Annual Credit Report Laws

The website Annualcreditreport.com reports that a credit file disclosure---better known as a credit report--details all of your information held by consumer reporting agencies that may be provided to a third party via consumer report. Mortgage lenders, auto financing lenders or credit cards may request a copy of your credit report to see if you are a credit risk.
Your credit file also lists all companies who have received copies of your credit report, certain medical information, pre-approved credit offers and credit and insurance company reviews. (References 1)

Free Annual Credit Report

Thanks to the Fair Credit Reporting Act (FCRA) , you are entitled by law to receive a free copy of your credit report from each of the three national consumer reporting agencies on an annual basis. The companies are Equifax, Experian, and TransUnion. You can obtain individual reports or all three reports at once by visiting the Annual Credit Report website. (References 2) Additionally, some states require credit reports be made available to consumers at no charge. These states are Colorado, Georgia, Maine, Maryland, Massachusetts, New Jersey and Vermont. (References 1)

The Federal Trade Commission says consumers should take advantage of the free annual credit report so they can fully understand their credit. You should review your report to ensure all information is correct, current and complete, especially if you plan to apply for a loan or a job. Credit reports also allow you to monitor if anyone has used your personal credit information illegally. (References 2)

Other Free Credit Report Requirements

The FTC notes that according to federal law, consumers are eligible to receive a free credit report if a company denies your credit application, insurance application or your employment application on the basis of your credit. You must request the report within 60 days of receiving notice of such an action; the notice will have all contact information for the credit reporting agency involved.

Other provisions entitling you to a free credit report include unemployment (as long as you plan to seek employment withing 60 days), reporting inaccuracies because of fraud or identity theft and being on welfare. (References 2)

Credit Report Disputes

The FCRA requires consumer reporting agencies and information providers to correct any inaccurate or incomplete information listed on your credit report. If you see an error, it is your responsibility to inform both the credit agency and the information provider in writing and request a correction.

Unless it can classify the dispute as frivolous, the consumer reporting agency must investigate your claim and submit its findings to the information provider. At that point, the information provider is obligated to investigate and review the information in dispute, then report back to the credit agency. If your dispute is successful, the information provider is required to notify all three consumer reporting companies. The credit reporting agency must then send you written results and a free copy of your credit report.

If your dispute is not successful, you may request that a statement of your dispute be included in both your credit file and with your future credit reports. If you inform an information provider that an item is under dispute, it must include that information when it reports to a credit agency. (References 2)