A credit report is a record of how you borrow and pay back money. Companies called credit bureaus keep it. It lists your credit cards, loans, and debts sent to collection.

A credit score is a number based on your report. Lenders use the score to decide how risky it is to lend to you. A higher score usually makes it easier to borrow. It can also mean you pay less interest.

The three big credit bureaus are Equifax, Experian, and TransUnion. Each one may have a little different information.

Your credit report and score can affect many parts of life. Lenders use them to decide if they will lend to you and what rate to charge. Landlords may check them. Insurance companies may use credit information when allowed by law. Some employers may look at a credit report, but only with your written permission.

You can get reports from all three credit bureaus for free at AnnualCreditReport.com. You can also call 1-877-322-8228 or request it by mail. The three bureaus currently let you check each report once a week for free. Watch out for fake sites that charge money or sign you up for paid plans. A free report may not show your credit score.

Payment history is a big part of your credit score. A payment that is 30 days late or more may be reported. A late payment, charge-off, or collection account can hurt your score. Under the law, most negative items can stay on a credit report for about seven years, subject to federal rules about when the time period starts.

The law limits who can see your credit report. In general, a person or company needs a lawful reason. This can include a lender, landlord, insurer, or debt collector. An employer generally needs your written permission. You can always see your own report.

You can dispute information that is wrong or incomplete. Tell the credit bureau what is wrong and why. Send copies of papers that support you, not originals. The bureau generally must investigate within 30 days. In some cases, it can take 45 days. It must delete or correct information that is inaccurate or cannot be verified.

First, get your reports and read them closely. Dispute anything that is wrong. If you dispute a debt on your report, tell the company that reported it in writing. If it keeps reporting the debt, the report should show that you dispute it. That note does not erase the debt or guarantee a change in your score. If the bad information is true, there is no quick fix. Most negative information drops off after about seven years. Pay bills on time and lower what you owe when you can.

Be careful with credit repair companies. They often charge a lot and do little. You can do much of the work yourself for free, like disputing errors. They cannot legally remove accurate, current negative information. Federal law also bars advance payment for promised credit repair services. It gives you cancellation rights. Watch for a company that promises a certain score or tells you to lie.

The best step is to pay every bill on time. Try to keep credit card balances low. Do not open many new accounts at once. An older account with no fee may help your credit history. But you do not have to keep an account you do not want. Check your reports and fix errors. Building better credit takes time.

Act fast. Get your credit reports and look for accounts you do not know. Report identity theft at IdentityTheft.gov. The site helps you make a recovery plan. Contact the companies where the fraud happened. Ask them to close or freeze the accounts. Put a fraud alert or credit freeze on your credit files. You can also file a police report. Keep records. You generally do not have to pay debts created by identity theft if you follow the dispute and identity-theft procedures.

Yes. Think about putting a credit freeze on your file at all three bureaus. It is free. A freeze makes it much harder for someone to open new credit in your name until you lift it. Check your credit reports often. Protect your Social Security number and account numbers. Use strong, different passwords. Be careful with calls, emails, or texts that ask for personal or financial information.