How to Read Your Credit Report — And What to Do When It's Wrong

Your credit report is the underlying record that credit scores are calculated from. Three major bureaus — Equifax, Experian, and TransUnion — each maintain their own report on you, and lenders may pull from any or all of them. Errors are common (a Federal Trade Commission study found that roughly one in five consumers had a meaningful error on at least one report), so an annual check is a small habit with a real payoff.

Where to get your report

AnnualCreditReport.com is the only federally authorised source of free credit reports in the US. All three bureaus currently allow free weekly reports at that site. Do not use lookalike sites — several charge for reports that are legally free.

Your credit report does not include your credit score. Many banks and credit-card issuers now offer a free FICO or VantageScore in their app or online portal.

The four main sections of a report

Personal information

Name, current and past addresses, date of birth, employers, and sometimes phone numbers. Errors here can be minor (a misspelled name) or serious (an unfamiliar address, which may indicate identity theft). Investigate anything you do not recognise.

Credit accounts

Each open and closed account you have had in recent years, with monthly payment history, balance history, credit limit or original loan amount, and account status. This section drives the score, and errors here are the highest-priority items to dispute.

Public records

Certain public records that affect creditworthiness, most notably bankruptcies. Judgments and tax liens have been excluded from most credit reports since 2017–2018, so bankruptcies are now the primary public record likely to appear.

Inquiries

Every hard inquiry (a lender pulling your report for a formal application) is listed for two years. Soft inquiries (your own check, prescreened offers) are shown to you but not to lenders.

Common errors to watch for

Six errors show up more than any others. Accounts that are not yours. A wrong balance or credit limit. A paid-off account still showing as owed. An account listed as late that was paid on time. Duplicate accounts (the same debt listed twice). An account that should have "aged off" the report (most negative items fall off after seven years; Chapter 7 bankruptcy after ten).

How to dispute an error

Under the Fair Credit Reporting Act, you can dispute an item with the bureau reporting it, the creditor that furnished the information, or both. Filing with the bureau is usually simplest — each bureau offers online dispute forms. Include copies (never originals) of any supporting documents. The bureau generally has 30 days to investigate and respond.

If the dispute is upheld, the item is corrected or removed and the bureau will send you an updated report. If the dispute is denied but you disagree, you have the right to add a brief statement of dispute to your file and to escalate to the Consumer Financial Protection Bureau, which accepts complaints against both bureaus and creditors.

How often to check

An annual check is a reasonable minimum. If you are preparing for a major loan (mortgage, auto), check all three reports several months in advance so you have time to dispute anything found. Ongoing free monitoring is available through Credit Karma, Experian, and many credit-card issuers.