What is a Credit Report?

Your credit report contains your credit history. It includes all of your loan and credit card accounts and details specific account information, such as the date opened, credit limit or loan amount, balance and monthly payment. It also includes late payments, bankruptcies, liens, and collection agency attempts to collect past dues amounts.

It's important to maintain a good credit history. (Financial experts advise to check your credit report once a year for inaccuracies.) A good credit history means you're eligible for the best rates, whereas a poor credit history subjects you to higher rates and possibly being turned down for credit.

Credit Bureaus and Credit Reports

A credit bureau (also called a credit reporting agency) gathers, maintains, and sells information about your credit history. It collects information about your payment habits from banks, savings and loans, credit unions, finance companies, and retailers. That information is gathered into credit reports that are used by creditors or lenders.