Credit Bureaus

There are three major credit reporting agencies. They are in the business of collecting and distributing credit histories on all Americans. If you're an average American, it is very likely that these three credit reporting agencies keep your credit history. They are competitors, which means that each company has a different version of your information. This means that it is necessary to obtain reports from all three companies, and this way, you can be sure that none of them has erroneous information in their files.

A credit reporting agency will supply the on-line credit report with your credit history and personal information. Credit reporting agencies operate on a profit basis and charge a fee whenever your credit information is sent out. This occurs whenever you complete a credit application for a loan, mortgage or major purchase.

The largest of the credit reporting agencies or credit bureaus are: Equifax, TransUnion and Experian. There are many other credit reporting agencies, such as: check acceptance and verification credit bureaus like Chexsystems, Certegy and Tele-track. Some others include tenant screening agencies and the MIB. All must comply with the law. When they don't, a consumer can enforce their rights.

One of the most important laws protecting your identity and credit information is the Fair Credit Reporting Act. Its purpose is to promote the accuracy, fairness, and privacy of the information collected and maintained by credit reporting agencies, the FCRA gives you specific rights:

You must be told if your information is used against you. If you are denied credit, employment, or insurance because of information in your report, the denying party must alert you and provide you with the name, address, and phone number of the credit reporting agency used to support the denial.

> Upon requesting a credit report, a credit reporting agency must give you the information in your file and a list of everyone who has requested it within a certain time period. There is no charge if you have been denied credit, employment, or insurance because of items in your file (if you make a request within 60 days).

> A credit reporting agency must investigate items that you report as inaccurate. You will receive a full copy of the investigation report. If the dispute is not settled to your satisfaction, you may add a statement to your report.

> Inaccurate information must be corrected or deleted. Credit reporting agencies are required to remove or correct inaccurate or unverified information. They are not required to remove accurate data unless it is outdated.

> Whenever you apply for a loan, a mortgage or a major purchase this information is submitted to the reporting agencies. If you used a different address then the reporting agencies would record that as if you have moved. Any inaccurate or misinformation must be reported to the credit reporting agencies so that your credit report can then be adjusted to reflect these changes.

Equifax, Experian and Trans Union are established in Alabama, Alaska, Arkansas, California, Colorado, Connecticut, Delaware, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington, West Virginia, Wisconsin and Wyoming. Beyond having on-line access you can also visit your local office.

Credit reporting agencies provide an important service. They are required to maintain a standard that is very high and this can be a source of assurance for the consumer. The consumer can rely, with confidence, on the efficient way that their credit records are being dealt with by the credit reporting agencies.

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