?How to Use Free Credit Reports
The Federal Trade Commission has always had to listen to consumers complain. A few years back, those complaints rose to a roar when consumers who were responding to an ad for a free credit report found themselves enrolled in a monthly service. The FTC stepped in and amended the Fair Credit Reporting Act to require each of the three national consumer reporting companies - Equifax, Experian, and TransUnion - to provide each consumer with a free credit report every 12 months.
There are many websites that advertise free credit reports if you agree to test out their services. The only place online where you can find a truly free credit report is the American government's website, www.annualcreditreport.com. You can apply for you free credit report online, by phone, or by mail.
Although these credit reports that have been apportioned for consumers by the federal government are completely free to use, a rather large number of consumers fail to avail themselves of this service. Since it does take some time to fill out a request form and send it in, some people don't want to take the time to do it. Other people, though, simple are not aware that they can get a credit report for free.
In order to stay on top of your credit, you should get a credit report once every four months. This schedule works out well with the arrangement that has been established by the US government. Since each of the three national credit reporting agency is required by federal law to give consumers a free credit report once a year, you can request one from each agency every four months and thus maintain a watchful eye on your credit without having to pay anything.
Beware of the extras that they will offer you when they get ready to send you the free report. Each company wants to make money, so they will provide you with a chance to sign up for a credit score, a monthly service, or other amenities. It is not necessary to have any of these things to keep an eye on your credit history.
Knowing your credit score is not necessary if all you want to do is check on your credit history. It is good to know, however, if you are interested in applying for a loan sometime soon. If your credit score shows up low for some reason, you will be able to prepare an explanation to the loan officer that you will speak to regarding why your credit score was low and what you have done to change your financial situation.
Credit watch services can also be beneficial to some people. For example, if you are concerned that your current or former spouse is causing damage to your credit score or if you are worried that your identity will be stolen, credit watch services will help you stay aware of what is happening with your credit.
Remember that you can indeed receive a no strings attached, absolutely free credit report online at www.annualcreditreport.com.
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Debt consolidation is an effective way to pay off debt faster but it's not right for everyone. Find out more about when you should and shouldn't consider consolidating your debt on the Inside Debt Consolidation website at http://www.insidedebtconsolidation.com
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