The information in your credit report affects many aspects of your financial well-being. It informs your credit score, which affects your ability to borrow money and the interest rates you will pay on every loan from credit cards and auto loans to home mortgages. It can also affect the insurance rates you'll pay or your ability to land a new job or rent a new apartment.

Federal law mandates that the three national credit report agencies (CRAs) provide one free report annually.

Yet 35% of Americans never check their credit reports, according to a 2015 survey by and another 14% check less than once a year.

Checking your report is also free. Federal law mandates that the three national credit report agencies (CRAs) provide one free report annually. The three CRAs are Experian, Equifax, and TransUnion. The only official website for these free reports is Be sure to request reports from all three agencies because information reported to each differs.

Checking your report regularly can protect you in these four important ways.

Enables You to Correct Mistakes

At least 1 in 5 credit reports had a confirmed error, according to a 2013 study by the Federal Trade Commission (FTC). In many cases such errors can affect your credit score and ability to get credit. If you find any errors, dispute the information immediately with the CRA. Disputing Errors on Credit Reports from the FTC provides a quick guide.

Helps You Protect Yourself Against Identity Fraud

Often the first signs of identity theft show up on your credit report. How do you spot it? Look for any new credit accounts that you did not open, bad debts that aren't yours, or credit checks for credit or loans that you did not apply for. Report these errors immediately to the CRAs using the guide from the FTC. You may also wish to request a credit freeze be placed on your account at all three CRAs. See Credit Freeze FAQs from the FTC.

Helps You Keep Your Credit Score and Credit Rating High

Most institutions base credit decisions on your three-digit credit score. About two-thirds of that score is based on two things: 1) your payment history (paying all bills on time is best) 2) how much of your available credit you are using (less is good, maxing out your limits is bad). Reviewing your credit report enables you to check if any payments are reported as late or delinquent and correct any errors. You can also check the total of outstanding credit (loans/debt) against your limits. This is particularly helpful with credit card accounts. Many credit card companies and other financial institutions are now providing your credit score on your monthly statement. Otherwise, you may purchase your credit score when your request your free reports at

Helps You Prepare to Buy a Home or Other Large Purchase

Putting your financial house in order is particularly important when you plan to apply for a large loan, such as a home mortgage. Regularly reviewing your credit report in the year or two before you plan to apply for a mortgage enables you to check on potential errors and track your progress in improving your creditworthiness.

So How Often Should You Check Your Credit Report?

The Consumer Financial Protection Bureau recommends that you check your three credit reports at least once a year. To keep an even closer eye on your credit, you may wish to spread the request for the three major reports over the year at four month intervals.

Depending on your circumstances, you may also be interested in checking on reports from some of the specialty consumer reporting agencies, which report on your history with specific products or services, such as medical payments or car insurance claims.

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