Are Online Credit Reports Really Free?
A Credit Article Contributed by Augusta Wilson
What is an Online Credit Report, Anyway?
An online credit report is a credit report which you order online. A credit report details your financial history, generally going back as far as 5-7 years. There are three main credit agencies, Experian, Equifax, and TransUnion. Whenever you make a payment on your credit cards, auto loan, or even your utility bills, like the phone or electric bill, it generally gets reported to one, or all, of these agencies.
Why Do I Need to Get an Online Credit Report?
Being aware of your credit history is a good idea. Knowing your credit score will allow you to bargain more effectively, when financing an auto loan (this way, the salesman can't try to rip you off, by pulling a scam), and you can avoid an embarrassing surprise if you go to the bank to take out a home loan. Most importantly, requesting an online credit report will reveal any discrepancies or misinformation.
Credit agencies- like any other company- make mistakes, and it is important to correct these errors immediately. As your credit history will follow you around for a long time to come, you should remain vigilant and keep an eye on your score.
Are 'free' Online Credit Reports Really Free?
There are hundreds of offers on the internet, promising free, instant credit reports. But are these 'free' online reports really free? Yes and no. Yes, in a sense, but you have to be careful. Many of these sites will not process your order without credit card details.
Once you provide the debt management company, with let's say, your Visa number, the company then proceeds to charge your account for almost seventy dollars' worth of online debt management services, but they will send you a copy of your complimentary, or 'free', credit report. Other companies work slightly differently. They will send you a copy of your credit report, from one of the credit agencies, like Equifax, but then charge you for the other two.
Some companies masquerading as debt management agencies will simply sell your name and address to a marketing company, leaving you to wonder what happened to the free credit report that you were promised.
Many identity thefts begin with stolen social security numbers, which then leads to falsely obtained credit cards. Next thing you know, you are receiving numerous phone calls from creditors, about credit accounts in your name, which you didn't know existed. Perhaps the most frightening of all credit related scams is 'phishing,' pronounced, 'fishing ' This usually comes in the form of spam email and various web sites, which promises to pull a copy of your credit history, for free.
Once you fill in the online request, and divulge your personal details and social security number, your information is promptly sold to identity thieves, who then go on to establish accounts and credit, by pretending to be you.
So, What is the Best Way to Get a Credit Report?
The answer is simple. If you want to avoid getting ripped off, or perhaps having your identity stolen, the best way to get a credit report is to request it yourself! Simply visit the sites of the three main credit agencies, and take it from there; their representatives will be more than happy to help you.
