Free Credit Bureau Reports

Free credit bureau reports are available to the public because of the Fair Credit Reporting Act amendment. This act states that all three of the major credit reporting bureaus - Equifax, Experian and Trans Union - must provide a free credit bureau report once every year to consumers who request it. This document provides information to consumers who may be unaware of what is in their financial profile and provides an accountability measure to reporting agencies. Using the information that is recorded can provide the consumer insight to the view that lenders have of them when applying for new loans, as well as allow them to understand the importance to take more control of how their financial matters are handled in the future.

There are many reasons to request this personalized information from one of these agencies. The most obvious reason is, of course, in case of errors accumulated in a consumer's credit history. It has been estimated that approximately 40% of the information can be inaccurate, so it is important to take advantage of receiving free credit bureau reports every year. The information for credit history is gleaned from many sources and will be reflected in all manner of dealings. Sources such as banks, businesses, employers, apartment renters, charge card companies and others that one does business with, provide these agencies with information about their business dealings with everyone. This, in turn, is reported in these records that are used to decide major deals from extending financial assistance to credibility as a renter of an apartment.

When comparing the three reports, they will not be identical in information or score. The three agencies can receive differing information depending on which sources report to which agency. This can account for some discrepancy at times between the three free agencies reports that are requested. Each free credit bureau report can also be different because of inaccuracies reported from sources as well as items that have been resolved but have not been credited to the report.

In order to make sure that one's financial record is accurate, request a free credit bureau report from each agency each year. There, one will see the same information in free credit bureau reports that any lenders, employers and other sources will see that access one's financial history. Keeping a financial record up to date and in good standing is important in receiving lower rate loans, sometimes getting hired for a job and in many other business dealings that require a good financial record. "Rejoice in the Lord, O ye righteous: for praise is comely for the upright." (Psalm 33:1)

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