Paul Yamilkoski

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A Road Map To Better Credit

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Why Should I Check My Credit Report?

"Why Should I Check My Credit Report?"

I get asked this question a lot.

On one hand, it seems obvious to nearly everyone that knowing what is reporting on your credit report is important.

But, on the other hand, that is kind of like saying it is important to eat healthy. We all know it. But that is not necessarily enough to get us to do it.

So lets give checking our credit report a little meaning and value.

I’ll give you five reasons it is important to check your credit report:

1. Identity Theft –             identity-theft-368x208.jpg               You would be amazed (or maybe not) by how many people have their identity stolen on a daily basis. According to an article published by the

Insurance Information Institute, it is estimated that 12.7 million people got their identity stolen in 2014 totaling $16 billion, slightly down from 13.1 million cases in 2013. You don’t want to be one of those. Keeping a close eye on your credit can help catch a thief quickly, and save you a lot of work trying to repair the damage.

2. Wrong Information – This is a little like identity theft, in that you have things reporting on your credit that have nothing to do with you. Those things can be very damaging to your credit. It is very easy for things to get onto your report that are not yours. Think about it. All it takes is a simple typing error at any point of a customer’s journey making a purchase, and you could have that info reporting on your credit. This is especially true when you have a common name, are a junior or 1st 2nd or 3rd. I see this most significantly with Hispanic names, as it is not uncommon for them to have multiple name elements that match for a father and all the sons. This gets compounded when the entire family gets their social security numbers at nearly the same time, because the numbers also end up being very similar. When you think about it, it is easy to see why it can be very important to know what is reporting on your credit.

3. Inaccurate Information – This information is yours, but not reporting correctly. This may not seem like a big deal in many cases. But you would be surprised how big an affect wrong balances on credit cards or wrong dates for late history can have on your scores. You might even have late history showing that was never actually 30 days or more late. This is all very important to keep an eye on. I often see errors like this that, when repaired, cause a significant change in a person’s credit scores.

4. Planning for Financing –        images.jpeg       Your credit report, and the score that is generated from the information reporting on it, have a direct affect on your ability to qualify for lending and the interest rate you will pay. You will want to be aware of how things are reporting, so you can act to maximize your opportunity and benefit when getting lending of any kind. A 1% difference in the interest rate for a $150,000 home on a 30 year mortgage will result in more than a $30,000 difference in the amount of money you will pay over the life of the loan. On a $250,000 loan it can mean a difference of more than $50,000 over the life of the loan. A little investment in improving your credit can pay huge dividends.

5. Credit Affects Everything – Your credit score can affect your ability to get a mortgage or auto loan and the interest rate you pay. This can be huge. I have seen a person’s monthly auto payment double from what someone else was paying for the same loan value, simply because of the difference in their credit score. Your credit score can affect your ability to open a credit card and the interest rates they charge. Does your credit card charge 0%-5% interest or do you get changed 29%? Your score (and your history on that card) will be the difference. Your credit score can affect your ability to rent an apartment, to open a checking account, or to get a personal loan. Potential employers will often check your credit when making a hiring decision, or when considering you for a security clearance. Your credit score can even affect the rates you pay on health, life and auto insurance. I have a friend who sells insurance that said more companies are using credit in setting the premiums customers pay. In fact, he mentioned he got several new customers that came to him because the particular company they were with was almost doubling their premiums at renewal, all because they were using credit scores in determining premiums now. 

I hope is is not only obvious to you that your credit is important to watch, but that it is important enough to act upon. Sadly, most people don’t worry about their credit until they need to use it.

Checking your report is free – You are allowed to get a free copy of your credit report from each of the three major credit bureaus one time every twelve months from

If you check your credit and discover that there are some problems, a reputable credit restoration company like Heartland Credit Restoration can make the process radically easier and timely, and they will make sure your credit is loan ready as well as life ready. The investment in your credit will pay fantastic dividends in all areas of your financial life over the years to come.

I welcome your comments and ask that you share this information with all your contacts on social media. We at Heartland Credit Restoration are all about helping people get positive control over their credit, and the more people that know this kind of information, the better.

If you are facing credit challenges, or you have a client that you are going to have to turn away due to credit challenges, then I encourage you to give me a call. We can look at how Heartland Credit Restoration might be able to help you turn things around and get that credit loan ready. There isn’t a better company you can go to for help. I will look forward to talking to you and I hope you have a wonderfully blessed day!