NEW YORK CITY, NY / ACCESS Newswire / March 8, 2025 / Credit report checks are an important way to gauge your ability to get loans or credit cards. It assesses all kinds of factors in your borrowing history and assigns you a number between 300-850 that gauges your creditworthiness. But why is this number important? And why should I check my credit today?
Lenders use credit reports to assess your risk, meaning how likely you are to pay back your loan or credit. A strong credit history can lead to better interest rates and loan terms - which makes sense, as it lists all the times you've made payments on time or paid off loans.
Getting a credit report check isn't just about seeing how likely you are to get that loan you're coveting. Regularly monitoring your credit report helps you see potential identity theft sooner, or spot inaccurate personal information that could put a damper on your credit score.
How often should you do a credit report check?
Just to get a better financial picture, even if you're not in the market for a loan or a new credit card imminently, financial experts recommend that you review your credit report at bare minimum once a year. Ideally, up to three or four times a year - once per quarter. And many people don't even do it that much. According to Next Gen Personal Finance, 38% of people have never checked their credit score. Are you one of them?
By checking your credit score today, even if you're not thinking of acquiring any more strategic debt in the near future, you can understand your credit history and take proactive steps to boost your credit score over time. By the time you want to get a mortgage or open a new credit card, your credit will be right where you want it to be.
Why it's important to do regular credit checks
Even if you think you're not convinced to check your credit score today, or you think you can put it off even longer, there are a few reasons to get on this as soon as possible.
1. Spot errors and fraud
A credit report isn't a perfect measure of your finances, and there's always room for human error. Having scattered information across many platforms can make it hard to see little mistakes, but one report that gathers all your information can streamline potential hiccups for you. If you see errors or unrecognized payments, accounts, or charges, you can dispute those right away with the appropriate bureau.
2. Your lifeline to financial health
You wouldn't embark on a goal-oriented weight loss regimen without checking the number on the scale every so often, and you shouldn't fly blind in your financial journey either. Seeing your credit report four times per year gives you a clear picture of your financial standing. By knowing your credit score, you can track progress strategically, identifying areas for improvement and making more informed decisions about spending and borrowing.
3. Managing on-time payments
If you've just started writing your credit-building story, you should know that a good credit score can save you money on interest rates for loans and credit cards. But to get those rates, you need to make payments for current loans on time every time. Seeing your credit report can locate potential gaps in your payment history you don't see or encourage you to start making more on-time payments so lenders can trust in your reliability.
How to check your credit report
To check your credit report, you have two main options. You can get free credit report from each of the three major credit bureaus - Experian, Equifax, and TransUnion - once a year. There are several ways you can request credit reports, which you can find on the Federal Trade Commission's website for a safe experience with a timely turnaround.
The second option involves using credit monitoring services, like MyFICO. These services often include free or paid plans -- and some even have additional features, like identity theft protection, money management services, and alerts. Just look out for any hidden fees, and make sure you're using a vetted service, so you aren't subject to identity theft.
CONTACT:
Sonakshi Murze
Manager
sonakshi.murze@iquanti.com
SOURCE: iQuanti
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