Differences in Credit Reporting Agencies

The three primary credit reporting agencies in the U.S. are Equifax, Experian and TransUnion. These companies are competitors and don't usually share information with one another. Thus, consumers should review all three reports to get an overall view of their credit ratings.

Significance

Each credit report contains information about credit cards, loans, collections and legal judgments. According to Consumer Reports, lenders tend to use the Equifax report more often than other reports. However, in many cases, lenders look at all three reports and may sometimes use the average score of the three when making credit decisions.

Review

Consumers should review all three of their credit reports annually to check for mistakes and discrepancies. In some cases, you may be able to dispute errors online when reviewing your report. You can also explain errors in writing and mail those explanations directly to the credit reporting agency.

Considerations

Your credit score at each of the three credit reporting agencies may be different. Each reporting agency calculates your credit score based on the information contained in the report. Each report may contain different information, so the score calculations can vary between agencies. The website Truecredit reports that scores may vary by as much as 40 points.