Your Credit Report

The story: Maya’s surprise report

Maya and a parent look over a credit report together and find a store card account Maya never opened.

1. Narrator: Maya is 17. A letter arrives in Maya’s name about a past-due store card bill.
2. Maya: How? I’ve never had a loan or a credit card.
3. Adult: Let’s ask each credit bureau. For someone under 18, a parent or guardian makes the request, with documents.
4. Narrator: One account makes sense: Maya is an authorized user on a family card. That’s a normal reason for a teen to have a report.
5. Narrator: But a store card Maya never opened is listed too. That’s a red flag for identity theft.
6. Adult: We’ll dispute it with each bureau and freeze your credit. Asking about this was exactly the right move.
7. Narrator: Check it free. Fix what’s wrong.

What you’ll learn

1. What’s on a report

   A credit report lists your accounts, payments, balances, collections and inquiries. It doesn’t list income, race or religion. There are 3 major credit bureaus, and each keeps its own report on you.

2. Check it free

   Adults can get their reports free at AnnualCreditReport.com, the official site; how often is on the fact card. A minor’s report works differently: a parent or guardian asks each bureau separately, with documents.

3. Teens: normal or red flag?

   Most teens have no credit report. Being an authorized user on a family card can create one, and that’s normal. A report with accounts you never opened is a red flag for identity theft. Telling a trusted adult is the first step.

4. Fixing errors, and who looks

   An error can be disputed with the bureau and the company that reported it, with proof. Lenders read reports, and landlords, insurers and, with your permission, employers may too. Applying for credit adds a hard inquiry; checking your own is a soft inquiry.

Key words

credit report

a record of your borrowing and how you’ve repaid

credit bureau

a company that keeps credit reports

hard inquiry

a check of your report when you apply for credit

soft inquiry

a check that doesn’t come from applying, like checking your own report

Common questions

Does checking my own report hurt my credit?

No. Checking your own report is a soft inquiry. Only applying for credit adds a hard inquiry.

Remember this

Check it free. Fix what’s wrong.

Try it: Find the problems on a report

1. Find the problems on the sample report from this lesson.
2. Or, with a grown-up, ask each credit bureau whether a report exists in your name. The steps are on the fact card.

Find the problems on the sample report, or, with a grown-up, ask each bureau whether a report exists in your name (steps on the fact card).

Live facts

Numbers that change over time, with when they were last checked and where they come from.

• Free credit reports, and how often

  Source: AnnualCreditReport.com(opens in a new tab)

• How a parent checks a child’s credit, and what to do about identity theft

  Source: FTC(opens in a new tab)

• Disputes, and how long items stay on a report

  Source: CFPB(opens in a new tab)