A credit report has a massive impact on your life. If you are trying to get credit for a new car, or a loan for a new kitchen, or seeking a mortgagethen you can bet that the potential lenders have checked out your credit report.

If your credit report stinks, you can expect to be denied or, at the very least, pay a higher rate of interest. To this extent, ensuring your credit report is error-free is a no-brainer. If you know how to obtain a credit report, you can cross-check your report for potential mistakes, and monitor your own financial behavior in order to improve it.

What is included in a credit report?

Typically you can expect some personal information, such as previous addresses, public records, date of birth and your social security number.

It also tells how you pay your bills, the credit you may have remaining, what kind of debts you might have, and how efficient you are at repaying on a monthly basis.

What does the credit report tell the lender about me?

The credit report makes no official judgment -- it is simply a collection of information recorded about your financial affairs. The lenders themselves will draw judgments from the report, deciding whether you are worth a punt or not.

If all my information is on there, then why do I need a credit report?

There are two key reasons why you should learn how to obtain a credit report. Firstly, there is always the possibility that errors have been made on the report, and such errors could be directly affecting the decision that lenders make. You will have the opportunity to dispute the errors or explain any mistakes that have been made.

Secondly, a credit report acts as good reflection on the way you handle your finances. Many people have found it acted as a guide to what they could do better in the future. Consequently, your credit report might be excellent a few years down the line if it isn't already.

How do I obtain a credit report?

There are two popular methods. The first is to write to one of your country's credit agencies and, for a small fee, they will send you a full report in the post.

Alternatively you can now obtain your credit report instantly online. This is a simpler and faster solution. Once again, you will pay a small fee. Shop around, as some services will provide you with a free trial.