What is in Your Credit Report?

When you apply for a mortgage or any other type of loan, your lender will ask your permission to obtain a copy of your credit report.

What is a credit report?

A credit report is a collection of information about your credit history, compiled from many sources and put into one report by consumer credit reporting companies (also known as credit bureaus). Whenever you open a credit card or take out a loan to buy a car, pay tuition or buy a house, these lenders will report your payment history to the various credit reporting companies.

Each reporting company combines the information from your various lenders into one file, called a credit report. Your lender will then examine your credit report and other factors to decide whether or not you will qualify for a loan. Credit reports are compiled by credit bureaus, including Experian, TransUnion and Equifax. All credit reports typically contain the same categories of information:

  • This includes your social security number, date of birth and places of employment.
  • Trade Lines. This includes payment history on all of your home loans, car loans, student loans and credit cards. Your lender provides periodic updates on your loans to the credit bureaus.
  • Lenders place an inquiry each time you apply for a loan or a credit card and before they offer you a pre-approved line of credit. This section is essentially a list of everyone who accessed your credit report within the last two years.
  • Public record. This includes information from state and county courts as well as collection agencies regarding any law suits, bankruptcies, foreclosures, or judgments against you.

If you rent, your credit report may also list your rental payments.

Learn more about credit reports and the mortgage process. Contact Freedom Mortgage when you are ready to apply for a loan.