=
Official Lending Partner
Apply Now NMLS #10287

Five Reasons to Check Your Credit Report Regularly

Mortgage Lenders of America
default.jpg

Top five reasons why you should make a practice of regularly reviewing your credit report.

posted by:

In much the same way that a resume displays your work experience to a prospective employer, a credit report provides prospective creditors (and in some cases employers and insurers too) with a detailed picture of your credit history. And like a resume, your credit report can influence whether you will receive what you are applying for.

Ideally, your credit report is an accurate, up-to-date reflection of your credit history. However, since we don't live in an ideal world, there are many reasons that your credit report could contain inaccuracies that might prevent you from receiving the credit you deserve. The good news is you can take action to keep your report accurate. Here are the top five reasons why you should make a practice of regularly reviewing your credit report:

Inaccuracies & Mixed Credit Files

Many inaccuracies on a credit report can be the result of simple human error, and are therefore are not difficult to dispute. Of course, if you don't order your credit report, you might never know about it. Whether the inaccuracies relate to payments not credited, late payments, or data mixed in from the credit file of someone else with a name similar to yours, you will want to contact the credit bureau to dispute inaccurate information promptly.

Tracking Payments

One of the most important elements of credit is a demonstrated history of on time payments. Once you send the check though, anything can happen--a delay in the payment being received can kick you over to a 30-day delinquency. If you call your creditor and explain the situation, they might adjust the information. Of course, if you don't read your credit report, you won't necessarily know which payments are being received and reported properly.

Identity Theft

This issue alone is reason to order your credit report immediately. Identity theft is an insidious crime, involving a thief who assumes your name to open new accounts, divert your card statements to another address, and run up all sorts of bad debt without you ever knowing about it until collectors come calling. Over time, identity theft could jeopardize your ability to obtain further credit. The best way to catch a thief who is using your name is by getting a copy of your credit report, which will show you if there are accounts listed you know you haven't opened. For example, if a thief has intercepted a pre-approved credit card offer in your name and sent it in with a change of address, your credit report will include the account.

Inquiries

If you're shopping around for a loan or more credit, you should know that when creditors check your credit, it places an inquiry on your credit report. Inquiries can add up, which is often interpreted as a negative by creditors. For this reason, too many inquiries can actually make getting credit more difficult. Moreover, if you didn't authorize someone to look at your credit report and they did, they may have broken the law.

Credit Fraud--Unauthorized Charges

Credit fraud involves the theft of your credit card or account number to make unauthorized charges to your account. Though consumers are protected financially from this abuse, other creditors may take note of all this activity and decide to raise your interest rates or refuse to grant you a loan. Ordering your credit report will help you catch new activity on accounts that you haven't been using, or may have closed.

When it comes to managing your credit worthiness, your credit report is your best resource. Ordering your credit report gives you the opportunity to manage your credit wisely today, while planning your credit strategy for achieving future goals--a credit-savvy move every consumer should make!

Click Here to Learn More About Credit Repair

Next: What Buyers Need to Know About VA Home Appraisals

*Every effort is made to post valid, up to date information. Mortgage guidelines and programs constantly change. Therefore, the content of each post should be viewed and used as a starting point. Please contact us for current guidelines pertaining to this post or for more information.

2018-loan-limits-explained

2018 Conforming Loan Limits Increased

Fannie Mae & Freddie Mac loan limits increased to $453,100 for 2018... Read More

fha-mortgage-insurance-premiums-explained

FHA Mortgage Insurance Premiums Explained

FHA mortgage insurance consists of an upfront premium financed in to the loan and an annual premium that is paid monthly as part of your FHA mortgage payment... Read More

what-buyers-need-to-know-about-va-home-appraisals

What Buyers Need to Know About VA Home Appraisals

Essential VA appraisal information for the VA homebuyer... Read More

five-reasons-to-check-your-credit-report-regularly

Five Reasons to Check Your Credit Report Regularly

Top five reasons why you should make a practice of regularly reviewing your credit report... Read More

cashout-va-refinance

Get Cashback with a VA Refinance

Eligible veterans and active duty military can access 100% of their VA appraised home value with a VA cashout refinance... Read More

2017-lower-fha-mortgage-insurance

FHA Mortgage Insurance Changes

Effective January 27, 2017, annual FHA mortgage insurance premiums are lowering. FHA buyers will see a lower payment if closing on or after January 27... Read More

fha-loan-limits-2017

2017 FHA Loan Limits

FHA has increased the maximum loan amounts for 2017. Use our 2017 FHA loan limit lookup tool to find limits in your county... Read More

usda-home-loan-fees-2016

USDA Decreases Fees Effective October 1, 2016

USDA Rural Development home loan upfront fee decrease to 1.00% effective October 1, 2016. Annual fee decrease to 0.35%.. Read More

FHA-Loan-Limits-2015

FHA Loan Limits 2016

HUD (FHA) publishes maximum loan limits for FHA mortgage loans. Use the FHA Loan Limit Lookup 2016 tool to find the FHA Loan Limit in your area... Read More

What-is-Lender-Paid-Mortgage-Insurance

What is Lender Paid Mortgage Insurance?

Avoid paying monthly mortgage insurance by putting as little as 5% down and ask your lender for lender paid mortgage insurance... Read More

Conventional-Loan-with-3-Percent-Down-Payment

Conventional Loans Available with 3% Down Payment

The minimum down payment for conventional mortgage loans is now 3%... Read More

FHA-Reduces-Annual-Mortgage-Insurance-Premiums

FHA Reduces Annual Mortgage Insurance Premium

Beginning January 27, 2017, the annual FHA mortgage insurance is lowering to 0.60% from 0.85% for most FHA loans... Read More

USDA-Annual-Fee-Increase

USDA Annual Fee Increase

USDA Rural Development home loan annual fee increased to 0.50% effective October 1, 2014. This USDA fee is paid monthly as part of your USDA mortgage payment... Read More

Do-I-Qualify-for-an-FHA-Loan

Do I Qualify for an FHA Loan?

FHA Loan Qualifications: FHA borrowers must meet guidelines established to protect FHA lenders while providing opportunity for FHA home buyers... Read More

2014-FHA-Loan-Limits

FHA Loan Limits Explained

Each year FHA publishes maximum loan limits for FHA mortgage loans. Your FHA loan cannot exceed the limit in the county in which you are buying... Read More

No-Money-Down-USDA-Home-Loan

No Money Down USDA Home Loan

Home buyers can purchase a new home with no down payment by financing with a lender offering USDA home loans. USDA is the no money down home loan... Read More

How-Much-is-FHA-Mortgage-Insurance

How Much is FHA Mortgage Insurance?

FHA mortgage insurance consists of a financed upfront fee of 1.75% of your loan amount. A monthly premium is calculated based on loan term and down payment... Read More

What-Will-Be-My-Mortgage-Payment

What Will My Mortgage Payment Be?

The question loan officers hear most. FHA, VA, and conventional mortgage payments are not the same. Choose a mortgage loan payment calculator to get started... Read More

Ask-the-Seller-to-Pay-Your-Closing-Costs

Ask the Seller to Pay Your Closing Costs

Seller paid closing costs are a great way to minimize your out of pocket cash to close. 3% (the conventional max) to 6% (the FHA max) is common... Read More

About-Whats-My-Payment

About What's My Payment

What's My Payment was created after many of my clients had difficulty finding a way to calculate an accurate mortgage payment when budgeting for their new home... Read More

VA-Funding-Fee-Chart

VA Funding Fee Chart

The VA funding fee chart demonstrates the various ways in which the VA funding fee applies. VA collects a premium on most loans known as the VA funding fee... Read More

How-Do-I-Get-Pre-Approved-for-a-Mortgage

How Do I Get Pre Approved for a Mortgage?

Why is mortgage pre approval so important? Because neither sellers nor real estate agents can afford to waste time with unqualified buyers... Read More

Using-Your-VA-Loan-Eligibility

Using Your VA Loan Eligibility

VA loan eligibility grants veterans and active duty military the right to purchase a new home with no money down at excellent interest rates... Read More

FHA-Mortgage-Insurance-Premiums-2016

FHA Mortgage Insurance Premiums

FHA Mortgage Insurance includes both upfront and annual mortgage insurance premiums (paid monthly)... Read More

FHA-vs-Conventional-Loan

FHA vs Conventional Loan

FHA is often best when looking to minimize out of pocket cash & down payment. Conventional loans are for borrowers with strong credit & more liquid assets... Read More

Welcome-to-the-What's-My-Payment-Blog

What to Expect from the What's My Payment Blog

The mortgage world is ever changing. We post commentary on situations & questions we receive most often... Read More

Equal Housing Lender

*All calculations on www.WhatsMyPayment.com are for demonstration purposes only.
Every effort is made to maintain accurate calculations for each program listed. Actual numbers may vary.

What's My Payment, LLC & whatsmypayment.com are not affiliated with any government agency, nor do we originate mortgage loans.