While there is only one website that is authorized to give you your free annual credit report and that is www.annualcreditreport.com, there are many services that claim you can get your free credit score through them. However, today all of them must make you aware that the only way to get your totally free credit report is to visit the above mentioned website. Most of the other sites want you to purchase one or more of their products or services. This is not always a bad thing as some of the credit products and services being offered can be quite useful.

Where to Start Looking for Your Free Annual Credit Score

Obviously, we have already covered www.annualcreditreport.com as being an option. However, if you are interested in other features such as credit monitoring or would like to have continuous access to your credit score or report then you should think about purchasing a plan which would enable you to do so. The best thing to do is do a Google search and look for a number of different credit report products and services as well as the sites offering them. Read user reviews and research each service carefully before giving out your credit card information. Many of these companies will offer you a free credit score or free annual report just for signing up for a trial membership. If you cancel before your bill becomes due then this is one way of doing it.

Free Credit Score and FICO

Unfortunately, there is noway to get your free FICO score. Your FICO score is your official credit score and the only place to get that particular score is to visit the FICO website. Any other free credit score you are getting will more than likely not be the genuine FICO. Always keep in mind that most lenders will be reviewing your true FICO score and not the score you are given with the three reporting agencies. Your FICO score plays a major role in your ability to have credit extended to you so it is vital to also pay attention to that as well as requesting your free annual credit score from the three credit reporting agencies. For more information on your FICO score you may want to check out myfico.com.

Applying for a line of credit is one of the simplest ways to get a free credit report. Apply for a credit card or loan and then if you are turned down for some reason, this automatically entitles you to request a free credit report. You are entitled by law to an explanation as to why your loan or line of credit was denied and usually within about 30 days of being denied you will get a letter with instructions on how to ask for your free annual credit score or free credit report. Be cautious not to do this too often as each time your credit is pulled during a loan application, negative points appear on your overall report and this is never a good thing.

A credit report generally includes things like accounts which have been closed, delinquent accounts, accounts which are in collections, settled accounts, items that have been left with a negative balance and a number of other things. Many people are shocked to see the things that are included in a credit report. There are also some public records such as home foreclosures, car repossessions, rental evictions and things of that nature which will show up on a credit report from time to time. Many people have to ask,”What is a credit report?” because they really have no clue and are often left with many questions.

Credit Reports Explained

In order to understand the information contained within a credit report it is important to understand and be fully aware of what is a credit report and how it affects you. There are three main agencies which report credit. These agencies are called TransUnion, Experian and Equifax. Companies and businesses that you deal with send those agencies a variety of information. Even payments you have made yet made late are often reported to these agencies. Late payments are almost as bad as not paying at all as they will cause your report to look worse. For example, when you are paying off a car you have received financing on, each payment will be reported to the credit reporting agencies. If your payments are always on time this is a good thing, if they are not then obviously this is a negative item.

What If an Item is Incorrect or False?

You always have the right to request an item that is found on your credit report be investigated. Identity theft and errors on credit reports are not uncommon. The first step is to get your credit report and go over it line by line. If you notice something is there that should not be, such as an account you have settled that is still showing a negative balance then you should bring this to the attention of the credit reporting agency at once. In addition, if you notice something that you had nothing to do with or no recollection of you should report this as possible fraud and have the matter looked into. Sometimes mistakes or fraudulent items will take some time to get resolved so the sooner you alert someone of the problem, the faster you will have whatever the item is taken care of.

If you have often wondered “What is a credit report?”, hopefully we have helped to answer your question here. For more information on credit reports and how they work you can always contact one of the three credit reporting agencies to ask them for further guidance on the matter. Just remember that your credit report is what people look at when they want to know what your history is in terms of how you make your payments and whether or not they are made in a timely manner.

History of Credit Reports

Most people know what a credit report is and what it is used for but not many know anything about the history of credit reporting. It is like anything else, you know it exists, you deal with it all the time but you have no idea where it came from, who started it or even why. One thing is for certain, credit reporting has been around since long before most of us were born.

When Did It All Start?

Credit reporting was begun well over one hundred years ago. While it is not clear exactly who started it or where it began, the basic premise was the same as it is today. Way back in the mid to late 1800’s a series of merchants began moving from one merchant to the next taking a list about customers each one was doing business with. These notes were fairly simple and would say something like, “He always pays on time” or “He is never on time with payments and still owes me money.” This information was then stored at a credit reporting central location and each time a new customer would come in asking for a line of credit or a tab, this information could be obtained by the various merchants.

Modern Technology Continued to Make Credit Reporting Easier

When the computer came into play, somewhere in the 1960’s and 70’s this is when things became much more official. The only things that were included in credit reports were actual facts about payments and so forth. No longer were personal comments made about consumers and information began to become much more private, with many more requirements put in place as far as who could access the information. The age of the computer for personal use would not come for several decades but this began a brand new way of credit reporting and consumer affairs. Now information from one state could easily be passed on to a financial institution in another state, making evading financial responsibilities much harder.

The FCRA- Fair Credit Reporting Act

‘In the year 1970 the FCRA was enacted as the very first law ever to regulate consumer credit reporting. This law covered credit reporting, criminal background information and a number of other items. This law now specifies who is privy to certain information, the types of consumer permissions necessary in order to obtain the information and also who the information can be shared with. In addition, this is the law that governs over the three different credit reporting agencies we have today, Experian, Equifax and TransUnion.

Aside from the laws stated in the FCRA, there are also a number of varying rules and regulations that change from state to state in terms of credit reporting laws. Some states have a different set of guidelines than others. In order to find out if there are any special credit reporting laws in the state you live in, you would be best to check with your states official website or research the matter online.