How to Obtain a Free Credit Report and Score
Your credit score is probably the most significant number in your life. If you are interested in obtaining a free credit report in finding out your credit score, there is information you need to know. The Fair Credit Reporting Act (FCRA) and The Fair and Accurate Credit Transaction Act (FACTA) have been a Godsend in shedding light on the credit reporting industry and the information they collect on all of us. Sadly, the light did not shine bright enough because I want to state for the record, there is no such thing as a free credit score unless you sign up for trials with online companies.
I want to stress again that there is no way to get a free credit score by simply going online. Why is this you might ask? This proves simple; if the credit bureaus continually gave out free credit report, they would be out of business. These bureaus will however, give you a credit score if you sign up for one of their credit services. They offer trials, so you can sign up for a program to see your credit score. You can always sign up for their “trials” to get your score and cancel the “trial”.
If you check your credit score, it will not reduce your score
When you get your credit score, the reporting bureaus will consider the transaction a “soft inquiry” and your credit score will not be affected. Your credit score is only affected when a financial lender performs a “hard inquiry” and this is crucial when they are making lending decisions. If you request your “score”, it will not hurt your credit rating at all.
If you need to get a credit report, you can obtain a copy from the bureaus individually from the government website called AnnualCreditReport.com. Back in 2003, FACTA passed into law that bureaus have to offer you a copy of your credit report annually upon request.
Check your credit score on a regular basis
It proves necessary to check your credit report on a regular basis. Your credit score is determined on equations made by each of the individual bureaus. The information they use in creating your rating proves more fundamental than anything else. Reviewing your report regularly is the best way to ensure that no matter what your score is, it proves true.
Check your report for errors
Millions of reports contain errors and inaccuracies, and this proves ample opportunity to improve your credit rating if you have not already attempted this feat. You can search for identity theft easily when reviewing your report because you can see your addresses and accounts. If you do not recognize something, you can always challenge it. This will take some time, but it proves worth it in the long run with having inaccuracies and errors deleted off your report or minimally corrected. Working with the credit bureaus to make your report an honest assessment of your credit report does not affect your score. The government website is the best way to go in obtaining a free credit report.
Beware of scams and companies who only want your credit card information
You will find that there are tons of generic credit scores offered by generic companies just trying to get your money. If you are planning on making significant purchases, you should check your FICO score which is the best reflective score of your credit report. The FICO score is the score that lenders consider in determining if you are a risk they are willing to take in giving you money.
Lenders will examine all three FICO scores from the three reporting bureaus when evaluating you for a loan. Some auto lenders sometimes will only use one FICO score in qualifying you for an automobile loan. The point is, it proves worth it in finding out the correct score that lenders view.
Conclusion
No matter what website you use in obtaining a free credit score and report, exercise caution of any website that advertises “free credit reports”. Many of these websites are only free for a trial period and then your credit card will get charged. Ensure that you always read the fine print on the websites before offering your credit card number. You also need to ensure that you do not purchase services that you do not want.
See FreeCreditScore.com and annualcreditreport.com