Credit reporting services provide an individual with their financial information, such as credit scores and history. In order to obtain an individual’s credit report, one generally needs their Social Security Number, birth date, full legal name, telephone number, and credit card/debit card number. Most credit reporting agencies operate internationally and are quickly expanding in developing markets in Asia, Latin America, and Africa. The US, the UK, Germany, Australia, and Japan all have well established credit reporting systems…
The Fair Credit Reporting Act (FCRA) was enacted by the Federal Trade Commission of the US. This act establishes the FACT Act, which oversees the three major credit bureaus. The FACT Act states that the bureaus must provide consumers with accurate and comprehensive reports that are free from errors and omissions. According to the FCRA, these agencies must investigate the accuracy of a consumer’s information and correct any material misstatements within 30 days. The FCRA also requires the bureaus to allow a consumer to make one initial inquiry about an item and then allow the consumer to obtain at least two other statements, each of which can be analyzed for accuracy.
As stated before, most US residents will only need to obtain their own personal information from one of the nationwide business credit reporting agencies. These large credit reporting services operate through a centralized office that does not provide consumer reports to individual consumers. Instead, business credit reporting services are required to provide you with a copy of your report from each of the nationwide bureaus at no charge. This is one of the benefits of using a nationwide business credit information provider.
The four major credit bureaus are TransUnion, Experian, Equifax, and Callaway. Each of the bureaus allows the consumer to obtain their credit reports online, by mail, or by phone. However, because credit reporting services are run for profit, each of the bureaus often sell consumer information to other businesses. These businesses sell the consumer’s information to the highest bidder, whether it be a debt collector, a lender, or anyone else.
One of the major credit reporting services that sell consumer information is a collection agency. Debt collectors and creditors purchase delinquent accounts from the major credit reporting agencies in exchange for a percentage of the delinquent balance. When delinquent accounts increase in balance, creditors and debt collectors turn to these agencies for repayment options. Creditors may request that the credit reporting agency provide them with the full name, address, social security number, phone number, etc of the account holder. They may also request copies of credit card statements for each of the years the account was active.
Many consumers find it helpful to check their credit reports at least once per year. If you find that you have any negative items on your report, it is wise to dispute them immediately with the credit reporting agencies. If you receive no response from the agencies within 30 days, it is time to act. You can dispute inaccurate or incomplete data with the appropriate agency. In addition to fighting inaccurate information, you can also improve your good credit rating by paying your bills on time and repaying your debts promptly.
There are also companies available online who specialize in helping consumers remove negative items from their credit reports. They do this for a fee and usually have higher costs than the major credit reporting agencies. However, it is usually less expensive than actually going to the bureaus and making corrections or making changes to your personal information. There are a number of such online agencies.
Some companies provide detailed information about every credit bureaus and the laws governing them. For more in-depth information about each credit bureaus and how to obtain their free annual credit reports, it would be best to contact the individual credit reporting agencies directly. Although some companies do provide information online, most companies prefer to deal with individuals by phone. A number of financial companies have websites where consumers can obtain additional information. If a company’s website does not provide information, then it is likely that they receive little to no customer service support.
