An annual credit report needs to be furnished when applying for a loan, mortgage or a credit card, since it helps to determine the credit worthiness of the applicant. An annual credit report request can be made to different credit bureaus online as well as via phone or mail. You are also entitled to free credit reports from the three major national bureaus, Equifax, Experian and Trans Union, once a year, under US Federal Law.
How to Make an Annual Credit Report Request
To process your annual credit card request you will be required to furnish various specifics, including:
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Name
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Current and previous addresses
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Telephone number
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Social security number
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Date of birth
In order to verify your identity, you will be required to provide copies of various documents, such as bank statement, driver's license and utility bill(s).
You can put in your annual credit report request at www.annualcreditreport.com, which is the only site authorized to provide free credit reports.
Annual Credit Report Request: Issues
Although making an annual credit report request is beneficial and convenient, it is not sufficient. A better alternative is to request for a credit report every few months or every quarter. Such reports help to update the current credit status more comprehensively as well as reduce the possibility of errors. If errors are identified late, they could cause greater damage and also take a longer time to be rectified by the credit reporting company.
Another issue with the free annual credit report request is that such reports do not provide the credit score. A credit score determines the credit worthiness of an individual. If this numerical value is high, an individual can obtain credit more easily as well as qualify for lower interest rates. Hence, individuals have to put in separate requests for obtaining a credit score. Different credit bureaus use different scoring models. The most popular credit scoring method is the FICO Score, ranging between 350 and 850.
Finally, bear in mind that the three major bureaus might not necessarily share information. Hence, your credit report content may be different with each one. Therefore, it is advisable to make separate annual credit report requests at each bureau.