This is one in a series of 10 posts to help you get, and remain, financially healthy. It’s best to start at this post. [click here]
Listen to me closely… having great credit is not everything, but in our society it goes a long way. So make it a point to protect your credit, however, don’t get caught up in the “credit is everything” mantra. Let’s face it, what would you rather do, build credit or build wealth…? Building wealth is more important. So, focus on things that build wealth without forgetting to protect your credit.
Start here https://www.annualcreditreport.com. Make sure to use this website. There are many websites that offer a free “credit report” but they are geared towards selling you a bunch of stuff you don’t really need. Just stick with this link… it’s free and it’s sponsored by the three credit reporting firms; Equifax, TransUnion, and Experian.
You get one free credit report from each firm annually. This allows you to pull a report every four months (i.e., in January pull a report from Equifax, in May pull a report from TransUnion, in September pull a report from Experian). This gives you three free reports each year. When the New Year rolls around do the same thing again; all of this can be done from this one website.
Why is this important? Being proactive is better than being reactive. By pulling a report every four months you will see if any scoundrel has hijacked your identity. Believe me, the sooner you discover this, the better.
Using this website, and taking a few moments every four months, will give you a heads up if your identity ever gets stolen and can save you from the stress, inconvenience and cost of having to repair your credit.
Next, we’ll evaluate the risks in your life.