A credit report is a powerful document which will record how prompt you pay your obligations such as bills and loans. It also determines how much credit you normally have or carry and your typical monthly debts. This will let you know - and others -  if you are a worthy risk  for creditors and if you qualify for a better interest rates for loans or mortgages.

You can also use your credit report to find out how much you owe and the name and contact details for your creditors.

A Credit Report is a tool used by creditors to gauge how much of a credit risk you are. In the future, if you will apply for credit cards or a loan for your house or car, this credit report will be reviewed by your creditor.

If the credit report indicates that your bills are not paid on time, you may not be given another loan – at a time you need it the most. It is also possible that you will pay a higher interest rate just to be afforded a loan.