Earning and maintaining healthy credit can help you qualify for loans and competitive interest rates.
Do you know what a credit repository is? Let Bankrate fill you in.
What is a credit repository?
A credit repository is an older term for what is now known as a credit bureau. A credit repository or credit bureau is an institution that gathers financial information about the accounts, payment history and payment habits of individuals who have applied for credit or certain types of loans.
A credit card company or bank will use a credit bureau to check on a person’s credit history and payment history when he applies for a new credit card, line of credit, or other type of loan.
If you apply for a credit card or mortgage, the lender will check with a credit bureau to determine whether you’re a good candidate for the loan. Your credit history, your debt-to-income ratio and other factors will be taken into account based on the information provided by the credit repository. Credit bureaus are also used by individuals to keep track of their own credit score and to see what financial information of theirs is available to be seen by credit card companies, banks and others.
Credit repository example
The most well-known credit repositories are Equifax, TransUnion and Experian. These are the largest and most used credit bureaus in the United States. These institutions keep track of an individual’s credit history, payment history, any open accounts he may have, and his overall credit score.
More From Bankrate
4 min read Apr 20, 2022
Your credit score has a huge impact on your financial life. The good news is that building credit isn’t hard. Here’s how to start improving your credit today.7 min read Mar 14, 2022
Late payments can cause significant damage to your credit score, and they stay on your credit report for seven years.4 min read Dec 24, 2021
Tally consolidates your credit cards into one low-interest line of credit so that you only have to make a single payment.5 min read Dec 14, 2021
Getting a boost to your credit line can be helpful for your credit score and wallet, but you should make some decisions before calling your issuer.4 min read Dec 13, 2021
Your credit report is a detailed record of your credit history and the accuracy of those details is important. Here’s what to look for when reviewing your credit report.8 min read Apr 05, 2021
Thinking you only have one credit score is like believing pigs can fly. Here’s the real deal.4 min read Jan 28, 2021
Follow these steps to improve your credit score over time.7 min read Dec 18, 2020
Building a good FICO credit score is one of the best things you can do for your financial health.5 min read Dec 14, 2020