According to the Fair Credit Reporting Act, all consumers have the right to request free copies of their credit reports every 12 months. This act was set in place to assist consumers as they try to keep their credit in good standing.
The Fair Credit Reporting Act is there to protect consumers, since all their private financial information is listed on their credit reports. Credit reports are sent to lenders and credit card companies when they need to evaluate your eligibility for a loan or for a credit card.
Consumers now have the freedom to see that information every year. A low credit score can impact one’s chances of getting a loan.
In order to protect the consumer, the Fair Credit Reporting Act was passed so that the consumer had the ability to change those discrepancies and fix their reports to reflect what is truly correct and get their credit scores raised.
When their scores reflect accurate information, their chances for getting the credit they need at a lower interest rate increase. To receive a free copy of your report, you can order it by mail, online, or by filling out a form that enables you to receive one free copy each year.
You will need to verify your identity. Don’t fall for websites that say they can get you a free copy of your report. Most of them are out to scam you.
Sometimes you’ll be required to enroll in some program or purchase some product in order to get the free copy. It’s best to deal with the credit reporting agencies yourself to receive your free copy by going to https://www.annualcreditreport.com/
After you receive your free copies, and make sure there are no mistakes, you can also sign up to buy a new copy in the next six months to make sure nothing changes by then.
The Fair Credit Reporting Act insures that only a certain category of agencies can request your report. Only lenders, credit card companies, insurers, employers and landlords can access your reports to determine eligibility for a loan, credit, etc. They can only request the report with your consent.
When you apply for credit or a loan, you sign your consent when you sign the application. Some employers also will request to see your report, and will ask you to sign the consent. Exercise your right today to receive a free copy of your credit reports.