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If you have amassed a rocky credit history and if you are burdened with a low credit score


Understanding Your Credit Report

More and more people have become concerned about their credit histories, their credit score and their credit reports.  In addition, the increase in identity theft has made it all the more important for a person to become well acquainted with his or her credit report.

Perhaps you have every intention of beginning the process of monitoring and reviewing your credit report on a regular basis.  With that said, you may need help and assistance in understanding your credit report.

This article has been prepared to provide you with some basic information necessary to understanding your credit report.  Armed with this information, you will have a better idea of what is contained in your credit report as well as what it all really means to you and your ability to obtain credit today and into the future.

Understanding Bad Credit Marks

You need to be aware of the bad credit marks that are on your credit report.  These bad credit marks are entries regarding overdue accounts, lawsuits, collection action and related activity in regard to your financial and credit activity.

These bad entries contribute to the lowering of your credit score.  And, in the end, these entries and the lowering of your credit score will impact your ability get credit in the future, to do other things that depend upon your finances -- including things like renting an apartment.


 


Dealing with Errors

In this day and age, the majority of credit reports do contain errors.  It is an astounding percentage of credit reports that do contain errors.  Therefore, it is incumbent upon you to regularly check your credit reports to ensure that there is no erroneous information on your credit reports.

If you do find that there are incorrect or erroneous entries on your credit report, it is vital that you contact the credit reporting agency immediately and in writing.  You need to set forth specifically what is wrong with your credit report.

Today you can even tender written information about errors on your credit report to a credit reporting agency online.  You can submit your information regarding an error on your credit report in a matter of minutes by using the Internet to file this information with the credit reporting agency.

Making Comments

If you have negative information in your credit report, you need to keep in mind that you have the right to make comments about the entries in your credit report.  By making such an entry, you can explain the circumstances surrounding certain negative entries in your credit report.  For example, perhaps you had financial problems due to a serious bad health condition.  You can explain this in your credit report.

In some instances, certain creditors will take into consideration -- at least on some level -- your own explanations about your credit history.  For example, if you are seeking to rent an apartment, a potential landlord may take into consideration your comments when it comes to negative entries on your credit report.