Sunday, April 3, 2011

Checking Your Credit Score

Every year or two it is a good idea to check your own credit score.  You are permitted, by law, to obtain your credit reports for free once every 12 months.  In addition to looking for unusual/unknown activity, it's always advisable to close out unused, open accounts to enhance your creditworthiness.  It is also a good idea to keep at least one or two of your oldest accounts open as the age of a clean open account will also enhance your score.  When you look to your bank for a credit facility for your business, your personal credit situation will also be considered.

Per the Federal Trade Commission website "Annual Credit is the only authorized source for the free annual credit report that's yours by law."  Although there may not be any cool commercials with the jingles, it seems that this is the site that will achieve the objective you seek and will not try to upsell you any additional services.  The process from this site involves you choosing one or more of the 3 major credit reporting agencies and providing answers to a few multiple choice questions to ensure identity.  I went through the process in about 15 minutes for all 3 agencies and printed my reports to PDF for future reference.  I put the date in the filename of each report so I'll know when I can next check my credit for free.

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