Common questions regarding free credit scores and reports

You've probably heard multiple offers for a free credit report or free credit score, but it's not always easy to determine which offers are legitimate and what you will learn about your credit, should you choose to accept them. Wading through this information can be confusing and intimidating, since your credit history can influence major events in your life, such as purchasing a home or even getting a job.

If you're confused about where to start when examining your credit, you're not alone. With the answers to a few simple questions, you can be on your way to understanding the tools available to you as you try to get more familiar credit standing.

Am I entitled to a free credit report?
Yes, you are entitled to a free credit report every 12 months from the nation's three major credit reporting agencies: TransUnion, Experian and Equifax.

Should I monitor all three credit reports available to me?
Yes, you should. Each agency uses different strategies to compile your report, and it's important to examine each report for inaccuracies. You don't have to go to each agency to get your report - you can sign up to receive all three at www.annualcreditreport.com.

Does your free credit report include your credit score?
No. While your credit report will provide valuable information about your credit history, your credit score is a number that lending institutions use to help them determine loan approvals and rates. If you purchase your score directly from the agencies, you must work with each one separately to obtain them.

Can you get a free credit score?
Yes. For example, FreeScore.com offers access to your TransUnion, Experian and Equifax credit scores as part of their free trial memberships. Using this service to obtain your scores allows you to get all three scores in one place. If you use a service offering free credit scores, be sure that you are familiar with the terms of your agreement, as additional fees may apply if you continue to use the service after a free trial period.

Understanding the basic tools at your disposal as you examine your credit history can help prepare you for moving forward with some of the biggest financial decisions in your life.