Investors Community Bank's Podcast

Money Matters with Matt - June 12, 2020

June 11, 2020 ICB
Investors Community Bank's Podcast
Money Matters with Matt - June 12, 2020
Chapters
Investors Community Bank's Podcast
Money Matters with Matt - June 12, 2020
Jun 11, 2020
ICB

On today's episode, Matt discusses the importance of monitoring your credit report. 

Show Notes Transcript

On today's episode, Matt discusses the importance of monitoring your credit report. 

Speaker 3:
And now, Investors Community Bank welcomes you to Money Matters with Matt, on 1240 radio WOMT.

Jim:
Welcome back in the studio, Matt Lemke. Matt, great to see you.

Matt:
Good to see you, Jim, thanks for having me.

Jim:
Let's talk about credit reports, and credit scores, and all that fun stuff. First off, a credit report is like a track record, isn't it?

Matt:
It is, that's a good way to describe it. It's a history of your ability to repay any debt that you've had historically.

Jim:
Good, or not so good.

Matt:
Correct.

Jim:
It's all there.

Matt:
It is all there.

Jim:
So, how do we check our credit report? Is it free? Does it hurt to check your credit report? I think that's the biggest thing, people go, "Don't check your credit score, it'll hurt your score."

Matt:
It won't hurt your score, may be painful for you to have to go out and do, but you can go out three times a year. And, you can check your credit report from each one of the major credit reporting agencies, Experian, TransUnion, and Equifax. And, you can do that by going to annualcreditreport.com.

Jim:
Annualcreditreport.com. What am I going to find there?

Matt: 
You're going to find, first of all, a series of very secure verification questions to make sure you are you, Jim, and that you are actually trying to check your own credit report. And, once you are in, you will see a copy of what financial institutions, auto lenders, dealerships see when they look to extend your credit. It shows a history of your ability to repay any debt that you've had. It also reports certain things like We Energies or other bills that choose to report into the agencies.

Jim:
How often do you check your credit report?

Matt:
You should check it at least once a year. It's up to you if you want to check all three of them once a year, but you're entitled to one free every single year.

Jim:
Is it free?

Matt:
It is free. 100% no cost to you.

Jim:
That's good. So, you're going to see all these different things, and it's not really hieroglyphics if you understand how to read a balance sheet [inaudible 00:01:54]. It might even bring back some memories, "I remember when I had that credit card." So, what are you going to do if you're looking at this sea of information that you pull on yourself on your credit report, what are you going to do if you find something that's not right?

Matt:
Depending on where the mistake lies, or what is believed to be a mistake, you're going to want to contact whomever the extender of credit was. So, if it's a credit card, you can certainly reach out and call that company directly. If it's a financial institution, you can reach out and question them. And, at the very least, you're going to want to reach out to the credit bureaus themselves, Experian, TransUnion, or Equifax, and make sure that they understand that you've got a dispute.

Jim:
And that's how they do it, they put it in dispute, they don't just take your word for it, they [inaudible 00:02:37] your report, what do they do?

Matt:
No, there's a process behind the scenes when a dispute is filed, depending on where the credit was and what the dispute tends to be, and that all gets handled behind the scenes by the credit reporting agencies.

Jim: 
So, what do you do in between reports? Say I check my credit score now and then around Christmas, what do I do between that time?

Matt:
You just have to continue to remember to be diligent about making payments on time. The biggest thing a credit report looks for is if you've had any late payments, either 30, 60, or 90 days. It also checks any histories of bankruptcies or potential tax liens. And again, it's really keeping a monitor on how well you were able to pay debt that was extended [crosstalk 00:03:13].

Jim:
And, when you get a credit report, sometimes it includes the credit score, the higher the score the better?

Matt:
The higher the score the better, yes. The lower, not so good.

Jim:
Okay. So, we're learning about credit reports. What is that website again if somebody wants to go check, for free, their credit report?

Matt:
It is annualcreditreport.com.

Jim:
Easy enough to do. Matt, it's been great, we'll talk again soon.

Matt:
Sounds good, thank you.

Speaker 3:
You've been listening to Money Matters with Matt, presented by Investors Community Bank. Let your money work for you. To learn more, visit investorscommunitybank.com. And, don't forget to tune into Money Matters with Matt every Friday morning here on 1240 radio WOMT. Investors Community Bank, we promise to walk in your shoes, Member FDIC.