As of Thursday, December 1, 2004, one-third of Americans will be able to access their
credit reports from all three main agencies for free. Passed in late 2003, the Fair
& Accurate Credit Transactions Act creates a central source consumers can use to
obtain a free annual credit report.
Equifax, Experian, and Transunion,the three largest credit
reporting agencies, have set up a special site where consumers can request, view, and
print their free report. That site is annualcreditreport.com and is
the only authorized site to request your free report(s).
Those without internet access can call toll-free at 877-322-8228
or write to Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281
to request their report(s). This service, which begins in the west coast, will
eventually cover all the states by September 2005.
Although you'll be able to see where you stand with your
creditors, you won't get any type of a credit score, such as a FICO score. Your
credit score is the actual number ranging from 300 to 850 that lenders use to judge your
creditworthiness and the interest rate they'll charge you. The Federal Trade
Commission is still considering what fee would be reasonable for the bureaus to charge
consumers to get their credit score.
Additional provisions of the FACT Act include: creating uniform credit standards,
requiring retailers to hide all but the last five digits of your account number on
receipts, and new "opt out" rights for consumers.
Also, banks will have to tell you if they are giving you credit at less favorable terms
based on your credit score and alert you if they report any negative information about you
to the credit bureaus.
Checking your credit report annually is a habit that you should exercise regularly,
especially with the increase in identity theft. Unfortunately, if you reside in New
Jersey, New York, Maine or any of the other Eastern states you'll have to wait until
September 1st of 2005 before you can check your report for free.
Author: James H. Dimmitt. James is editor of "To Your
Credit" a FREE weekly newsletter focusing on money management news and
tips. You can subscribe to his newsletter and also get a FREE copy of your credit
report when you visit: http://www.yourfreecreditreportnow.com
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