The United States Congress passed the Fair Credit Reporting Act in 1970 and the Federal Trade Commission (FTC) enforces the law. The law states that a consumer should receive a copy of his or her credit report from a consumer reporting agency (CRA) once a year. Every consumer ought to know his or her rights when it comes to receiving credit reports, and how he or she would be able to acquire a free copy of the report.
What is a Credit Report?
The credit report contains records of your credit activities. It includes records of credit cards, loans, mortgages, and other credit that you have used. The report also contains records of how you regularly paid your credit accounts and it shows if any action has been taken against you for any unpaid bills.
It is Your Right to Receive a Copy of the Credit Report Every Year
The Fair Credit Reporting Act mandates that a consumer should receive a copy of the credit report yearly which makes it a right and not a privilege that can be revoked anytime by consumer reporting agencies. Any consumer can contact a consumer reporting agency such as a credit bureau and ask for the report.
You Can Request One Report Each From the Three Nationwide Reporting Agencies
The three nationwide consumer reporting agencies or credit bureaus, Experian, Equifax, and Transunion, must send a requesting consumer one free credit report each year. These credit bureaus have their own versions of credit reports and they must provide a consumer with their own individual version of the credit report.
The Free Credit Report is 100% Free
The Federal Trade Commission has received numerous complaints from consumers who thought they were applying to get a free credit report, but could not get it without having to pay a fee or order certain goods or services. Care must be taken when applying for a free credit report especially when an application is made through the Internet. A consumer must avoid any form of application that is conditional on any payment or other considerations.
There is Only One Website Authorized to Receive Free Applications
The Federal Trade Commission has authorized "AnnualCreditReport.com" as the only website that will accept applications for free credit reports through the Internet. Online search engine results, TV ads, e-mails, and other advertisements may offer free credit reports, but "AnnualCreditReport.com" received the sole authorization from FTC.
Get Your Free Credit Report
Anyone can request a free credit report online by visiting "AnnualCreditReport.com". Consumers can call 1-877-322-8228 to request a free credit report by phone. A consumer who wants to make a request by mail should write to Annual Credit Report Service, P.0. Box 105281, Atlanta, GA, 30348-5281.
Every consumer should get a copy of the free credit report every year in order to ensure that the reports do not contain errors made by those who reported the information. Errors in credit reports commonly happen as a result of human error and a prudent consumer would benefit from regularly checking his or her credit report.
References:
Federal Trade Commission: "FREE Annual Credit Reports"
Federal Reserve Bank of San Francisco: "Your Credit Report"
Raul Avenir - Raul Avenir is a technically inclined businessman with extensive experience in the construction and real estate industries. He has managed ...
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