Obligation Reduction

Consumers seeking access to personal credit information should know that copies of their credit reports are available to them for free. Yes, thanks to legislation passed by the U.S. Congress and signed into law by the president, you can get your credit reports for free. Please note that there are some caveats involved with this legislation and some people will attempt to charge you regardless for what is free, so please keep reading for information to instruct you on exactly what to look for.

Fact: Three credit reporting agencies exist that have important personal information about you; information that could spell the difference between receiving credit or not.

Fact: The three reporting agencies are - TransUnion, Experian, and Equifax.

Fact: You are entitled to one free copy of your credit report annually. Each credit reporting agency must supply a copy upon your request. So, you can get as many as three credit reports for three each year.

Fact: Only one web site meets the Federal Trade Commissions approval when it comes to releasing credit reports for free. You can access that site at AnnualCreditReport.com

Fact: If you want to learn your credit score, that cost is extra. For a small fee you can obtain your credit scores at the same time you are seeking your credit reports.

Some companies also pitch free copies of your credit report and they will get them for you with a catch: you must sign up for their worthless credit monitoring service. For a fee of 8 to 12 dollars per month, you can have this company keep tabs on your credit. Don't do it! Instead, if you need to check your credit more often, then simply pull your three credit reports twice annually. The second time around will cost you between 30 and 40 dollars total, but that is a lot cheaper than the 96 to 144 dollars these so-called "credit reporting services" charge.

Once you review your credit reports, notify the respective credit reporting agency directly about any errors. Some consumer groups have stated that as many as 71% of the credit reports contain erroneous information about you. Have them correct it and amend your files accordingly.

Remember: copies of your credit reports are available to you once annually at no charge to you. If someone states otherwise or they are trying to steer you into getting unnecessary secondary services, then decline their offer and visit the previously mentioned website to obtain your free copies directly.