Your credit score is always changing, and what you may not know is that you don’t have just one credit score. Why? Because not only can your score can change based on new information, like a timely or missed payment, but also, credit reporting agencies do not have the same information.
As part of our credit countdown to 2018, here’s what you need to know now about nationwide credit reporting agencies (NCRA):
What and who are the NCRAs?
TransUnion, Experian, and Equifax are the three major credit reporting agencies. They collect and maintain the information that makes up your credit history and your credit report. NCRAs are for-profit companies that sell this information to other companies, like lenders, insurance companies, potential employers, utility companies, and landlords. NCRAs do not share information with each other, so information that is found in one credit report may not be in another.
What type of information do they collect?
NCRAs collect information from your creditors, like a bank or credit card company, and public records, such as property and court records. Each NCRA gets its information from different sources.
How does the information collected by NCRAs impact your credit?
The information collected by NCRAs is used in your credit report. Organizations that may request your credit report include lenders from whom you are seeking credit and those who gave you credit; utility companies from whom you are requesting service; your employer or prospective employer; and banks where you want to set up an account. What is in your credit report can negatively or positively impact your credit score, which is a number that is used to determine your credit worthiness. The higher the score, the better, as you will have more access to financial products and better terms
If you are one of the 100 million Americans paying rent, solutions like RentReporters can help you build and improve your credit score by reporting your on time rent payments to TransUnion.
Get ready for 2018 the right way by taking control of your credit today.
For more information on RentReporters, visit here.