Adverse Action Notice:
This is a notice that states that credit, insurance or any other benefit has been denied to someone on the basis of a credit report
Application scoring:
The use of statistical model for evaluation of credit applications.
Authorized User :
One who has the right to share a credit card but is not responsible for payments.
Beacon Score:
A credit score that is provided by the Equifax credit report.
Business Credit Report:
A report showing the credit worthiness of a business.
Chargeoff :
This is the balance on credit that is written off as bad debt by a lender when he no longer expects it to be repaid.
Co-signer or Co-Maker:
A person who signs a loan and is responsible for in the eventuality of the original borrower failing to make payments.
Consumer Reporting Agency (CRA):
A company that collects and maintains credit information. The three major CRAs in the United States of America are Equifax, Trans Union, and Experian.
Credit Bureau:
A company providing credit reports to members.
Credit report:
A report showing history of debts as well as current debts of a person.
Credit Score:
A number that represents the credit worthiness of an individual.
Credit Scoring Model:
The mathematical model employed to calculate credit score. This is generally kept secret.
Creditor:
One who loans money to someone else.
Debtor:
One who has borrowed money from someone.
Delinquent:
Failure to pay the minimum payable amount in time.
Dispute:
A dispute is raised when a consumer objects to something mentioned in his report.
Equal Credit Opportunity Act (ECOA):
Am act related to credit rating that ensures that consumers seeking credit are not discriminated against on the grounds of sex, race, age, and marital status. It also ensures that a person is not discriminated against because he/she receives public assistance.
Equifax:
A credit reporting company headquartered in Atlanta, Georgia.
Experian:
A credit reporting company headquartered in Nottingham, UK and Costa Mesa, California.
Fair Credit Reporting Act (FCRA):
An act that lays down rights of consumers related to credit reports.
FICO:
Credit report provided by Experian.
Federal Trade Commission (FTC):
A government body in the United States of America that regulates the credit reporting agencies.
Inquiry:
It is a list of people or entities that have requested the credit report of the consumers.
Identity Theft:
Identity theft takes place when someone accesses some else’s identity and access his credit reports through fraudulent measures.
Joint Credit Report:
Credit report that is prepared or two people jointly. Generally such reports are accessed by couples.
Manner of Payment:
Repayment pattern of credit.
Public Record:
Public record includes foreclosures, court judgments, and bankruptcies that are included in the credit report of a consumer.
Security Alert:
This is an alert provided on the credit report of a consumer whose identity has been stolen.
Security Freeze:
temporary suspension of credit report of a consumer who is a victim of identity theft or fraud.
TransUnion:
A credit reporting company headquartered in Chicago, Illinois.