Your credit report contains information about your past borrowings, bill payment history, bankruptcies, your address, telephone number and whether you have been sued or arrested. All this information is stored away in the computers of all the three major credit bureaus – Equifax, TransUnion, and Experian. These credit bureaus then sell this information to lenders such as banks, credit card companies, insurance companies and other financial institutions. Your credit report gives the lenders an idea of the amount of risk that they are taking and if it is financially feasible.
Your credit report includes important information that categorizes you and how you’ve paid your bills. At any time when you create a credit-based application, your credit report is evaluated to assist in making a decision. If, for some reason, your data is reported the wrong way, it could form the basis for which you can be denied for services for which you would have otherwise been accepted. That is why it becomes so important to check your credit report occasionally for mistakes
