Credit education is not something to be taken lightly. Most financial actions involve your credit, including buying a car or home, and applying for a loan. Businesses use your credit report to evaluate your application if you apply for a loan or want to extend a line of credit, and having bad credit can affect whether you get a loan and how much interest you will pay.
Find a free copy of your credit report on Equifax, Experian or TransUnion or visit AnnualCreditReport.com.
One of the most important things you should do when checking your credit score is to ensure that all the information reported is accurate and up-to-date, as one in five consumers have reported an error on at least one of their three credit reports. When looking at your credit report, look for any inquiries not initiated by you or other suspicious activity. Also be aware of your children’s credit report, as child identity theft happens more often than you’d think.
If you find inaccurate information on your credit report, immediately contact the reporting agency you pulled the report from and file a dispute. Inaccurate, derogatory information can lower your credit score, and in some cases, may indicate fraudulent activity. In an effort to help prevent the damages of incorrect information on credit reports, Equifax, Experian and TransUnion are making strides to make the process of disputing the incorrect information easier.
Find out more about their efforts here: http://newsok.com/major-credit-agencies-agree-to-changes/article/feed/808712
Finally, if you have had a hard time catching up on your credit education, you know how difficult it can be to play catch-up. Start early with your children when it comes to credit education. Teach them the importance of shopping around for a good deal and how to protect and invest your money for the long-term. Teaching children credit early on in life can help reduce financial problems later in life