Your credit report is divided into four sections: identifying information, credit history, public records, and inquiries.
Identifying information is information used to identify you such as your maiden and married name(s), social security number, current and previous addresses, date of birth, telephone numbers, driver's license numbers, employer, and spouse's name.
Credit history is made up of your accounts, which are sometimes called tradelines. There are two types of credit accounts, revolving, which includes items such as credit cards, and installment, which includes car loans and mortgages. Each account listed includes the name of the creditor and the account number, when you opened your account, what kind of account it is, the payment amount, the status of the account (open, closed, paid, active), the balance if it's a loan, and how well you have paid the account (never late, 30 days late, etc.).
Public records lists financially related data such as bankruptcies, judgments and tax liens that would adversely affect your credit.
The last section, inquiries, is a list of everyone who has asked to see your credit report--everyone from credit card companies you applied to for a new card or banks for a new car loan and creditors interested in pre-qualifying you for a credit card.
It is vital that you understand every piece of information on your credit report in order that you be able to identify possible errors or omissions.
Read your report carefully, making a note of anything you do not understand. The credit bureau is required by law to provide trained personnel to explain it to you. If accounts are identified by code number, or if there is a creditor listed on the report that you do not recognize, ask the credit bureau to supply you with the name and location of the creditor so you can ascertain if you do indeed hold an account with that creditor.
In addition to the account information, credit reports often contain symbols and codes that look like "Greek" to the average consumer. Fortunately, every credit bureau report also includes a key explaining each code.
Equal Credit Opportunity Act (ECOA) Codes
The Equal Credit Opportunity Act (ECOA) requires creditors who report information about accounts to report it in the names of all people with a relationship to the account, including co-signers or authorized users. To help lenders identify your legal liability on all your credit accounts, credit bureaus add a code to each account, termed the ECOA code. Credit bureaus may list the ECOA codes differently, but the basic categories are as follows:
Individual. You alone are legally responsible. This designation gives you a strong credit reference, assuming a good history. You alone are legally responsible. This designation gives you a strong credit reference, assuming a good history. You alone are legally responsible. This designation gives you a strong credit reference, assuming a good history.
Joint. You and someone else -- often a spouse - are both legally liable. A joint account is equal to an individual account for building your credit history. You and someone else -- often a spouse - are both legally liable. A joint account is equal to an individual account for building your credit history. You and someone else -- often a spouse - are both legally liable. A joint account is equal to an individual account for building your credit history.
Co-signer. You signed loan documents for someone else, to help them qualify for a loan. Also referred to as "On Behalf of" (secured credit for another individual other than spouse).
Co-signer, primarily liable: You took out an account for yourself, but someone else co-signed for the loan to ensure payment. Also known as "Maker" (account for which subject is liable but a co-maker is liable if maker defaults.)
Authorized user. You can use the account, and may have a card in your name, but you did not sign the application and are not legally responsible. Because you have no legal obligation, this designation does not help you get your own credit history. You can use the account, and may have a card in your name, but you did not sign the application and are not legally responsible. Because you have no legal obligation, this designation does not help you get your own credit history. You can use the account, and may have a card in your name, but you did not sign the application and are not legally responsible. Because you have no legal obligation, this designation does not help you get your own credit history. Officially referred to as "Business/Commercial" and identifies that the company reported in the name fields is contractually liable for the account.
Undesignated. No status was reported by the creditor reporting the account information and is not used on accounts opened after 06/1977.
