You may see advertisements offering a free credit score on the Internet, yet when you click on one of these ads, you are taken to a website that offers the score only in conjunction with their credit monitoring services. If you are interested in getting just your credit score without the additional services, there are options available. Some are free and some cost a small amount, but all provide you with important information about your financial situation.
The Lure
Credit monitoring services entice you to sign up for their product by offering a "free" copy of your credit score. They can call this credit score free, because typically they offer a free month of service along with your enrollment. The catch is that you have to sign up using your credit card, and they will automatically bill you for the next month of service until you cancel your account. Some companies make it difficult for you to cancel your subscription. The lure of the free score is used to get you to sign up.
The Need for Credit Monitoring
You may appreciate the services offered by a credit monitoring company. Having someone keep an eye on your credit profile for a small fee may seem like a good idea. However, Consumer Reports warns that the services do not provide sufficient protection to justify the price. They cannot fully protect you against identity theft, because identity theft can occur without a change to your credit report. Also, you can monitor your credit history yourself by ordering a free copy of your credit report each year from each of the three credit bureaus through the AnnualCreditReport.com website. This service does not provide you with your credit score, but it gives you all the information used in calculating the score.
Alternatives for Free Scores
If you are interested in getting your credit score for free, you have some alternatives to signing up for credit monitoring services. Any time you apply for a loan, such as a mortgage, car loan or other personal loan, your lender will pull your credit score. Whether the loan is approved or not, you have the right to ask for this copy of your score. The lender cannot charge you for it, although you may pay a fee for the credit pull as part of the loan fees if you are approved.
Fee-Based Alternatives
If you are not planning to get a loan and do not wish to go through the hassle of signing up for and then canceling credit monitoring services, you can get a copy of your credit score by paying for it. Each of the three credit bureaus -- Experian, Equifax and TransUnion -- offers your score for a small fee. Each bureau has a slightly different credit score for you, so you may want to purchase a copy from each bureau to get an overall view of your credit rating.
0 comments:
Post a Comment