subject: Know What Your Credit Report Looks Like Before You Apply for a Loan [print this page] When it comes to applying for loans, many people find that they jump into the process far too quickly, and without doing the adequate research in order to ensure that things go smoothly. Applying for a loan is not nearly as transparent a process as it may seem, and knowing your rule is crucial if you don't want to end up getting rejected. Perhaps the most important thing you can do for yourself before you get into applying for a loan is checking to see what your credit report looks like.
For anyone who isn't familiar, your credit report (including your credit score) is a major determining factor as to whether or not you end up getting a loan after you apply for one. Lenders can check your credit report to review your history, and if you have run into trouble that you have yet to repair, they will most likely deny you the loan. The simple fact is that many people have no idea what their credit report even looks like. There is no worse way to go into applying for a loan than this.
Fortunately, by utilizing a reputable consumer credit report service, you can obtain your report quickly and without hassle. Your credit report will show everything about your credit history, including all things to do with credit cards, student loans and other debt that you may have. If you have a clean history, your credit score will be high and you will be a far better candidate for a loan. On the other hand, a history of missed or skipped payments and too many inquiries for credit cards is a surefire way to disqualify you for a loan.
It should be noted that while there are many services who offer "free credit reports," more often than not these are too good to be true. Usually, these services make you pay for either a product or subscription in order to get your "free" report, and are generally considered to be scams by many consumers. While it might be tempting to try to utilize one of these services to obtain your credit report, it's best to stay clear of them at all times.
