Understanding Your Credit Report
Your credit report contains your complete borrowing history. It determines your credit score and affects every loan application you make.
What Your Report Contains
Personal Information: Name, address, date of birth, PAN/SSN, employer. Check for accuracy.
Credit Accounts: Every loan, credit card, and credit line. Shows opening date, credit limit, outstanding balance, and payment history.
Payment History: Whether you paid on time, late, or missed payments. Most critical section — any late payment stays for 7 years.
Credit Inquiries: Hard inquiries (loan applications) and soft inquiries (self-checks). Hard inquiries can temporarily lower your score.
Public Records: Bankruptcies, liens, judgments. These are severe negative marks.
What to Look For
Check for accounts you did not open (identity theft). Verify balances are correct. Dispute any errors immediately — incorrect negative entries can cost you thousands in higher interest rates.