A credit report shows a record of your credit activities such as credit card accounts, auto, home or other personal loans, the balances of each loan and payment history. A credit report will also indicate whether or not a creditor has taken any type of legal action against you because of unpaid balances. In addition, a credit report might contain the following information about you:

* Personal Identifying Information: full name, any known aliases, current and previous home addresses, social security number, date of birth, employment history and if necessary, the same information about your spouse.

* Credit Information: accounts with banks, retailers, credit card companies, utility and phone company accounts and other lenders with whom you have credit.

* Information of Public Record: state and county records regarding bankruptcy, any taxation liens and/or monetary judgments.

* Recent Creditor Inquiries: a list of names concerning who has obtained copies of your credit record within the past 365 days, and within 24 months for employers.

It is important to make sure all of the information contained on your credit report is accurate, because errors are quite common. You could be a victim of mistaken identity, inaccurate information or other errors and not even realize it, and this can have a direct impact on your ability to secure a loan or credit card when you need it the most.

If you realize there is an error contained within your credit report, there are things you can do to rectify the situation and regain good credit. You must contact the reporting credit agency as soon as possible, then the company becomes liable for researching, correction or removing erroneous information. Keep in mind, this is a process that can take up to 45 days to complete, so you must remain patient.

Once the incorrect information has been removed or absolved from your credit report, a new copy with the proper information will be forwarded to the parties who have received an incorrect copy of your report within the last 6 months.

If you are denied credit because of an inaccuracy on your credit report, the lender must provide you with the information about the credit bureau that furnished the credit report. You have a period of 30 days within which to request a free copy of your credit report and the credit bureau must provide you with all the information appearing on your credit record.

If you have a history of missed or late payments, it will most likely show up on your credit report. Information of this nature can prevent you from receiving a credit card, car or home loan, life insurance and in some cases, even employment. For these reasons alone, it is important that you as a consumer know about your rights and are aware of all the information that shows up on your credit report.

All of your credit history information, whether it is good or bad, stays on your credit report for a period of 7 years. If you have ever filed for bankruptcy or had a wage garnishment, the information will likely remain active for approximately 10 years.

In the United States there are three main credit bureaus, Experian, Trans Union and Equifax. You are entitled to receive one free credit report from each agency within a period of 12 months. You can contact the agencies via telephone or U.S. Mail. You must provide specific information such as your name, current or previous address, phone number, social security number and date of birth and you will have to verify the information by providing a copy of an ID card, drivers license or bank statement.

Bear in mind that each credit bureau may have conflicting information, and they may not communicate or share information. This is why it is so important to know what is contained in your credit report and having a copy from each one will ensure the information they have about you is accurate and up-to-date.