Your Credit History

Your credit history is a picture of how well you are able to handle credit. Basically, it acts as your financial report card, showing whether you pay the money you owe on time or not.

1. make history - paint your financial portrait
2. credit reporting bureaus
3. interested in your own history?

1. Paint your own financial portrait
   Timely loan payments are just one part of your credit history. It might also include information on payments for rent or utilities. Or it could indicate how you manage your checking and savings accounts (including any bounced checks).
   Your total outstanding debts, as well as the amount of unused credit already available to you (through bank, store, or oil company cards), are typically included.
    
2. Who keeps this information?
   Credit bureaus are independent agencies that collect information on people who use credit. They act as central distribution centers for credit information, making it easy for potential lenders to get your accurate credit history quickly.
   Local agencies are located in most states, but three national bureaus handle the largest share of inquiries and reports. All credit bureaus should have the exact same information on your history, but information can differ between bureaus.
   So, if you find a discrepancy on your report, contact the reporting bureau in writing within 30 days (see the credit bureaus listed on the back panel).
    
   Who's watching whom?
   Remember, a number of laws regulate credit bureaus and protect your rights. For more information, contact your regional FTC office or write to:
    
   Federal Trade Commission
   600 Pennsylvania Avenue
   NW Washington, DC 20580
   (202) 326-2222
    
   Who has access to it?
   You can be reasonably sure that anyone planning to lend you money or extend credit to you will review your credit history. Credit bureaus are not required to notify you when someone has asked to review your report.
   Credit card issuers, auto financing companies, college loan issuers, insurance companies—and yes, even landlords and potential employers—can legally access this information to help determine whether they wish to do business with you.
   In many cases, they are simply verifying the accuracy of information that you have already provided to them. In addition to looking at your credit history, potential lenders and businesses usually consider job history and current earnings to determine how much credit they are willing to extend.
    
   Inquiring minds want to know
   If you have been denied credit in the past 60 days, you are entitled by law to receive a free copy of your report from the credit bureau that issued it. If you are simply interested in reviewing your report, credit bureaus will issue one to you for a nominal fee.
   Credit bureaus are legally bound to rectify mistakes. Therefore, if your report is inaccurate, contact the reporting bureau within 30 days by sending a written statement of 100 words or less detailing your situation. Provide photocopies or other proof to support your claim. Keep in mind that this correspondence will become part of your credit history record.
    
3. Interested in your own history
   Local credit reporting agencies can usually be found in your yellow pages. The three national credit bureaus can be reached at the phone numbers below. Fees for individual credit reports can range from free to approximately $8. Once a year, a credit report or credit score is allowed to each individual for free.
   - Equifax: 1-800-685-1111
   - Experian: 1-800-392-1122
   - Trans Union Corporation: (510) 689-1912