I’ve decided to take a break from the series to discuss an alarming statistic I recently learned about credit reports. Yesterday, we discussed how to obtain a free copies of your credit reports. But according to a Consumer Financial Protection Bureau study, fewer than one in five people request copies of their credit report each year. That’s a paltry 20%! Huh? Excuse me? When I read that study, I couldn’t believe it. I purchase my credit reports several times a year. In fact, I count down the days until I can obtain my free ones from AnnualCreditReport.com.
I acknowledge that my behavior is not normal. But I can’t imagine why most people would turn down something as important as a credit report. Especially since its completely free! Think of financial checkup in the same light as you would a health one. You wouldn’t ignore a nagging ache or pain. So don’t ignore your credit report. Unfortunately, most people don’t think about their credit until they want to purchase a car or apply for a mortgage. By then, its too late to do anything about what you may find.
I understand the issue of credit may be difficult for some, especially if your credit is less than satisfactorily. But a financial checkup can help you figure out how you can improve your finances. Even if you boast a 850 credit score, its still important to make sure everything on your credit report belongs to you and is reporting accurately.
How you claimed your free credit reports? How often do you check your credit?
Whilst I have to disagree on a few of the info, however I still truly liked it. I look forward to looking at far more of your posts.
There are also several free credit report sites that will automatically send you your credit reports. Just set it and forget it, until you get a reminder email.
It is surprising that few people take advantage of it.
JP@20′s Finances…thanks for stopping by. I agree with you…I was very surprised that the number of people NOT taking advantage of something free.
First let me say, I’ve been enjoying your blog thus far and look forward to future posts. Second, I was always taught to pull one credit report quarterly (as opposed to all three at once); through AnnualCreditReport.com just as you say, pull TransUnion in say January or around the beginning of the year, pull Equifax 4-5 months later, then an Experiran report the last quarter or so of the year. Since you are entitled to one free report from EACH credit agency a year…by the time I’ve pulled Experiran in the 4th quarter, I’m eligible for my free report from TransUnion again because it’s been a year since my last one. Does that make sense to you? That way, I never have to pay for one.
Thank you for sharing your knowledge with others. Keep up the good work. Happy new year, may 2013 be the greatest year of your life!
Hi Diamond,
Thank you so much for stopping by. Your way makes sense. However, if you are rebuilding your credit, its better to know whats on all three at once. This way, you can start making your credit repair plans. If you’re not rebuilding, then pulling a report every four months is a great idea!
Best,
Terah