What do Equifax, Experian and Trans Union do? And sure no one is able to see their credit report. Compile credit reports and individuals. Decide whether to approve or reject a loan application. Help you improve your credit score.
Equifax, Experian, and TransUnion are major credit reporting agencies. Their primary function is to compile and maintain credit reports on individuals. These reports contain information about an individual's credit history, including credit accounts, payment behavior, outstanding balances, and any public records such as bankruptcies or liens.
Lenders, credit card companies, and other businesses that extend credit use the services of these credit bureaus to assess an individual's creditworthiness. When a person applies for a loan, credit card, or any form of credit, these agencies provide the lender with the applicant's credit report. The lender then uses this information to decide whether to approve or reject the application.
Additionally, these credit reporting agencies may offer credit monitoring services to individuals. This involves keeping track of changes in an individual's credit report and notifying them of any suspicious activity, such as unauthorized accounts or identity theft.
While they do not directly help individuals improve their credit scores, credit reporting agencies provide credit information that can be used to understand and manage one's credit effectively. Individuals can review their credit reports, identify errors or discrepancies, and take steps to address them, such as disputing inaccurate information with the credit bureaus.
To summarize, Equifax, Experian, and TransUnion compile credit reports, provide them to lenders for making approval decisions, and offer credit monitoring services to help individuals stay informed about their credit standing.