What is a consumer credit reporting agency?
by 
The Curious Bag
ANSWERS: 1
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A consumer credit report agency is an organization that collects and sells information on the bill-paying habits of individuals. These agencies collect personal and financial data from sources that individuals have had financial relationships with.
Function
The credit reporting agency (or credit bureau) uses the collected data to assign a credit score that indicates how creditworthy a person is.
Function
The credit bureau then sells individual credit reports to prospective lenders and creditors.
Significance
The lenders and creditors use this data to decide how much credit, if any, to give to a person.
Agencies
The three major nationwide credit bureaus are Experian, Equifax and TransUnion.
Benefits
You can request your free credit report once every 12 months from each of the nationwide consumer credit reporting companies.
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