A Credit Report is a comprehensive summary of a person's credit history prepared by a credit reporting agency. It outlines the individual's financial background and helps potential lenders and credit card companies to see how you have managed to repay debt in the past. Prospective creditors and financial institutions you want to work with can assess this document to establish your creditworthiness and learn about your payment history before signing any contracts or allowing you to access their funds.
This document can be useful not only for individuals but also for entrepreneurs - if you are a business owner and you want to sign mutually beneficial agreements with other entities, you can request a Business Credit Report to let them see your good credit score and be sure it is safe to work with you. Note that the odds of striking a deal with a business partner will be even higher if you ask a company that has worked with you for a recommendation using a Credit Reference Request Form.
You may download a Credit Report template via the link below.
Follow these steps when analyzing a Credit Report you receive from a credit reporting agency:
Every year you may receive a free Credit Report from any of the top credit reporting agencies - Equifax, Experian, or TransUnion. Since the credit information differs from agency to agency, it is recommended to request all three scores from these credit bureaus - if your credit application is denied because one or two of the reports contains a bad credit score, you may try to negotiate with the prospective creditor and still get the funds you need asking them to base their decision on a more favorable credit score you have received from another credit bureau.
When you check your annual Credit Report, you will find out all the available information about your credit accounts to be able to preserve your credit or improve it if necessary before securing a loan or submitting a Credit Application Form. Carefully scan all the details in the report - common mistakes include an error in the name or address, a miscalculation in the account balance, or the addition of accounts that do not belong to you.
If you have noticed a mistake in the Credit Report, do not worry - you have a right to contest the information that should not be there. Here are the measures you can take to obtain a correct and complete copy of the Credit Report Form:
If a financial institution has requested Credit Report details from the credit reporting agency to know whether it would be the right decision to issue a credit card in your name or lend you money for real estate, it constitutes a credit inquiry. The impact of the inquiry will depend on your credit history - if you have had a bank account for a short period of time or there have been numerous inquiries already, your credit score will be lower.
In case you applied for credit, a credit bureau will help the bank with a hard inquiry - the potential creditor will be provided with a full credit report and the inquiry will remain on the report for two years. However, a soft inquiry - initiated by a company that sent you a credit card offer or an employer who wants to see your current accounts - will not influence the credit score and will not be included on any credit report in the future.
Still looking for a particular template? Take a look at the related templates below: