Do You Know Whats On Your Credit Report ?

It is important to know your credit rating for a number of reasons. Believe it or not there may be errors in your credit report, and it is essential that you repair them immediately.

It is a common practice for a bank or lending institution to check your credit, and within minutes they will know more about your financial background than you will. Is this something that is appropriate and to your advantage? No, absolutely not. It is truly a disadvantage for you when negotiating a loan.

Imagine that you are negotiating for a loan and don't know that you have bills outstanding or worse there may be errors in the report itself. Whatever the reason may be,it needs your immediate attention.

You have to remember that a bank bases its conclusions on whether to lend or reject your loan application on your credit information. A good report and you will have the cash for whatever you need. A bad one and you are not only negotiating to get the loan, your fighting to get a reasonable rate of interest. Worst of all with a bad credit report you are flat out rejected and away you go only to get rejected by others.

Suppose you know nothing about your own financial background and you are asking for a loan. For all you know you could possibly have bad credit, but you can count on the loans officer knowing it for sure. Who's in the driver's seat when it comes to negotiating the loan or a reasonable interest rate? Not you that's for sure. Put yourself in their shoes and you can see what the bank is thinking "Bad financial history equals a high risk loan". Your negotiating power and relationship are going south and that is something you don't want especially in your time of need.

The best solution is to know your background before you ask for a loan. Get your credit report so you know where you stand!

-Are there any errors? FIX them

-Do you have bad credit due to unpaid debts? PAY them.

Honesty is generally the best policy when dealing with the bank and acknowledging the problems whether it is an error or bad rating you can assure the bank that you are aware of it and it is being addressed and corrected as you speak. In that light you continue a positive relationship with your institution and your chances of getting the loan will increase.

It is important to know your financial background.

Chris Rodriguez is the author and webmaster for We offer pertinent financial information on home loans, car loans, student loans, debt consolidation, and other finance related topics. If you are looking for a loan, but are worried about your bad credit, we can help! Visit us at