Should I get a credit report?
There is a very important reason you get a credit report
before making a major financial decision. Credit reports
seem to be getting a lot more publicity than they used
to. There are commercials on TV and the Internet advertising
instant credit reports. Most say the service is free,
but it is worth noting that many of these companies
require a person to sign up for a trial period of their
other services in order to get the report. There is
a reason for the credit report's rise in popularity.
Sadly, that reason is identity theft. In the past, the
idea of having one's identity stolen seemed like the
plot to a farfetched movie, but in recent years it has
become a growing problem. One important reason you get
a credit report is so you can make sure that all claims
are legitimate. Getting reports on a fairly regular
basis will allow people to keep track of their credit
scores and make sure they have not changed unduly.
The Reason You Get a Credit Report when Applying
for a Loan or Credit Card
It can be a very good idea to get a credit
report before applying for a loan or credit
card. If a person finds that his credit score is low,
his options will most likely be different than those
of a person with great credit. There are credit cards
that do not require good credit and there are loans
that someone with bad credit can get, as well. If a
person knows ahead of time what he is most likely eligible
for, it will save time and it might spare him from having
his application rejected.
There Are Resources! There are professional
credit counselors that will go over credit reports with
people. The counselor can do a borrowing power analysis,
which will give a person some idea of what rates he
would have to pay on a loan. The counselor can also
do a step-by-step breakdown of the credit report, so
clients know exactly what they need to do to improve
their ratings.
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