Credit Bureau
BeginnerA credit bureau is a company that collects and maintains information about how individuals and businesses borrow and repay money, and provides credit reports and credit scores to lenders and other authorised users.
Credit bureaus, also called credit reference agencies, gather information from lenders, such as banks, credit card companies and utility providers, as well as some public records. They use this information to build a credit file for each person.
A credit file typically shows the accounts a person holds, their credit limits and balances, their payment history, any missed payments or defaults and recent applications for credit.
When someone applies for a loan, mortgage, credit card or even a rental property or phone contract, the lender usually checks their credit report from one or more bureaus to judge how likely they are to repay.
Major credit bureaus include Equifax, Experian and TransUnion, which operate in many countries, although some countries have different or state-run systems. Individuals generally have the right to see their credit reports and to correct inaccurate information. Checking your report regularly can help spot errors or signs of identity fraud.
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