ANALYZING YOUR CREDIT REPORT

If I were directing a stage play about a person reading their credit report, I would be sure to cast an actor that can play "confused and bewildered" very well. Fortunately for me, I could therefore cast just about anyone to play that role; because the vast majority of people who do receive their credit report cannot make heads-or-tails of it. Scratch your head and furrow your brow all you like, the confusion does not go away. But, knowing the basics of how to analyze this confounding literature may at least keep you from being typecast as the "confused and bewildered" guy or gal for the remainder of your now burgeoning acting career.

WHAT DOES IT ALL MEAN?

There are three separate and distinct credit reporting agencies: Experian, Trans Union, and Equifax. Each report your credit score and information differently, so those who wish to view your credit may require having what is known as a "tri-merge" done (a report from all three agencies) to reciEve the most accurate account. Insofar as reading your own individual reports are concerned, the following is a list that may serve to help.

For Experian credit reports, the following should be considered negative listings...

any item marked with an asterisk
any inquiries

For Trans Union credit reports, the following should be considered negative listings...

any item rated higher than I1, M1, or R1
any item listed as a repossession, foreclosure
paid profit and loss
write-off, paid charge-off; settled, settled for less than balance, or included in bankruptcy
any collection amount, paid or unpaid
any court account; including a lien, judgment, bankruptcy chapters 11,7, or 13, divorce, satisfied lien, or satisfied judgment
any item showing one or more 30, 60, or 90 day late payments in the column to the far right
any inquiries

For Equifax credit reports, the following should be considered negative listings...

any item rated higher than I1, M1, or R1
any item proceeded by a ">>>>" icon
any item listed as repossession, foreclosure, profit and loss write-off/charge-off, paid profit and loss write- off, paid charge-off; settled, settled for less than full balance, or included in bankruptcy
any collection amount, whether paid or not
any court account, including a lien, judgment, bankruptcy chapters 11, 7, or 13, divorce, satisfied lien, or satisfied judgment
any item showing one or more 30, 60, or 90 day late payments in the column to the far right
any inquiries