Many Wisconsin residents neglect to think about their credit reports until they need to make a big purchase. If you are among them, you may find a few surprises when you get around to reviewing yours. Studies suggest that about one in every five Americans has at least one mistake on their credit reports. If you are one of them, the mistake has the potential to lead to additional hardships.
Errors on your credit report may make it harder for you to obtain loans for cars, homes or other major purchases. Even if you are able to secure a loan, you may wind up paying more in interest on it because of mistakes that appear on your credit report. Many credit reports contain errors in the same areas, so recognizing where these areas are may help you identify any issues with your own. So, before trying to secure a loan, review your credit report for these common mistakes.
Accounts mistakenly marked as delinquent
Having any of your credit accounts mistakenly tagged as “delinquent” may cause your credit score to take a serious hit – even if the information is incorrect. If you see mismarked accounts, try to get things straightened out as soon as possible.
Accounts with incorrect balances or credit limits
It is also important that your credit report contain accurate information about your outstanding balances and credit limits. Your credit score depends in part on how much credit you are using in comparison to how much you have available. So, you need to make sure the information listed in these areas is accurate.
Correcting credit report errors may require you to contact two entities. You may have to contact the specific creditor, and you may need to get in touch with the company that gave you the incorrect credit report, too.