Checking your credit history and being aware of your rights is one of the most important steps as a borrower. It is recommended that consumers check their credit history minimally one time a year. The three main credit reporting agencies are Equifax, Experian and TransUnion. These credit bureaus are required to provide consumers with one free credit report each year.

Protecting your privacy is the single most important reason why you should check your credit report. Credit reports offer a great deal of sensitive information such as name, addresses; past and present, social security number, birth date and past and present employment information.    As a consumer you have the right to know who has requested your credit report.   Each time you apply for credit the lender may request a copy of your credit report prior to granting you credit.  Your permission is not needed for circumstances in which you are asking for credit.  If you have not given a party permission to access your report it becomes a matter of compromised privacy for you because they have access to your personal information.   Consumer surveys report that there are approximately 10 million victims of identity theft in this country each year.  Don’t be a victim of identity theft. 

You want to know who has checked or attempted to gain access to your credit report.  Privacy and identity theft are major consumer threats.  It is legal for lenders to check your credit report to approve you for borrowing.  It is not legal for other parties such as landlords, employers or insurance companies to gain access to your report without your written consent.  You have the right to know who has attempted to access your credit history.  When you request a copy of your report it should also contain the identity of all parties who have requested your credit report within the last six months. 

You need to ensure the accuracy of your credit report.  An inaccurate report can be the difference between getting approved or denied for credit.  Your credit report includes pertinent information about your personal credit history.  Delinquent payments, liens bankruptcies and outstanding debts are all listed on your credit report. Creditors that have granted you credit make regular reports to the credit reporting agencies that produce the credit report.  A survey conducted by a U.S. Public Interest Research Group (USPIRG) in 2004 found that there were significant errors in one in four consumer credit reports. Checking and correcting your report if necessary is your responsibility. It can be both frustrating and time consuming to correct the report, however unless you push for the errors to be corrected do the report may remain inaccurate and negatively affect your credit score. Ensure that your personal information is correct as well as your debts and borrowing history. 

It is important at to be an informed and aware borrower. What you don’t know about your report can hurt you.  Your report determines your credit worthiness in many circumstances in your life.  Issues or discrepancies with your credit report should be addressed immediately through credit reporting agency responsible for your report.