People tend to be especially concerned about credit reports because this report shows both the credit score and credit history of an individual. From this, those who access it can know how you have been performing in repayment of loans, management of credit cards and a lot more of your financial information.
Credit bureaus gather and keep this information about people and businesses. They have restrictions on who can access this sensitive data to avoid being sued for carelessly handling people’s data. If you are worried about who can access your credit report information, then we will take you through this for a better understanding.
Both individuals and businesses have access to their own credit reports to know how they have been performing and dispute any errors they can identify. It is important to know that many agencies just provide one report per year for free, but it may be necessary to pay for a second report from a credit bureau in certain situations.
An Entity with a Court Order
Most of us know that the judiciary is very powerful all over the world. Once they give a court order to an entity that is conducting an investigation, they can access your credit report without any questions. However, you can dispute this with valid reasons before it is put into action. However, this is a rare occurrence because it is not frequent that a person or a business is involved in a court battle.
Lenders and Creditors
It is normal for creditors like loan lenders, credit card issuers and other creditors to ask for your credit report when they want to know your creditworthiness. According to experts at Boostcredit101, this is what they use to determine whether they will give you loans or not or reduce the amount from what you have requested. It is no wonder people are working so hard to retain an excellent credit score at all times.
It will shock many people that insurance companies can determine your rates using your creditworthiness. Mainly, they hike rates for people with lower credit scores because their probability of making a claim is higher. They may not tell you that they pulled out your credit report, but you can tell by the rates they have set for you. Therefore, it is crucial to always work hard to improve your credit score.
Another surprise for many is that government agencies can call for your credit report. They do not need to have a court order to access this, but they must have a valid reason. The reporting agencies look at the reasons cited and decide whether to grant them the report or not. Mainly, agencies that are investigating a person are the ones that seek this report.
Apart from the above, landlords, employers and utility companies may have a need to access your credit report. For these people, a more detailed procedure is necessary. The good thing is that it is rare for them to require such a report.