Credit Checks and Identity Theft
Every single year, as part of our annual wrap up, my wife and I not only change over all our files for the new year, we also run credit reports on ourselves.
We do this tradition for a couple reasons:
- We keep our credit score the best possible it can be.
- Find out if there has been any unauthorized accounts.
- It is really great family time.
Ok, so maybe it isn't the most fun spending family time researching your credit, but at least you know your doing the responsible thing as an investor.
So when my wife came to me and said we can save $48 bucks a year on doing a credit report (Yes we do it on both of us) I was pretty intrigued.
Supposedly due to the amount of identity theft and government pressures, you can now receive your credit reports courtesy of the big three credit reporting agencies for free. Yes, no strings attached. No gimmicks.
By using the link below, you will be forwarded to the website set up for consumers who would like to receive their own credit score once a year. Now, experts say to do it every 6 months. But once a year isn't that bad.
http://www.annualcreditreport.com/
When you do go through your credit report, make sure you check for all the error when doing so. One year they had me living at every property that I purchased. That is a big deal to your credit. Address hopping brings down your credit score as it shows that you are unstable.
For more information about your credit score, you might want to check out my first article on Credit.
http://www.thecreativeinvestor.com/Articles1.html
Interesting.
Couple of questions:
1. How do you get your scores with your reports. Pay the extra costs to add?
2. How did you clear up those address problems? And, how to you assure that they do not happen with each new property that you buy?
Thank you!
1. I don't get the scores with our report, unless I really need to make a purchase very soon.
2a. For anything that is on your credit report, you dispute it. ONLY the stuff that comes back from the banks get back on the report.
2b. You can't prevent what goes on the report, you can only dispute what is currently on it at the given time. If you take title to property in your name and the mortgage is in your name, it will be on your credit report.
Ok... I ran my personal credit. I have a 814 TransUnion score. Then I ran my Equifax credit and scored 681.
I know TransUnion scores to a max of 900, and Equifax scores to 800.... but the same info is on both-identical.
1. I have no accts past due.
2. I have no negative acct history
3. I have had 4 'hard' inquiries the past 12 mo.
4. And 7 'requests' for my credit file
5. I have no public records on file
6. I have 1 $157.00 medical collection on file, which I disputed.
Both Experian and TransUnion had the same info....why would Experian rate me so low?