Credit Rating Blog

Let’s discuss the Fair Credit Reporting Act (FCRA). This act requires that the big three consumer reporting agencies in the U.S. provide a free credit report to any U.S. citizen that requests one at least once a year. This is enforced by the Federal Trade Commission (FTC).

It is important for you to know where your credit stands for multiple reasons even if you think you’re OK. Sometimes, no matter how vigilant you are, you may miss a payment, whether it be an insurance payment, medical bill, cell phone, credit card or mortgage, it can affect your credit report. According to the FTC, here is why you should check your credit report [to]:

- Make sure your information is accurate, complete, and up-to-date

- Help guard against identity theft. That’s when someone uses your personal information in a fraudulent fashion

It is especially important for students to understand that they have this right. Proper credit knowledge is essential to learn while students are attending college, especially since they are learning about spending money, applying for loans, and setting a budget for themselves. The free credit reports can help them learn where they stand and put them in touch with their financial history.

It’s important to know your credit rights today. Check out ftc.gov for more information.