5 On Your Side: How to check your credit score is accurate
Credit report errors are the top consumer issue filed to the Consumer Financial Protection Bureau. 5 On Your Side's Keely Arthur shares how to check the accuracy of your report.
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Make sure you don't get turned down for a loan or end up paying higher interest rates due to an error on your credit report.
“The worker was like ‘What’s your credit score?’ and I said it should be somewhere from 790 to 805 and it turned out to be the low to mid 700s,” McLaughlin said.
The problem is getting worse, as the Consumer Financial Protection Bureau reports similar complaints have doubled in two years.
Common errors include inaccurate personal information, duplicate accounts, closed accounts reported as open and paid-off debt appearing as unpaid.
“A credit report is like an x-ray into a person’s finances," explained Lisa Gill, an investigative reporter with Consumer Reports. "And having incorrect information on that report can stop a person from getting credit or a loan, renting an apartment, getting a good rate on your insurance, or even getting a job.”
Give your credit report a checkup
If you do end up finding an error, fix it right away.
If you've had to report an error, Consumer Reports recommends adding a note to your credit report file, which can provide context for future lenders, employers or landlords, potentially improving their perception of your financial situation.
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