Check Your Credit Score Before You Need It

Credit score is a critical matter that can have an impact on your future financial plans. However, a survey by Consumer Reports reveals that half of the Americans don’t check their credit reports to ensure whether it is accurate. Surprisingly, errors are quite common when it comes to your credit score.

A survey conducted on 3,000 Americans revealed that around 20% found errors on their credit report that lowered their credit score. Errors in your credit report can lead to losing a good interest rate on a mortgage, apartment rental as well as your job. This is why you should check your credit report before you need it to secure a loan, purchase a vehicle or get a new job or mortgage. At RMCN, we recommend that you check your credit report at least once in every 12 months.

Reading your Credit Report

The most crucial step is to read your credit report accurately to understand if there are discrepancies hurting your credit. Here are a few sections of your report you need to review closely:

I.D. Section-The I.D. Section of the credit report contains your name, address and all the other identifying information that has been reported by your creditor.

Credit history – This section provides you with detailed information about the open and closed accounts that you have.

Collection agency accounts - It provides you information about the accounts that your creditors provided to a collection agency.

Courthouse records - It consists of public record items that have been obtained from local, state or federal courts.

Additional Information – This section mainly consists of previous addresses and employments as reported by the creditors.

Inquiry section - The last section consists of the list of businesses that have received your credit report in the last 24 months.

Name and address of the office- The right hand corner of your credit report consists of the name and address of the office handling your report.. Keep this information in case you have questions or disagreement with your credit report.

By analyzing the above sections thoroughly, you can identify inaccurate information that may exist on your credit report. At RMCN, we provide customers with a free credit report check tool online. Visit our homepage and complete the form online for your free credit report evaluation.