Just as a resume discloses work experience to a prospective employer, a credit report provides a picture of an individuals credit history to prospective creditors, employers and insurers.
A credit report and credit rating shows how credit is currently being managed and discloses to what extent promises are being kept to pay debt obligations.
Credit history and credit rating influences the ability to rent or buy housing, get a job, buy insurance and qualify for loans. Ideally, a credit report would be "an accurate, up-to-date record of credit payment history" but all too often credit reports and credit rating are inaccurate, not up-to-date and contain misrepresentations about credit history. Moreover, credit rating and credit reports often do not contain positive information about payments made on time, loans repayed and other successes debtors achieve in meeting their obligations. |
