What to Look For in Your Credit Report

Your credit report is one of the most important financial documents tied to your name. However, many people don’t know what to look for in their reports. Familiarizing yourself with what it contains and common mistakes will help you identify problems sooner, so you can protect your financial reputation. 

Here’s what to look for in credit reports, and what to do if you find a mistake. 

What to look for in your credit report

Most consumers know that they can get a copy of their credit report. However, many people don’t know what to do with the report once they’ve got it in hand.

Here’s what to look for in credit reports so you can uncover problems and protect your financial reputation. 

Personal information to check

Start with the basics. Look over your name, Social Security number, and any other identifying information. Even simple typos in your name or date of birth can lead to reporting issues. 

Account information

Next, review all accounts associated with you, such as credit cards, loans, and mortgages. Look closely at:

• Account ownership
• Open and closed accounts
• Credit limits or original loan amounts
• Payment history and reported balances
• Account status

Late payments and high balances relative to limits can all negatively affect your credit profile. Make sure every account listed actually belongs to you. 

Public records and collections

After you’ve made sure your personal information is correct and reviewed the list of accounts, look over:

• Collection accounts from unpaid debts
• Accounts sent to collections that you already paid or settled
• Duplicate collection entries 

You may find that there are some outdated or inaccurate collection accounts that should no longer appear. Make sure to address these types of discrepancies, as they can have a huge impact on how lenders view your credit history. 

Hard inquiries

Hard inquiries appear when a lender checks your credit as part of an application for credit. While a few inquiries are normal, too many in a short period should raise a red flag. Look at:

• The date of each inquiry
• The company that pulled your credit
• Whether you recognize the incident

If you discover any unauthorized applications, it could indicate an attempt at identity theft. 

How to dispute errors

You can dispute mistakes by:

• Identifying the specific item that is incorrect
• Gathering supporting documentation
• Submitting a dispute to the appropriate credit bureau

Kikoff offers a free dispute letter generator that helps you address errors with each of the three credit bureaus. 

Why monitoring your credit score matters

Your credit score is based on your report. Monitoring your score can help you identify errors before they cause lasting damage. You can also track how making on-time payments and exhibiting good financial behavior impacts your score over time. Consider signing up for free credit monitoring to keep a closer eye on your score year-round. 

Best apps for monitoring your credit score

Now that you know what to look for in credit reports, here are some apps to help you monitor your score and stay apprised of your financial progress:

• Kikoff
• Credit Karma
• Experian
• Aura
• PrivacyGuard
• myFICO

When choosing an app, look for free access to your credit scores and a user-friendly interface. If you are going to pay for an app, make sure to choose one that supports your financial goals. 

Conclusion

Kikoff offers a free dispute letter generation tool for everyone. You can file a dispute electronically with TransUnion. You can also mail a dispute letter to Experian and Equifax. 

Additionally, Kikoff offers free debt negotiation on eligible debts and payment reporting tools. Ready to bounce back after a rough patch or strengthen your thin credit history? Use on-time payments to build credit with Kikoff.