How to check my credit report?
Every one of us is advised to get our own credit reports at least once a year. This lets us know where we really stand and what we can do to improve our credit standing. But one of the questions that might be bothering most of us regarding this matter is "How often am I supposed to check my credit reports?"
As responsible individuals, we need to check this report to see whether our financial information is up to date and accurate. This is where a lot of agencies and employers refer to every time they do a background check so it might as well keep the information updated.
Why do I need to check my credit report?
In general, there are four reasons and situations that require us to check on our credit report.
One is when we're applying for loans, such as automobile and home loans. It significantly affects the decision of bank and financial institutions on whether they will approve or deny your loan. Lower credit score means lower chance of getting approved while good and outstanding score means greater chance of getting approved. As much as possible, get your report at least six months before the actual loan application so you can at least fix any errors and discrepancies on your information.
If you were denied of an application for credit card and loan, you might want to check your standing. Review the report so you can at least see that the disapproval on your application wasn't caused by any wrong information on this report. If ever there's any incorrect information, change and update them as soon as you can. And once your report has been corrected, decide whether you want to resubmit your credit card or loan application.
Meanwhile, you can also check your report if you're trying to fix your credit standing and plan to pay off your debts. This report basically has all your financial activities, including your loans and credit card balances, and this serves as your guide in fixing your financial and credit standing.
Check your credit report if you think somebody's trying to steal your identity and financial information. If you constantly get calls from unknown collection agencies asking you for payment on debts and other financial accounts that you did not apply for, there's a big possibility that somebody just hacked your accounts and has stolen your identity. If this happens, report it immediately to your credit reporting agency.
These reports are important in so many ways. So if I were you, I will check my credit report not just when I feel the need to. Checking on it at least once a year should be the first step to update any of your information and to know your credit standing.