Introduction
Many lenders make use of www annualcreditreport while evaluating the applications from their borrowers. Most of them will use the services of at least one agency while a lesser number will use more than one agency. The search is necessary so that the lender will have an idea of the risk they will be taking by giving their money out to the borrower.
Step 1
Since it may be difficult to operate without the need of raising some credit at some point in life, it is important to have prospective borrowers have their credit worthiness rated on www annualcreditreport. This will increase their chances of getting the funds they have applied for. People with a healthy credit rating will have better chances of getting the credit than those who are poorly rated.
Step 2
The report that is available on www annualcreditreport will differ slightly from one credit rating agency to another. This is because each one of them has a different way of evaluating and rating the prospective borrowers. Despite this the final result of the whole exercise is to have you rated as to your credit worthiness.
Step 3
Borrowers will be advanced the money depending on their rating as given in www annualcreditreport. This kind of rating can be said to be fair as all the people are gauged on the same criteria and there is a low risk of being biased. People who have a poor credit rating will not access credit easily or get it at higher rates of interest as they are considered to be more risky to deal with. This is very clear from the www annualcreditreport site.
Step 4
While making the report about the borrower, all aspects of their financial lives are considered. The report available on www annualcreditreport will be based on every financial dealings of your life. It will consider how utility bills are paid and any other loans that have been serviced by the borrower in the past.
Step 5
Irrespective of the credit agency that a prospective borrower uses the final report that will be available on www annualcreditreport will serve the same purpose and will be similar as the rating agencies will get their information from the same source. However there might be slight variations in each of the reports as the agencies have different approaches of doing it.
The reports about borrowers that are available on www annualcreditreport will include all the information from any lenders you may have worked with in the past. Many of the lenders cooperate with the credit rating agencies and provide them with information about their borrowers. This is important as holding back the information may affect them if they were to lend to a risky borrower without realizing it.
Tips
To the borrowers, having their report on www annualcreditreport is very important as it may be the difference between getting much needed credit and not getting it. Alternatively if a borrower is considered risky he or she may end up paying hire interest rates to cushion the lender against the risk of doing business with a person whose credit rating is poor. To have a good credit it is important pay all loans and bills on time.
Sources and Citations
None.
