Q and A
Obviously the concept of credit is based on a consumer’s
reputation in remitting bills in a timely fashion. The
way a consumer has demonstrated the remittance of debt,
determines the consumer’s ability to qualify for
approval for future financing or material goods. For
instance, most consumers put their credit in exercise
to obtain a vehicle loan, apartment leasing agreement,
or student loan to pay for make a payment.
Does credit vary from one credit reporting agency to
Short and simple, the answer is an unequivocal - yes.
As many national lending institutions convey consumer
credit data to all credit reporting agencies, certain
smaller credit grantors or financing firms may report
credit to only one agency. As a result, a credit report
may vary from one credit bureau to the next.
On the other side of the spectrum, if a consumer employs
credit daily, there may be certain number of unanswered
questions about the way the credit industry works. Review
the most frequently asked questions regarding credit
reporting and tracking systems.
Precisely, what is a credit report?
In essence, a consumer credit report is verisimilar
to a credit report card – per se. It contains
an individual's financial credit payment history. By
law, financial institutions are authorized to review
credit report to decide whether or not to grant credit.
What data, details and information is contained in
the credit report?
Basically, a consumer’s credit report includes
four categories of information: the consumer’s
identifying data, credit information/history, inquiries
and public record information.
Specifically, what is the purpose of a credit bureau
and how do they profit reporting consumer’s credit
Most credit reporting agencies or bureaus collect,
sustain, and sell consumer information and credit history.
The financial information is compiled regarding a consumer’s
payment patterns from finance companies, banks, savings
and loans, credit unions, retailers and others. Credit
reports are sold by the agencies to lending institutions
or creditors determining to grant credit approval.