The idea of saving money appeals to one and all. Not by cutting on expenses but by paying less – fabulous isn’t it? Well if you have to pay less on your mortgage interest then there is definitely more for you to keep. Now the question is how is it possible? The answer is simple, keep tab on your credit by getting your credit card report. Three little number on your credit report could end up saving you thousand of dollar so monitoring your credit score enables you to stay on top of your credit on daily basis. The best source of getting your credit card report is http://freecreditreport.com.
Freecreditreport.com is part of Consumerinfo Inc, an Experian company. ConsumerInfo has been providing us with easy, quick and inexpensive access to our credit histories since 1995. Now it is the top-most provider of credit scores, consumer credit reports, credit monitoring, credit score and other information related to credit. Currently they are providing credit information to over 3.1 million members and have provided over 20 million credit reports to the members online. The membership of the company is growing everyday and they strive to develop innovative products to help people better understand their credit.
Contents of the Credit Report
Listed below are inclusions and exclusions of the free credit report.
The following information is included in the credit Report:
- Personal Information – This includes personal identification like social security, name, address, date of birth and employment history.
- Credit History – This forms the integral part of the report. It lists the different credit accounts in the name of the consumer. Information related to when the account was opened, if the payment terms were adhered to by paying on time and how much of credit limit was offered.
- Public Records – Such information appears on the report for 7 years! They include information obtained from Government offices and contains many behavioural details like child support payments not made on time, bankruptcy and if that led to a lawsuit.
- Inquiries – Due to a mandate by the FCRA the consumer can know of parties/agencies who had obtained his/her credit report. Such parties are those who provide service, lend credit, provide insurance etc. Information retention period (on the report ) is 2 years.
Credit score is not included here but computed from information from the report. Bank account details, criminal records and medical history are other exclusions.
Retention period for negative information
The consumer must be watchful that all negative information, that are more than 7 years old, do not appear on the report. It is only bankruptcy related information that remains to haunt for 10 years with the exception of chapter 13 bankruptcy that remains for 7 years from the filing date.
Determining the credit score
A credit score is a value that determines the financial credibility of a consumer. It essentially means if a credit is given to a consumer how well he/she will pay it back. The following parameters are used to arrive at the credit score:
- Unpaid amounts
- If payments were made on time
- Credit types availed
- New loans/credits
- Duration of the credit history
Factors affecting Credit Score
It will be interesting to know which factors boost the credit score and which ones pull it down.
Positive actions are:
- Paying ALL bills on time – every time. Any defaults can lead to high unfavorable impact. Missed payments should be cleared at the earliest.
- Minimum number of applications and opening minimum number of new credit accounts.
- Maintaining a low balance on the credit card.
The negative influence on credit score are
- Having too many credit cards for increased borrowing capacity is unwarranted. This is detrimental to the score.
- Closing an unused credit card -it does not increase the score.
- A new card user should not open or apply for too many card accounts.
Models for determining credit core
Different agencies use different models for arriving at the credit scores. For example Experian uses a number in the scale of 330-830. It is designated as PLUS scores by Experian and a value of 799 is considered excellent for the consumer.
How to get your credit report through freecreditreport.com?
You can get your free credit report either online or order for one over the phone.
The consumer needs to go to the site http://freecreditreport.com, there you need to setup an account by providing personal, contact and other information to verify your identity. Freecreditreport.com offer different services like getting your credit report and score instantly just by paying $1 dollar. Non members can also request a credit report which is delivered in a couple of days, free of charge.
The consumer may ask for the reports through their toll free number 1-877-481-6826.
Free Credit Report – other facts
- When members request for the report for $1, it begins their free trail for 7 days. After the 7 day you’ll be billed $19.19 per month to keep your membership active. You can choose to deactivate the membership anytime.
- Free credit reports take 2 days to be delivers while the online reports are available to the members instantly.
- This report should be reviewed for protection against identity theft. Any suspicious activity mentioned in the report should be notified to the credit bureau as well as to the company that provides the information for the report.