1. Solving the Mystery of Credit Reports © 2005 BALANCE FINANCIAL FITNESS PROGRAM

2. Credit Bureaus 3 major credit bureaus  Experian  Trans Union  Equifax Credit information is reported to bureaus Not all creditors report to all 3 Regulated by Federal Trade Commission

3. Obtain Your Report Through the credit bureaus  Fee for report Through Annual Credit Report Request Service  Centralized service  One free a year (more if fraud suspected)

4. The FCRA You must be told if information is used against you You may access your own file You can dispute inaccuracies Outdated information must be removed Access to your file is limited

5. How Long Will It Stay? Positive information can remain indefinitely Negative information 7 years from when first reported Chapter 7 bankruptcy reported for 10 years Collection accounts 7 years from date of charge-off

6. Credit Scoring FICO scores range from 300-850 Score is based on several factors

7. Improve Your Score Limit number of open accounts Pay consistently on time Do not transfer balances frequently Keep balance significantly lower than limit Repay old delinquencies Limit number of credit applications made

8. Correct Inaccuracies Write a letter requesting an investigation Place a dispute on file Use 100-word statement to explain Send all mail certified, and keep copies of everything

9. Beware Credit Repair! Credit repair companies cannot legally do anything you cannot do yourself for free Take steps yourself to dispute incorrect or outdated information

10. Sections of the Report Identification - Name, DOB, SS# Public Records - Bankruptcy, judgment, liens, arrears Payment History - Accounts, balances, date opened Inquiries - Record of requests for your file

11. Trade Lines Creditor name/partial account number Date of last activity (DLA) Date account opened Payment history (30, 60, 90) Current balance Joint/individual account Current status Credit limit (sometimes)

12. Identity Theft Preventing fraud  Protect your information  Shred anything with your account numbers  Review credit report  Monitor statements carefully

13. Damage Control File police report Contact credit bureaus Contact creditors Contact any other affected organization  DMV, Social Security, financial institutions Monitor accounts Review credit report quarterly

14. Other Types of Reports ChexSystems  Used when opening new accounts  Tracks returned checks National Tenant Network  Used by landlords  Reports evictions

15. With a little effort and a lot of awareness, you can have and keep an excellent credit history and a high credit score.

16. Duke Credit Union Financial Education Center Contact: Scottie Dowdy, CCUFC Cassandra Taylor Financial Counselors Call: 684-6704 www.dukefcu.org