The credit report is a total collection of all the information on how you handle debt. This includes information about the debt that has gathered, the ways you pay the bills, your living address, the address of your work place and whether you have ever had a house or vehicle repossessed.
These credit reports include quite a bit of information and are handled by companies referred to as credit reporting agencies. Companies that you do transactions with usually send information about your debt to these agencies and the agencies then update this information on the credit report; in most instances it is on a monthly basis. Certain types of businesses do not update the report with the monthly payments but are known to inform the agencies if you do not pay the bills for a long period of time, the end result being that, it would be noted on your report as a debt collection Melbourne.
If you have not guessed already credit reports include a wide range of information about yourself. They include basic information like your name, location of your living space and where you work to circumstantial details about your credit cards such as the balance, credit limit and loan details like the payment history. Credit reports also allow you to look for any signs of identity theft and offer records of bankruptcy and repossessions. They also include an index of all the companies that have checked the history of your credit report. Companies check an individual’s credit report for a variety of reasons like checking your eligibility for an application you might have sent in or for some kind of promotion.
It is recommended that you check your credit report regularly (at least once a year) to ensure that the information included in your credit report is accurate and up to date. Of course if you are trying to repair your credit of considering the chances of applying for a loan you might have to check your credit report on a more frequent basis.
The credit report possesses a great importance in many aspects. Banks pay close attention to your credit report before they approve any credit card applications, loan applications and even for things like mortgages and loans for vehicles. Homeowners take a good look at the credit report before they make their minds up on if they want to rent you the house or not. Certain employers are known to check such reports during the hiring process. The credit report is the only form which contains your credit score which is a score that lenders sometimes use instead of the report.