Are you interested to learn more about the details found in your annual credit report? If you are then, join us as we take a closer look at your credit profile.
The 4 Sections of Your Credit Report
Your credit profile is sub-divided into four important sections, namely:
- Your personal or identity information. This section contains details about you, particularly your name, home or office address, phone number and/or email address, as well as your Social Security Number. It is very important that you pay close attention to the information found in this section. After all, a single error in your name or contact details as well as in your Social Security details can cause you serious problems, later on.
- Your credit history. The second section of your credit profile is your credit history, which contains information that will surely be of great interest to your prospective lenders and card issuers. Why? Well, it is usually comprised of the credit accounts you possess, your unpaid debts, the payments you have submitted to your creditors, the spending limits or caps imposed on your credit card accounts, etc.
We usually advise our readers to scrutinize all the items found in this section of their credit reports. That way, they can immediately dispute inconsistencies and/or inaccuracies in their credit and payment transactions, which might cost them, not just their good credit standing, but also the excellent financing offers they might receive from credit agencies, nearby.
- Public records information. In most cases, it would be best not have any items in this section of your credit file. After all, public records entries such as bankruptcy, foreclosure, tax liens and even court judgments can inflict severe and long-term damage to your credit profile.
- Inquiries. This section usually contains inquiries made by credit card agencies and lending firms on your credit report.
To maintain a good credit standing, it would be best to keep the number of inquiries made on your credit report, minimal. To achieve this goal, we advise you to set a limit to the number of credit programs you will apply for and manage, in the coming months.
Some Last Minute Reminders
- In case you encounter suspicious items in your credit report, such as fraudulent and unauthorized charges, we advise you to contact the three major credit bureaus and request either for credit fraud alert or for credit freeze. This way, you can prevent unauthorized parties from using your credit and personal information for their personal gain and you can avoid being held accountable for transactions you never made.
- Make it a habit to pull out copies of your annual credit report, at least every six months. That way, you can closely monitor your credit and payment activities, as well as your credit rating.
Be ready to write and send follow-up letters of credit dispute, in case the credit reporting agencies – TransUnions, Experian and Equifax – fails to respond to your original letter. Keep in mind that the three firms receive thousands of letters, on a daily basis, and that there’s a huge chance that your first letter might get lost or misplaced.