Is Your Credit Score Different Depending On Which Company You’re Using? You’re Not Alone.
By Mike Wayman
Have you ever had a look at your credit report before applying for a loan only to find that when your credit is checked that the score is different? This is not unusual and yet it can be a major surprise for people when it happens. How is it possible to get two different credit reports for the same person?
The three major credit bureaus, Equifax, Experian, and TransUnion, all are private companies traded on the New York Stock Exchange. They are not government agencies, they are businesses in the business of making money, just like any other business. What does this mean for a consumer? It means that these credit bureaus are given permission by you to access your credit information any time you apply for a loan..it also means that when they make their report they can report anything, regardless of whether or not the information is up to date.
So why is the information not up to date with all the parties using credit bureaus? Creditors don’t always submit to all the credit bureaus. Updates to your account are sent to all the bureaus, but often not at the same time, so one may be more up to date than another. Balances can vary as a result of this time variable. Also, credit amounts can vary and even be incorrect from the different bureaus. Be aware and update yourself to insure your credit is up to date.
Is There Such A Thing As A FREE Credit Report?
By Mike Wayman
You would think that since your credit report is all about you and your personal credit and spending history, you would easily be able to obtain a copy of the report when you wish to. While in theory this is the truth, it is sometimes easier said than done. However, you are legally entitled to a free copy of your own credit report once every year, and it’s not impossible to obtain one.
The Annual Credit Report Request Service, or “ACRRS”, was established to address the rights of American citizens to have annual access to their credit reports. Until 1989, it was not even considered a legal right to view your own credit report, so this was a large step forward toward protecting the rights of American consumers who want to be aware of their own financial standing. The three major credit reporting agencies, Equifax, Trans Union, and Esperian set up the ACRRS to allow Americans to gain access to their personal credit histories.
It should be remembered that potential employers and any lender you apply for a loan with also has access to these reports. Your credit report is a kind of barometer for banks, credit unions, property leasers, and even insurance companies to use in deciding the level of risk they believe you pose as a borrower, renter, or insured party. It is a good idea to obtain a copy of your credit report annually so that you know where you stand.
