National Credit Education Month

Why it pays to check your credit report

When was the last time you checked your credit report? Because access to credit is such an important aspect of everyday life, money-management experts recommend that everyone should check their reports at least annually.

In simple terms, a credit report is a summary of the credit accounts you have and how you’ve used them. When you have a loan or a credit card, the lender tracks how you make payments, and then shares that information with what’s known as a credit reporting agency. The credit reporting agency keeps that information up-to-date, and when you apply for a new credit card or loan, the lender will review your credit information to see if you make payments like you’re supposed to and use credit wisely. The information in your credit report is also used to create your credit score. Continue reading