According to CBS News, approximately 80% of credit reports contain errors.
Should you be worried about potential errors on your credit report?
Here’s why – an error on your report could cause you to be denied a loan or credit when you need it. Not as serious, but still costly, errors on your credit report can cause you to be offered higher rates for loans. Imagine the effect of not having the best rate you should get on your mortgage?
Errors can also clue you in to fraudulent activity in your name. Yes, someone out there could have an account open saying they are you. And this can cost you big time!
According to the Consumer Financial Protection Bureau (CFPB), common errors include: wrong information about your identity; accounts opened up through identity theft; incorrect payment information; accounts that don’t belong to you; closed account marked as open; and many more.
You can see that having errors on your credit report can be a serious problem and it’s an issue you need to watch out for.