How does my credit score affect my application?
A lender will look at several key elements of your loan application to determine whether you qualify for a loan including your income, expenses, assets, and credit history. Generally, your credit score and credit report will give a lender a good idea of your prior credit history, how much and what type of debt you are carrying, whether you've made payments on time and if you've declared bankruptcy. A higher score may help you qualify for a wider range of loan products at the best available rates.

What if I don't have credit, or my credit is "less-than-perfect"?
Because a lender looks at several elements in your application, not just credit, you may still qualify for a loan. While options are available, they may include higher interest rates and larger down-payments in order to reduce the risk to the lender in providing you with a loan. If you think your credit may inhibit you from qualifying for a loan, you might consider building or improving your credit score before applying for a loan by making at least minimum balance, on-time payments for existing debts, reducing and keeping credit card balances low, restricting the number of credit accounts you open or apply for, and reducing your debt-to-income ratio to 20% of your net monthly income.

What affects my credit score?
Your credit score is a calculation based on type of credit in use, number of credit inquiries, your past payment performance, the length of credit history, and amounts owed.

How do I correct a credit report error?
In order to reduce the chances that an error will affect a lender's loan decision, errors should be corrected immediately. If you can, work with the creditor who reported the error directly as they reported the inaccurate information to the bureau. If you are not able to contact or resolve the error with the creditor, notify the appropriate bureau that you are disputing the accuracy of the information on your report.

All three bureaus now allow you to submit a dispute online, in addition to submission by mail.

Equifax
PO Box 740256
Atlanta, GA 30374-0256
800-685-1111
www.equifax.com

TransUnion
PO Box 2000
Chester, PA 19022-2000
800-916-8800
www.transunion.com

Experian (Formerly TRW)
PO Box 9595
Allen, TX 75013
888-397-3742
www.experian.com