US Credit Bureaus

by Karen S Mueller, President of RepairCreditFacts.com

In the US our individual credit files are kept within huge databases managed by three major Credit Bureaus and have been for years. Whenever we get a loan or credit card, a new address or job, our files are updated with our current "credit" information. Monthly payments we make are often reported and good or poor payment histories accumulate in our individual files throughout our adult lives.

For years our credit files have been checked to determine our reputation and credibility. Our credit history has become our financial reputation; indeed it verifies our identity and financial history.

As society developed into a digital industry, Credit Scores were calculated to make it easier on everyone.

Each credit bureau utilizes its own proprietary formula for calculating credit scores from the financial history in our files. While the formulas are not published, credit scores have proven to indicate the accuracy of the records in our individual credit files in the credit bureau's databases. Now our credit score is the standard for communicating our credit worthiness.

In an effort to protect us, the government has regulated the credit reporting industry. They insist that each individual has the right to obtain their credit reports for FREE each year. In fact, they passed *The FACT Act. Learn more about the FACT Act here.

You can and should know what information is in each of your credit reports. The three (3) major Credit Bureaus in the United States each produces a Credit Report and Credit Score on the financial records they currently have on you in their database.