Learn About Your Credit Scores, Daily Credit Monitoring and Triple Advantage from Experian®

Your credit score is a 3 digit number based on information in your credit report. Lenders use your credit score to analyze how likely you are to repay debt. If you’re planning to apply for credit – whether it’s a credit card, mortgage, or car loan – you may want to consider reviewing your credit report for accuracy. Errors in your credit report can have a negative impact on your credit score.

In this section:

• Learn how you can get your credit score
• Find out how to handle identity theft through Fraud Resolution
• Found errors in your credit report? Contact Experian Dispute Information
• Comments, questions, or suggestions? Contact Experian
• Get answers to Frequently Asked Questions

Credit Score and Daily Credit Monitoring:

Credit Bureaus: Who are they?

The three biggest credit reporting companies – also called credit bureaus – are:

• Experian®
• Equifax®
• TransUnion®

Experian®, Equifax® and TransUnion® use credit scoring models to evaluate and score the information in an individual’s credit report.

Even though the three credit bureaus use similar formulas to calculate a credit score, you can have different credit scores from each one. It depends on how complete, accurate and up-to-date each of the credit reporting company’s information about you is.

Credit Bureaus and Credit Reports

Credit bureaus keep track of a person’s entire credit history. For instance, if you obtained a credit card as a college student in 1985, the credit bureaus would have that information.

Who’s interested in your credit report?

• Banks and other potential lenders gather information from credit reporting companies to help them decide whether or not to extend credit to potential borrowers.
• Insurance companies use credit reports to make decisions about who to insure and at what price.
• Employers often use information from the credit reporting companies to help make hiring decisions on potential candidates.

Credit bureaus and free credit reports

You’re entitled to a free copy of your credit report:

1. If you’ve been turned down for a loan, insurance policy, or a job because of credit.
2. Under federal law – The Fair and Accurate Credit Transactions Act (FACT) – all U.S. residents are entitled to one free credit report from each of the 3 credit bureaus. Visit www.annualcreditreport.com or call 1-877-322-8228 to find out how you can get a free copy of your credit report.

Remember: Nobody’s perfect. Not the credit bureaus, or borrowers. But if you arm yourself with information, you can help credit reporting companies see you for the responsible person you really are.

Credit Scores

From credit bureaus to credit scores to payment history, credit and credit scores can be a confusing subject. The good news is that with a little information from Countrywide Credit and some research on your part, you’ll become credit knowledgeable in no time. So read on and learn all about the mysteries of credit scores.

What are Credit Bureaus

Credit bureaus – also called credit reporting companies – are the companies behind credit scores. The credit bureaus – Experian®, Equifax® and TransUnion® – gather and report information about people who use credit, meaning those who borrow money. That’s why people who need or use credit should learn what credit bureaus are reporting about them. Learn more about credit bureaus and find out how to access your credit report.

Understanding Credit Scores

A credit score is a rating for individuals who borrow money. The credit score is calculated using information in the credit report. Your credit score represents your creditworthiness, how responsible you are about borrowing and repaying money. A high credit score can help you get approved by more lenders. The higher your credit score, the less money you may have to pay in interest when you borrow, because you can usually get a lower rate. Understanding credit scores is an important part of your financial knowledge.

Understanding FICO® Scores

FICO scores are the most well-known example of a credit score. The name FICO comes from the creators of the FICO score, Fair Isaac Corporation. They designed the FICO score as a way of calculating and predicting a person’s likelihood to borrow and repay debts responsibly. The FICO score is calculated by looking at several components in an individual’s credit report and assigning a value to each component. You’ve may have heard the term used often, but now you’ll have a better understanding of FICO scores.

About Credit Reports

Credit reports provide a detailed record of an individual’s borrowing and repaying history. Lending institutions use these credit reports to determine an individual’s interest rate and borrowing capabilities.

What’s in a credit report?

Credit reports are produced by 3 credit bureaus – Experian, Equifax and TransUnion (also known as credit reporting companies) – and include:

• Personally Identifying Information – your social security number, current and previous addresses and employment history
• A summary of the number and types of accounts and whether they are in good standing
• Payment history for each account
• Details of accounts turned over for collection action
• Information about past bankruptcy or judgments
• Inquiries made by lenders or other institutions about your credit report

If you have found errors in your credit report, there are ways to correct them. Your credit report provides information on correcting errors in your file.

Taking control of your credit report and reputation

The information on credit reports is used to calculate a credit score. Lenders use the credit score to make decisions about extending credit. It’s important to keep track of the information in your credit report to make sure there are no errors. According to research by the U.S. Public Interest Research Group, 79% of credit reports contain at least one error-which you have the right to correct.

Credit reports can be free!

Thanks to the Fair and Accurate Credit Transactions Act (FACT), U.S. residents are entitled to one free credit report every 12 months from each of the three U.S. credit bureaus.

There are several ways to access your free credit report:

1. On the web: www.annualcreditreport.com
2. By phone: 1-877-322-8228
3. Completing the form in the Annual Credit Request brochure and mailing it to:

   Annual Credit Report Request Service
   P.O. Box 105281
   Atlanta, GA 30348-5281

If you’ve been turned down for a loan, credit card, insurance policy or job due to a negative credit report, you’re also entitled to a free credit report from the credit bureau. So, if you want lenders to see you for the responsible person you really are, be sure you have a credit report that reflects the real you!