3 Factors Influencing Free Online Credit Report Details

The first thing you should realize when requesting a free online credit report is that the details included in that report will be exactly the same as those requested in a paid version. In other words - cost does not influence content.

Instead, the content will be influenced by a number of factors - which you personally have control over. Let's take a look at the 3 major factors which go in to determining your overall credit score, and therefore your free online credit report details.

1. Payment History

Arguably the most influential section of the credit report - a free online credit report will show exactly what your payment history is like. There are really two different ways that this section could swing - in your favour, and out of your favour.

Let's take a look at the differences between how this section could impact your overall credit score:

  • All historical payments are made on time - with no arrears
  • Payments have often been late, and you are currently in arrears

 

A consumer who has paid all of their bills on time every time will note that their payment history section is hugely beneficial to their credit score. However - someone who has been unreliable in their payments will see this section negatively impact their credit score.

2. Amounts Owed

This is the total amount which is currently owed to all creditors. If your income is high enough to provide cover for all of your loans and repayments, then this section will positively affect your credit score. Alternatively, if you are too far in to debt, and your income is only just covering the monthly or weekly repayments - this section could hurt your credit score.

3. Length of your Credit History

Your free online credit report should show you how long you have been an "active consumer". This information is based on the amount of time which has passed since the first entry on your credit report. The longer the better! Why? There are two reasons:

  • Longer credit histories provide creditors with more details to allow them to make credit worthiness decisions
  • They also mean that you are older, wiser, and potentially more financially stable than someone who is only 18 or 20 (for example)

Of course, these are not the only three influencing factors of a free online credit report. However - they are the most significant. Therefore, when assessing your credit history - ensure that you look closely at these factors and see where, if anywhere, you might be able to improve.