Financial WellnessManaging Your Credit
Credit is money available for a person to borrow. Credit plays an important role in our lives. We may want to make future large purchases, such as a home or vehicle, and may not have the available cash. In addition, renting an apartment, obtaining insurance or applying for a job may require your credit history to be pulled. Without credit, it can make some basic things more difficult. Credit cards are one way of building good credit, if used correctly.
All About Credit
What is a Credit Report?
A credit report is a record of your personal credit history. A credit report contains information about your borrowing history and is created by a credit bureau. A credit bureau is a company that collects your payment history from creditors, lenders, utilities, debt collection agencies, and courts. They report how much you’ve borrowed, how you’ve repaid, and other details about your borrowing behavior.
Where can you obtain a copy of your Credit Report?
- Equifax: www.equifax.com
- Experian: www.experian.com
- TransUnion: www.transunion.com
- A free credit report is available through www.AnnualCreditReport.com
What is on my Credit Report?
Your credit report will include personal identifying information such as your:
- Personal Information (name, social security, address)
- Public record information (bankruptcy, liens, etc.)
- Accounts Summary/loans (outstanding balances, credit limits, payment history)
- Employment history
- Negative Items
It may also include a FICO® score. Your three-digit FICO® score ranks you based on the risk involved in lending you money.
This is the breakdown of factors that determine your credit score.