Credit reports contain private information including current and past loans, credit accounts and any potentially outstanding accounts. It is important to know who can access that information. The Fair Credit Reporting Act enforced by the Federal Trade Commission states who has legal right to access your credit besides you.
Insurance Companies
When purchasing insurance for home, renting, vehicles or life, the issuing company has the right to pull your credit to gauge your ability to pay the premiums.
Property Management
Landlords will often examine credit reports for any adult requesting to live on their property. The information they receive can affect security deposits, lease agreements and their ability to even rent an apartment or house.
Employers
When applying for a position or a promotion within a company, a credit report can be ordered. It is important to know that employers cannot order a report without your permission first.
Credit Card Companies
Credit card companies evaluate credit scores when issuing a card and typically when a payment has been missed. Your credit score will determine the interest rate of the credit line.
Banks and Credit Unions
Some financial institutions require a credit check before issuing a debit card tied to your checking account. In some cases, a credit report is secured when evaluating an individual's request to simply open an account.
Warning
Remember to watch your own credit, ensuring all information is correct. To order your free credit reports yearly, visit annualcreditreport.com.
0 comments:
Post a Comment