Understanding Credit

     It has never been more important to have an understanding of your personal credit and how it works.  Bakers Auto Sales wants to help you understand you credit situation. Understanding credit will make all the difference in your being able to manage it and increase your credit rating. We will walk through your report with you….one on one …so you can understand everything.

Credit History:

If you have taken a loan out, used a credit card, or use a cell phone, you will have a credit history. When a bank or institution gives credit it may send information about the account to reporting agencies or credit bureaus. These bureaus are businesses that collect information about how well you pay the money back. This is referred to as your Credit History. If you want to borrow in the future, these agencies will be used by the lender to check on your payment history.

What is a credit report?:

A credit report is a “snapshot” of your credit history, and is one of the main tools that lenders will use when they decide to grant credit.

What’s in my credit report?:

Your personal credit report contains information about your past & present personal & financial situation.

Personal Information contained:
Name, current & previous address,  telephone #, date of birth and current & previous employers.

Credit Information:
Information on any credit you have already, such as credit cards, lines of credit, mortgages etc.

Banking Information:
Information on the accounts you have.

Public Records:
Information on bankruptcy or any court-related judgement that you may have. Secured loans are also included if you have any.

Collection Information:
Any debts outstanding.

Consumer Statement:
Any statement made to explain a particular situation like a dispute with a financial institution or a fraud warning .

Credit Report Inquiries:
A list of all the people who have inquired about your credit; yourself, a lender, or any other authorized entity.

What is my Credit Score?

The credit score is a judgement about your financial health, at a certain point in time. The credit scores indicates the amount of risk a lender is taking lending to you verses other consumers.Credit scores range from 300-900. The higher your score the better.

How can Baker’s Auto help me? 

Reading and understanding your personal credit report can sometimes be confusing. Because we do this on a daily basis, the information in the report is very simple for us. We can explain everything in terms that you can understand. If you have any question about credit …. just give us a call… we will do our best to assist.