulled and scrutinized. Everyone knows this. However, what isn’t as widely known is the mass amount of information available within these credit reports and histories.

There are three primary national credit bureaus in the United States. Each agency’s primary form of business is the reporting of credit information that will enable their clients to learn certain facts about a person or business’s credit history, which, in turn, allows their clients to make better overall business decisions. The “big 3” in the United States are:

Experian, formerly known as TRW – www.experian.com Equifax – www.equifax.com Trans Union – www.transunion.com So, what information is on a credit report? Is it just data that pertains to an individual or to a business’s finances? Or is other information noted there as well? In fact, there is a very large amount of data collected and displayed in a credit report. The following is the information that may be found, in part or in total, on a credit reporting history from Experian, Equifax, or Trans Union:

Their total credit score. The score is made up of three individual parts. One-third is based on the subject’s payment history, one-third is based on their debt/credit ratio, and the final third is a compilation of the length of their credit history, their types of credit, and the amount of their recent credit inquiries. Individual credit information. Credit history – including payments, lines of credit, secured loans, and any other type of debt the subject may have. The information here is detailed. The reports break down what the total amount of credit is per loan, what each balance is, as well as a detailed payment history. Settlements, tax liens, and other judgments. If the subject has any tax liens or judgments brought against them, they may be listed as part of the report. Also, any bad debt settlements reached will be reported. Bankruptcy. If bankruptcy is in the subject’s history, it will be noted, as well as if it was a Chapter Seven or a Chapter Thirteen bankruptcy. Also, if they are making payments to the creditors, it will show what their complete payment history is. Arrest and conviction data. Basic data that will show an arrest or conviction information along with dates of arrest, conviction, etc. Other legal information. Such as if the person or business has been sued by another individual or business, including the when and where. Fraud reports. If there are any possible instances of fraud in place, the credit report will detail which accounts are thought to be compromised. Address information. Shows the current as well as several past residences for the individual or business. Employment history. Where the individual is currently working as well as their past employers and dates of employment.

Basically, the consumer files from these national agencies are vast and often include far more than basic credit worthiness. Local and/or regional credit reporting agencies may have even more in-depth, and more detailed, data on individuals and businesses in their local area.

Also, it is smart to be aware of what information is on your own credit report. This is extremely important for a variety of reasons, but mainly, to be sure your report is accurate. Though, if you have suspicions that someone else is using your identifying information to steal from you, in other words – identity theft, checking your credit report is an excellent way of deducing if your suspicions are correct or not.

However, there is another reason to know what types of data lurk in a credit report. If you’re investigating a person or a business, having access to their credit report can often give you exactly the data you’re looking for, in addition to the obvious financial history. Because of this, and the risk associated with it, the Federal Credit Reporting Act (FCRA) has amendments in place to protect credit reports from being illegally retrieved.

To obtain a credit report on someone other than yourself, you must have a “legitimate business need,” as well as, in most cases, a signed release. Some of these legitimate business reasons may include:

Renting property, apartments, houses, etc. If you’re a landlord, retrieving credit information on possible tenants is within the parameters of the law as long as there is a signed release.Approving loans of any sort (from a mortgage to a credit card). This is fairly obvious. Any institution that loans money, in whatever form, has the legal right to request credit history information on their applicants. Employment verification. Many companies in the United States now have potential employees sign a credit report release as part of their pre-employment screening. This, along with general backgrounds checks, is quickly becoming the norm.Collection proceedings for bad debt. If an individual, or business, has not paid a debt back, the lending institution may begin collection proceedings with or without a collection agency. Credit reports are almost always used in these proceedings. Also, the FCRA mandates that procuring a credit report under false pretenses is a crime, which could lead to fines, jail time, and/or the relinquishment of a business license.

So, what do you do if you are in need of a credit report other than your own, and you do not fall into one of these prior categories? Well, unfortunately, to actually retrieve an official credit report – there’s not a whole lot you can do. Even online information brokers need to be extremely careful that the users of their databases have a legitimate business purpose – which means you’d probably have to verify this to utilize their services.

However, there are other potential alternatives at your disposal for retrieving the information you want. The following are some examples of steps you can take, and the places you can go, to get the financial as well as the additional background you’re after:

State or County Records – Every credit report is partially made up of information gathered from public records. Filings such as arrest and conviction records, tax liens, and bankruptcies can be retrieved from the correct locality in which the record is stored. These, most of the time, will be at the state or county level. Just check with the appropriate state to find out exactly where to go to retrieve the records you’re looking for. Also, online search agencies (information brokers) can also get this public record information for you through their public records databases.Dissemination of Information – Certain reporting agencies, such as Experian and Dunn & Bradstreet, can run a comprehensive credit check on businesses within their directory for their clients. This information is an overview of the specific information that is actually on the credit report and can give valuable data to branch off from. These condensed reports can offer data on tax liens, judgments, bankruptcies, business background reports, lawsuits, payment trend behavior, etc. Most of these types of reporting agencies offer a one time rate to retrieve the information you’re after. For consistent searches, they also offer a subscriber rate.Do Some Legwork – Check the appropriate locality’s register of deeds office to look into real-estate mortgage records, search the appropriate files at your local courthouse to investigate public record information, interview former coworkers, friends, and family members of the individual, etc. Be ready to talk to anyone you can and listen carefully. Write everything down and continue to connect the dots. While there is some information you’d find on a credit report you won’t discover in this fashion, you may find data that will lead you onto other avenues. If you spread your net wide enough, you should end up with a fairly accurate picture of the individual you’re investigating.Uniform Commercial Code Filings – The UCC allows a creditor to notify other creditors about a debtor’s assets that have been used as collateral for a secured transaction. The creditor does this by filing a public notice, or financing statement, with a particular filing office. You can search these filings by most states using online information brokers and other public record vendors. You can also do your own online search, if you’re motivated enough, by going to the appropriate state’s UCC database or by going to the state web site that offers free access to the UCC database. By doing a simple search online, you can find a plethora of information on UCC filings as well as possible information brokers to use, if you decide to go that route. While credit reports and histories give the needed financial information a company or individual requires to determine credit worthiness on another, these reports can also include other data that will give a greater view of the subject in question. However, even if you don’t have the legal right to retrieve the official credit report of an individual or a business; don’t give up on your investigation. Remember, there are other ways to get the information you require.

By: Terry Taggert

Does Credit History Follow You Upon Relocation From The United States To Canada?

admin — Wed, 10 Mar 2010 00:46:57 +0000

We recently received a very good question from a foreign exchange student who is moving out of the country. He asked if the credit established in the U.S follows a person, in this case to Canada. Here is what we found through our research.

SSN vs. SIN

In the United States, individuals are identified by their social security number (SSN). There is no other person in the United States with an identical SSN. In Canada, people have social insurance numbers (SIN), which serves the same purpose. Credit bureaus in Canada use the SIN to keep track of individual’s credit reports. Since the U.S and Canada are two different countries, SSN’s cannot be tracked in the Canadian systems and SIN’s cannot be tracked in the U.S systems.

Credit Bureaus

In the United States, there are three major credit bureaus: Experian, TransUnion and Equifax. These three bureaus provide credit reports and scores for all individuals with a social security number who have opened a line of credit or a loan. Canada’s credit bureaus follow the same procedures.

In Canada, the three major credit bureaus are Equifax Canada, TransUnion Canada and Northern Credit Bureaus, Inc. In several scenarios, people have found that the United States TransUnion and the Canada TransUnion share the same data in their systems. In result, there may be a possibility of a Canadian financial institution pulling your U.S credit history. This could be good for people with positive credit and bad for those with not so good credit. Equifax may do the same and share their data between countries. We have found that Experian has no effect in foreign credit because it only conducts reports on U.S residents. The same applies for Northern Credit Bureaus and its Canadian residents.

Credit Scores

As far as credit scores go, TransUnion Canada and Equifax Canada have both implemented the FICO system from the United States. The only difference being is credit scores in Canada range between a score of 300 and 900. Scores in the United States use a scale of 300-850.

Scores closer to 900 are a lower risk for the lenders, which could mean a lower interest rate to the borrower. The opposite can be said for scores closer to 300. These scores would be a much higher risk for the lender and in result would mean a higher interest rate for the borrower.

If I do not have an SIN and am a American citizen, how do I apply for credit if I move to Canada?

Just like in the U.S, in Canada it is hard to obtain credit without a credit history. You can walk inside a Canadian bank and explain your situation to them. Some banks in Canada will ask for some information from your U.S credit report. This will enable them to make an easier and quicker decision to issue credit. Some may offer you a secured credit card which will help you build a credit history by depositing a certain amount on a pre-paid credit card and then make payments.

Also, as stated above, TransUnion may have the ability to display U.S credit report information to Canadian financial institutions because of shared data between TransUnion Canada and the United States TransUnion.

What if I want to move to Canada for an extended period of time and then move back to the United States?

If you are not planning on being a long term resident or are not planning on buying a home, it may be best to stick with United States based international credit cards. Credit card companies with affiliates in the U.S and Canada would work best. These cards will work in both countries but will only report to the U.S credit bureaus.

Here is an excerpt from the U.S Department of State: “If you will be abroad for an extended period, you may want to arrange for the delivery of your mail. Some banks and international credit card companies handle mail for customers at their overseas branches. In addition, post offices in many countries will hold mail for travelers under their General Delivery (Poste Restante) services. U.S. Embassies and Consulates do not handle private mail. Check with the embassy of your destination country to see if that will be possible there. A listing of foreign embassies and consulates in the U.S. is available at http://www.state.gov/s/cpr/rls/dpl/32122.htm. “

A safe bet is that if you owe on a debt in the U.S and move out of the country, you will owe on that debt upon your return, as it will be recorded on your credit report. Will creditors try to collect from you in another country? Well that is the golden question. The golden response is, they may have a right to collect. Will that new country consider your U.S credit history? It may.

Regardless of where you move, it is best to maintain a positive credit history. If your new country of residence chooses to look at your U.S credit history you want to make sure it is clear of negative information. However, one cannot assume that a positive U.S credit history will help establish new credit in another country.

By: Pete Glocker

Credit Score-FICO Report – 5 Steps to Improvement

admin — Sat, 06 Mar 2010 05:06:13 +0000

Your credit score/FICO report can determine your eligibility for loans, what interest rate you pay for loans, and even whether you get a job to which you are applying. With every incentive to improve your score and nothing to lose, it should be a priority step in getting your financial life on track.

Here are 5 steps to improve your credit score.

Tip #1: Pull your report for free: The first step in fixing your credit is to get a handle on your current score. The Federal Trade Commission has an agreement with the Big Three credit reporting agencies to provide every U.S. citizen with a free credit report every 12 months. To get your free copy, go to the official Annual Credit Report Request Service Web site and follow instructions for requesting your report.

Tip #2: Pay your bills on time: A full 35% of your FICO score is determined by how timely you pay your bills. If you have missed any payments in the past few years, it will likely help your score significantly to go back and fix your past-due status with the creditors involved. By paying your overdue bill, your creditors will remove these glitches from your report from each reporting agency. Hint: go back and pull your report again later to make sure that all three of the agencies have actually removed the problem from your records as promised.

Tip #3: Get the balance (of credit types) right: 10% of your credit score reflects the specific diversity of types of debt you have and the credit lines you have available to you. Make sure you have the right balance of auto or home loan, department store cards, charge cards, and credit cards. This healthy mix shows potential creditors that you know how to handle different types of debt.

Tip #4: Reduce your debt: Your debt-to-credit ratio is the ratio of the amount you owe versus the amount of credit extended to you. It determines a full 30% of your credit score. There are three ways to reduce your debt: 1. Make more money; 2. Put more of your current income toward paying off your debt; 3. Reduce the cost of your debt. One great way to reduce the cost of your debt is to transfer your current credit card balances to credit cards with lower interest rates. Doing this can save you $100s per month in debt payments if you have large credit card balances.

Tip #5: Open more lines of credit: You can also improve your debt-to-credit ratio by actually increasing the amount of credit extended to you. The key here is to do so while avoiding actually using these new credit cards. To avoid using the cards extensively, make a purchase or two with them each month and then hide them so they are not readily accessible. Also: if you do open more lines of credit, do so over a period of a few months since having too much new credit can actually hurt your score.

There are many straightforward ways to improve your credit score. So, pull your free report, assess your situation, and start taking steps toward a healthier financial life.

By: Jed C. Jones Ph.D.

Credit Report Clean Up

admin — Mon, 01 Mar 2010 14:12:00 +0000

Your Credit Report contains all of your financial information along with a personal history. Did you know that your Credit Score can be influenced by mistakes made by the credit reporting bureaus? This can cost you hundreds of dollars per year. Is there a way to fix this problem? If you are financially savvy, by now you know that ordering and examining your free Report can potentially save you a lot of money over the life of any major purchase. For example, people in the excellent risk range of 730 – 850 are typically guaranteed the best interest rate. This will save them on average $90000 over the life of a 30 year term mortgage.

Since most people are not independently wealthy, being able to save money at any juncture is a welcome addition to their routine. Imagine being welcomed by creditors anxious to loan you money because you are in the good to excellent credit risk. This is not a pipe dream, by carefully managing your money and keeping an eye on the credit report, you too can raise your credit score.

Do you know how to order and credit report from the monitors? It is a fairly straightforward process which can be accomplished by going online or calling a toll free number. Make sure you use this service because there are bogus offers out there designed specifically to steal your financial data. This should be done at least once per year to ensure that all of the information contained therein is yours and not mistakenly assigned to you. There are errors on many reports that cause plenty of financial hardship to unsuspecting folks. Don’t be a part of this group, order yours by clicking here.

By: Brian G Chadra

Credit Report Monitoring – Keeping Track of Your Credit

admin — Sun, 28 Feb 2010 18:14:59 +0000

Report Monitoring

Keeping Track of Your Credit

Whether you are a business owner planning to seek further credit or someone who is out looking for a new job, effective credit report monitoring is highly valuable. Nowadays, lending institutions and employers are more cautious when it comes to doing business with clients and potential employees respectively. The report of an individual speaks much about his character and credit situation. The report also lists important personal details about you, such as your identification information, credit card details, as well as loan details. It indicates whether you have made timely payments or if you have defaulted on your credit payments. It even shows if you are someone who has suffered from bankruptcy or if you are already at the brink of facing a bankruptcy.

Save Yourself from Faulty Credit Reports

Some people suffer from faulty reports, and this is why monitoring your credit report should be done on a regular basis. Some incorrect information could be included in your report, and this may prove detrimental to your over-all credit score. A low credit score is not something that you would want to be reflected in your report, so taking care of inaccuracies early on is very helpful. These incorrect entries can be dealt with effectively through timely and consistent credit monitoring. Most credit reports are often precise; however getting inaccurate reports can be very inconvenient for anyone.

Achieving an Impressive Credit Score

Checking into your credit report from time to time will help you pinpoint any errors, before any erroneously reflected data will tarnish your otherwise spotless credit report and rating. While monitoring reports on credit is not an easy task to carry out, there are companies who are willing to monitor your reports for you. You just need to make sure that the credit monitoring service provider actually employs experts who can carry out their tasks in an efficient and professional manner. Credit report monitoring is an effective way to keep track of your credit and achieving an impressive credit score.

By: Sanjay Kak

I have a bad credit history and was wondering if there is a way to start fresh with a new social security?

admin — Fri, 26 Feb 2010 03:00:23 +0000

I have been in bad debt and my credit history is really bad by now. I was wondering if there was any chance for me to make it all better by getting a new social security. Is this possible?

Credit Cards For Adverse Credit History Applicants

admin — Fri, 19 Feb 2010 22:08:00 +0000

The simple fact of life today is that in many situations credit cards are vital. It is extremely difficult to rent a car for instance if you do not have access to a credit card in your own name. Also, shopping on line is not very easy at all if you do not have a credit card. While many websites will accept debit cards, if you are trying to book a hotel abroad or buy from any website based abroad, it can be next to impossible to find a payment method other than credit card. This is why more and more people are seeking to get credit cards, even when they have poor credit histories.

Guaranteed Acceptance Credit Cards

There are now a number of credit cards available that do not rely on a good credit history. The lenders are willing to provide these cards to absolutely everyone no matter what their credit rating may show. This is very good news for people who have bad credit ratings but still need access to a credit card. There are some important differences between these credit cards and regular cards however, so it is a good idea to be aware of the features that are different.

What’s the Catch?

The most obvious feature that people come across, and one that can surprise customers the most, is the existence of a subscription or set up fee for the card. This may be just as little as five pounds a month but can be substantially higher. There are also cards that charge an annual fee and these may prove to be better value if you plan on keeping the card for more than a few months. While customers have become accustomed to not having to pay for their credit cards, these fees are in many situations more than worth the expense given the convenience that the card will bring.

Don’t Abuse These Cards!

Another feature of these cards is that the interest rates and penalty charges for late payment are often very high. Interest rates can easily be as much as twenty five or even thirty per cent so you probably do not want to rack up too much debt on these cards. Also, if you miss payments there may be provisions for very high penalty fees and even for your interest rate to be increased. So if you are planning on getting a credit card targeted for those with bad credit, then make sure it is not something that is going to get out of hand and that you will be able to control your expenditure on it. Also, you should probably only take one out if it is for a specific necessary purpose, and not simply for occasional shopping.

By: Joseph Kenny

Credit Report Collection Account Basics

admin — Fri, 19 Feb 2010 18:16:46 +0000

Once your debts are written off, it does not mean that efforts to collect them are stopped. If the creditor chooses to; these debts are sold to a collection agency and becomes collection accounts. Collection agencies usually purchase these accounts for just a fraction of their original amount. These collection accounts will now be collected using every means possible, sometimes even harassment. A particular collection agency will hold these collection accounts for a certain period, usually just for a couple of months. If all methods are exhausted, they will forward these collection accounts to another agency until such time that they are paid or a lawsuit is filed.

Collection accounts, like charge-offs, are reported in your credit report for seven years whether paid or unpaid. Unfortunately, there are plenty of collection agencies that reset the age of the collection account to zero upon receiving them. In short, even if the debt has been made five or six years ago and reported, once the collection agency received it as a collection account, you will have to wait for another seven years before they are removed from your credit report.

Most people are not aware of this and become inconvenienced for a very long time. If you have not yet experienced this, you are lucky. But as circumstances change, you should be prepared fro such situation. One of the best things you could do is to make sure that your credit reports contain accurate entries especially the dates of the reported delinquencies, collection accounts, charge-offs and others. You should also make sure that any payment you have made should be reported. If you find some discrepancies, you should contact the credit agency and report it at once.

Settling a collection account is always recommended, unless you want to suffer from the inconvenience of a bad credit score as well as the harassment of these collection agents. As soon as you are financially-stable enough to address these debts, you should make sure that you contact your creditors or collection agency. You can always try to negotiate payment arrangements, one that is manageable. You should never commit to an arrangement that you would find difficult to fulfill.

As soon as the collection account has been settled, it would be reported to your credit report in three ways: paid in full, collection account paid or simply paid. Again, these records will remain in your credit report for the next seven years from the date of the first delinquency. But then, it is so much better than having an unpaid debt on your report.

By: Frank Bruno

How to acquire a free credit report from each of the major credit bureaus?

admin — Tue, 16 Feb 2010 05:42:53 +0000

I heard on CNN Headline News that you can obtain one free credit report per year from each of the 4 major credit bureaus.

Does anyone know the names of each credit bureau, the number to call (or address) and what you need to do to get a copy of your credit report?

Credit Report After A Bankruptcy

admin — Mon, 15 Feb 2010 22:15:19 +0000

Your credit report after a bankruptcy will look like a bomb was dropped on it. Your credit score report will be littered with all kinds of derogatory information. Depending on what type of bankruptcy you filed will determine how long it will take to re-establish your credit. The two most common bankruptcies are Chapter 7 and Chapter 13. With the new bankruptcy law, more people will be forced to file Chapter 13. Here are the differences.

Chapter 7 bankruptcy- is considered liquidation of your non-exempt assets. This bankruptcy is considered the quickest and simplest of all bankruptcies. A court appointed trustee sells off all your assets in an attempt to pay back some of your creditors. During most Chapter 7 bankruptcies the client will not have any assets to liquidate.

Chapter 13 – This bankruptcy is considered a wage earner plan. This plan allows individuals whom have income to develop a plan to pay back there creditors over a 3 to 5 year period. Under this bankruptcy you are assigned a court appointed trustee that you make the agreed upon payments to, which they in return pay your creditors.

Bankruptcy is all too common these days with the economy the way it is. The mortgage crisis and the price of gas have caused many people financial troubles all over the United States. Luckily there is hope after a bankruptcy. It’s kind of like polishing up your shoes after you have got some scuff marks on them. Your credit is the same way, you can re-establish credit after a bankruptcy, and that is the first step once you are done with your bankruptcy.

How to establish credit afterwards

The first step is to get two secured credit cards. No bank is going to allow you to get an un-secured credit card after a bankruptcy. All of your past credit will be on your credit report for 7 years. If you filed chapter 7, it will be on your credit report for 10yrs from file date. But most of your past negative credit will be on your report for 7 yrs. The main objective is to get new credit on your report as soon as possible. The only way to do that is with secured credit cards, and Orchard bank is a great one. FICO likes to see a mix of credit, so make sure you get a couple of secured credit cards. This process will take you at least 12 to 24 months to get your credit scores where they are somewhat decent. After a little time with no slow pays, your creditors will start extending credit to you again.

Don’t be a repeat offender

FICO will forgive you for past bad credit mistakes, but if you are a repeat offender it will be tough to recover. The new FICO scoring process does not want to see you continually having problems. So learn from past mistakes, save your money for hard times and emergencies. Also remember to always stay on top of your free credit score report

By: Mike Clover