Did you know there is a federal law that gives you the right to receive a free copy of your credit report? Your credit report matters. Since COVID, credit reporting companies have been offering you access to free credit reports every week on AnnualCreditReport.com. You can receive free weekly credit reports through December 2023.
A lot of companies promote free credit reports, but the official website to get your free credit report is AnnualCreditReport.com . This website supports the federal law requirement to give consumers access to their credit reports every year.
How do you get free credit reports?
Visit AnnualCreditReport.com to get a free copy of your credit report. The process to get your free credit report is quick and easy. Check out my blog post, How to Pull Your Free Credit Report in 5 min or less, for step-by-step details.
Why should you check your credit report?
Your credit report does not have your credit score in it. However, you will be able to see your credit history that lenders and businesses have reported about you. Credit reporting bureaus use this information (e.g. payment history, account balances, account status) in your credit report to calculate your credit score.
That’s why it’s important to review your credit report for accuracy. Here’s a throwback video with 5 Reasons to Check Your Credit Report:
What’s good credit?
Your credit score is a three-digit number that tells lenders and others inquiring about your financial history your creditworthiness. This is calculated based on a special credit scoring calculation formula, which varies across credit reporting bureaus. So your credit score is usually different across the three credit reporting companies (Equifax, Experian & TransUnion).
A credit score of 700 or higher is typically considered a good credit score. Experian’s article “What is a Good Credit Score?” offers you more insight into credit scores.
How can you improve your credit?
The biggest factor in your credit report is whether you pay on time. Paying your bills on-time will help your credit score. You also want to manage the amount of credit you use. Buying what you can afford to pay off every month is a good financial habit for credit card debt management.
However, maxing out your cards (spending close to the full credit limit) every month and paying very little on it could negatively impact your credit score. Got bad credit? Here are 5 Steps to Improve Your Credit Score.
