Why do we need credit reporting?
Credit reporting is needed because it provides the information
that helps consumers make purchases, secure loans, pay for
college educations, and manage their personal finances. Credit
reporting makes it possible for stores to accept your checks,
banks to offer credit and debit cards, businesses to market
products, and corporations to better manage their operations
to benefit the world's economy.
What is a credit inquiry?
An "inquiry" is a listing of the name of a credit grantor,
or authorized user who has accessed your credit file. Each
inquiry is posted to the credit file so you know who has obtained
a copy of it. Credit grantors post an inquiry before offering
you a pre-approval credit card application. These are listed
as "promotional" inquiries on your credit file because only
your name and address were accessed, not your credit history
information. They are NOT sent to credit grantors or businesses
for reasons of credit reporting. They are listed for your
informational purposes only.
How does divorce affect consumer credit?
A divorce decree does not supersede the original contract
with the creditor, and does not release you from legal responsibility
on any accounts. You must contact each creditor individually
and seek their legal binding release of your obligation. Only
after that release can your credit history be updated accordingly.
Should I use one of those companies that promise to help
correct my credit?
It's your choice. However, beware of companies that promise
to remove accurate information from your credit file. Accurate
information cannot be removed from a credit file. There is
nothing they can do for you that you cannot do for yourself
by contacting the credit reporting agencies directly. Only
time will heal a delinquent credit history.