DCCU Routing # 251483311
Types of Credit
Credit Reports
A credit report contains information about your credit history and the status of your credit accounts.
This information includes:
How often you make your payments on time
How much credit you have
How much credit you have available
How much credit you are using
Whether a debt or bill collector is collecting on money you owe
It also can contain public records such as liens, judgments, and bankruptcies that provide insight into your financial status and obligations. Lenders use these reports to help them determine if they will loan you money, what interest rates they will offer you, or whether you continue to meet the terms of the account.
You can obtain a free credit report every 12 months from each of the three main credit reporting agencies – Equifax, Experian, and TransUnion – from a central website, www.annualcreditreport.com. During the pandemic, you are able to obtain your free credit report weekly from this website.
Credit Scores
A credit score is a number that represents credit worthiness. For many years, credit scores were only associated with high-ticket items such as a car or a home. Today, credit scores can affect your ability to get a good rate on commodities such as car insurance or cell phones, and can even determine whether or not you are hired for a job or get a promotion.
Ninety percent of lenders and creditors use the FICO score, which ranges from 300 to 850. The higher the score, the better it is for the consumer, because a higher credit score can translate into a low interest rate.
The Five Factors that go into Credit Scoring
Credit scores are comprised of five factors. Points are awarded for each component, and a high score is most favorable. The Factors are listed below in order of importance:
Remember that a credit score is a computerized calculation. Personal factors are not taken into consideration when a credit report is generated. It is merely a snapshot of today’s credit profile for any given borrower, and it can fluctuate dramatically within the course of a week.
Building Credit
Building your credit is a process that doesn’t happen overnight, but there are many things you can do to start building a positive credit history.
Disputing Credit Report Errors
Mistakes do happen. If information in your credit report is wrong, your credit score could suffer. Dispute any serious errors, such as:
Accounts that aren't yours
Reports of late payments when you paid on time
Bankruptcies older than 10 years or accounts that were wiped out in bankruptcy but are listed as still due
Other negative information that's older than seven years
Make a copy of your credit report and circle the items you are questioning. Remember to keep the original copy for your own records.
Prepare a letter to the credit reporting agency that provided you with the report in question, and request to have the erroneous items removed or corrected.
Prepare a letter to the creditor reporting the problem, especially if you feel you are a victim of fraud or id theft. Inform the creditor that you are disputing an error reported to the CRA, state why the claim is inaccurate and include any relevant documentation to prove your point.
Send your correspondences via certified mail. You should receive a response from the CRA within 30-45 days. If the error has been corrected, they will send you a fresh copy of your credit report at no charge showing you the item has been removed. If they can’t remove the item, you have the right to include your side of the story in the credit report.
Contacting the Bureaus
Equifax
PO Box 740241
Atlanta, GA 30374-0241
1-888-548-7878
Experian
PO Box 2104
Allen, TX 75013-0949
1-888-EXPERIAN (397-3742)
TransUnion
PO Box 1000
Chester, PA 19022
1-800-916-8800
Alternatively, you may also dispute errors on your credit report online. More information about disputing errors through Equifax can be found here. Disputing errors through Experian can be found here. TransUnion errors can be disputed here.
Contact Us
Local Calls: 540.946.3200
Out of Area Calls: 800.245.8085
P.O. Box 1365,
Waynesboro, VA 22980
Local Calls: 540.946.3200
Out of Area Calls: 800.245.8085
P.O. Box 1365, Waynesboro, VA 22980
© 2024 DuPont Community Credit Union