Correct personal information is vital in ensuring that credit reports belong to the right persons. This section includes information obtained from your creditors that contains specific data about both open and closed accounts. This includes the date the account was opened, credit limit or original amount of the loan, amount presently owed, regular monthly payment, and payment pattern over the past several years. This section features information contained in public records, including any bankruptcies, tax liens, or monetary judgments. The final section of a credit report contains information gathered by credit bureaus identifying the names of persons and organizations that have obtained a copy of your credit report.
Inquiries also identify the reasons reports are obtained.
Credit reports are often reviewed by individuals to verify that information is accurate, to confirm reasons for rejection of credit or insurance, or to identify fraudulent activities. Credit reports are generally obtained by businesses and employers in order to measure a consumer's ability to pay off expenses and debts. When you apply for a job, an employer will often ask you to sign an application form that entitles the employer to investigate your credit background. That investigation is conducted by obtaining a copy of your credit report. Your credit report will also be examined each time you apply for credit, insurance, or lease agreements.