You can likely get a title loan in Charlotte, North Carolina, or elsewhere even with bad credit. But for traditional bank loans, apartment rentals, or even to gain employment, you will likely have your credit run. So that you aren’t surprised, it’s a good idea to see what in your reports first. Here’s how to get your credit report for free.
What is a Credit Report?
Your credit reports demonstrate your creditworthiness and represent the likelihood that you’ll pay your bills on time. Rental property managers, employers, car rental establishments, and others may consider your credit scores to help determine risk.
In the United States, there are three major reporting agencies: Experian, TransUnion, and Equifax. Since it’s common for each of the bureaus to have different information about you, you may have slightly varying scores.
Your scores will range between 300 and 850, based on your credit history, how much debt you have, your credit utilization rate, the mix of your accounts, the length of your credit history, and whether you’ve had late payments.
Your Credit Scores
Credit scores are typically categorized as poor, fair, good, very good, or excellent. While there are varying scoring models and score ranges, scores generally are categorized thusly:
— Borrowers whose scores are between 800 and 850 have excellent credit and are considered low risk.
— Those whose scores fall between 740 and 799 have very good credit as they’ve demonstrated a history of positive credit behavior.
— You have good credit if your scores are between 670 and 739.
— If your credit is between 580 and 669, you’re what’s considered a higher-risk, subprime borrower.
— Those whose scores are 300 to 579 have poor credit and will be hard-pressed to get new credit.
Getting Your Credit Reports for Free
Checking your credit reports regularly will allow you to assess your financial health, identify potentially damaging errors, and determine whether you’re getting the best interest rates. You also want to have some idea of what your scores are before applying for a loan, apartment, or job.
You can check your credit scores for free each year by requesting them in writing. The reporting companies are legally bound to provide them. You can also request your reports by sending a request to Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA, 30348-5281. You can also give them a call at 1-877-322-8228.
Your credit scores are also provided by some banks on your monthly statement. Some credit card issuers provide your scores as well.
Title Loans
Rather than your credit, some lenders, such as title loan companies, will give you a loan using alternative info to approve you. All you primarily need is a vehicle in your name and regular income.
While the company might run your credit, your payment history won’t be a deciding factor. And you don’t necessarily need a job. Title loan companies can accept other sources such as Social Security, Worker’s Compensation, a pension, rental income, disability, or self-employment income.
While you’ll need to give up your vehicle title while you’re repaying the short-term loan, you can continue driving your car. You’ll need to pay the loan back, however, or risk losing your vehicle.
In Summary
These days, you can see your all-important credit reports for free. So, there’s no excuse not to know what’s in them. After all, your credit scores can hold you back or help you advance in life. Know what’s in your report to know where you can improve.