Site Directory:
Monday, 11 September 2006
Credit Report Basics
Each credit report is unique to each person and tracks every credit transaction made under their name. The credit report traces your home and automobile mortgages, credit card statements and any other credit-related activity reported to a credit bureau. Credit bureaus are legally responsibile for lawfully recording your credit history and in providing consumers with a means to dispute possible errors made by those reports.
You must vigilantly dispute any inaccuracies contained in your credit report with your creditor until the record is omitted. Errors to credit reports are usually due to mistaken information, identity fraud, and in some cases due to consumer negligence. For example, false information may mistakenly be given by a consumer due to a misspelled name on a credit application or an incorrect address. Your overall credit rating may adversely be affected by errors in your credit file, so it is worth your time to closely inspect your credit report and dispute any errors you find.
Your credit report also includes some personal information, such as your name and Social Security Number. Because this information becomes vulnerable in the wrong hands, it is important to protect your credit and identity by limiting who has access to any sensitive information. You may consider adding safeguarding software to your home computer, especially if you use your credit information while shopping online.
Federal law protects consumers against identity fraud, but your best line of defense may be your own level of observation. In order to quickly resolve any disputes over your credit history, and to monitor your credit report for possible fraudulent activity, use one of the reputable online resources dedicated to consumer credit reports.