They are in business to sell this information to lenders. These agencies are required by the Fair Credit Reporting Act to furnish correct and complete information for the lender to use in evaluating a credit application. The Fair Credit Reporting Act specifies that credit reports contain only facts and information that concern your credit history. Such information includes the highest outstanding balance ever carried, and public record information that pertains to credit history, such as legal judgments, liens, bankruptcies, etc. Currently there are three major automated credit reporting agencies filing financial information on 150 million people in their massive computer systems.
Lenders pay both an annual fee and a specific charge for each credit report they request.
A credit report contains basic personal and financial information. Your name, address, Social Security number, spouse's name, and employer are routinely listed. Charge accounts, loans, amount of credit extended, and record of repayment are included. Information of public record related to your creditworthiness, such as bankruptcies, foreclosures, and tax liens are reported. Your report also contains a record of all creditors who have requested your credit report within the past six months.