Is Your Free Credit Report Really Free?
A Credit Article Contributed by Cathy Wilson
Click for Your Free Credit Report -- or at Least That is What They Say.
In a sense most offers for a free credit report really ARE free; but they're also a hook to get you to enroll in one of the company's (paid) programs so you can keep track of your credit report. It's a one-time thing but they DO ask for all your information and then they try to reel you in.
Signing up? That means that they make you give a credit card number even though you may have no intention of enrolling in their program after you peruse your free credit report.
Credit Report Monitoring
What they are really offering is credit report monitoring, an ongoing service that you are asked to pay for, probably about $80 a year. Is it worth it? To us, we think not. Many people go through their whole lives without ever seeing a credit report, free or not. That doesn't mean it's a smart thing; it just means it's quite doable.
Why Get Your Free Credit Report?
Well, it's always better to know the score, even if it hurts. Your credit report may also contain information that is not accurate and in that case, you need to take care of things immediately. You should contact the company that is listing incorrect information and get it cleared up. Perhaps your free credit report indicates that you only owe a relatively small sum on some account. Why not write the company, offer to pay up, and request complete removal from the credit report? The companies want to get accounts squared as much as you do!
What If You Don't Recognize Entries in Your Free Credit Report?
You must get these removed immediately! Contact the provider and demand removal. After all, every negative entry on your free credit report lowers your credit score. In the short run, that doesn't matter, but as soon as you want to finance a home, purchase a car, or even get a cell phone, that incorrect entry will hurt you even though it is not accurate.
Use the Free Credit Report to Your own Advantage
Yes, it's really free if you set it up that way. Order the report and then cancel the service, if you like. You can always order a free credit report from another company down the road if you need it. Remember that requests for credit reports can sometimes lower your credit scores even if there is no negative outcome. Be aware of that when companies wish to check your credit for some application.
Most of all, don't be afraid of knowing the score on your credit report. A little knowledge is very powerful. Take a look at your credit report and you will know exactly where you stand!
