When you apply for credit, from a credit card company for example, the lender is interested in your credit score. This score is a single digit and is the cummulative result of how much credit you have been given by other lenders, your debt repayment records, and your purchase habits, among other things. The rating is done by the lenders you do business with and is reported to one or more credit bureaus. The major ones are Equifax, Experian (formerly TRW), and Trans Union.
If, due to information contained in your credit report, you are denied credit, you are entitled to a free copy of your credit reort from whatever credit bureau was used by the company that denied you credit. That company should send you this information, as well as directions for how to request a copy of your credit report from the appropriate credit bureau. I was surprised to learn that credit rating is voluntary and some lenders may not be reporting some accounts, or may not be reporting them completely. For example, it could be beneficial for credit card lenders to keep your credit history to themselves, thus preventing other credit card companies from stealing your business. I was less surprised to learn that the Office of the Comptroller of the Currency (OCC) is looking closely at voluntary reporting standards.
Maybe you haven't been denied credit but you still want to see a copy of your credit report to be sure all the information contained in it is correct. This is a good idea, since we have all heard stories of credit reports containing inaccurate information or damaging information actually belonging to someone else. Obtaining a copy of your credit report is as easy as a phone call. Call each of the three major credit agencies and they advise you about how you can get a copy of the file they have on you, if any. You may need to request the report by mail and there will probably be a charge of $8 per report. The major agencies and their numbers are Equifax (800)685-1111, Experian (888)397-3742, and Trans Union (800)916-8800.
If you find you need to make corrections to your credit report, you have some options. One is to write a letter to the credit bureau. I have done this to correct simple errors and one letter did the trick. Another option, and this may be better for more complicated problems, is to use the National Center of Financial Education's Do-It-Yourself Credit File Correction Guide. The guide costs $10 and you can find more information regarding this guide at the NCFE website, www.ncfe.org. If you discover a problem with your lender not reporting your account, or not reporting it fully, you can write a letter to the lender and let them know you plan on taking your business elsewhere unless the situation is taken care of to your satisfaction.
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