A credit report is a record of the history of your debt. It will list the number of times you have gone into collections, when your debt was charged off, and if you have settled your debt for less than what you owe.
When you go to check out your credit report, you will find that there are three parts to it. They are a Statement of Accounts (SOA), a credit report summary, and a Statement of Information (SIO). Your SOA will include information on every account that you have had for at least the past year.
The credit report summary will include all the items on your SOA and will not give the account number for each one. The credit report summary is helpful when you are making a decision on getting a loan or when you want to find out about possible bad accounts that you may have.
The last part of your credit report is the Statement of Information. This will tell you all the negative information about your financial status that the reporting agency has on file. It will list every late payment, payment late, and account that is in collections. This will help you understand what the agency has on file about you and how it is trying to get your finances in order.
Your credit score is based on how many points your credit report has. Once you find this out, you can go about making changes to your credit so that you can get a better score. Your credit rating can affect your ability to get a loan or insurance policy.
By going online and finding a good free service, you can find out where you stand and what steps you need to take to raise your credit score. There are many companies that offer free help with your credit and you should look for a company that is not the same as the one that offered you your first credit card.
After you get your credit report, make sure that you are keeping up on it so that you don’t miss any payments. Most companies will give you an annual copy of your credit report that you can go over with a pencil. This will give you a good idea of what your credit score is and how much you should be spending on your credit.
Be sure to pay off any accounts that you may have that will lower your credit score. Check for errors in your credit report and be sure to get the most from your credit report by paying your bills on time.