A question that a lot of people ask nowadays is whether or not they are business credit reports restricted by law. In other words, are they private, and only for the benefit of the company that issued them? The answer is no. In fact, they are reports that are required by law, and are a vital tool for doing business.
Credit reports are all about you and your financial history. They show how responsible you have been with the money you have borrowed from banks and lenders. The companies who report your information to the three main credit reporting agencies, Equifax, TransUnion, and Experian, want to see this information. It allows them to do things like make decisions about your hiring, giving out loans and credit, extending your credit, and determining how much risk they are taking when dealing with you.
This information is important. Without it, companies would have no way of determining if you are a good risk. They would simply be guessing. And guess what – they are pretty much guessing at this point, because you are not showing them anything. So where's the problem?
The problem is that the companies are restricted in how they can use the information contained in the reports. You might have read that they can only show them to certain people. That's true. They are restricted in how they can show you your report, and under what circumstances. Here's why.
All credit reports are confidential documents. They are meant to keep your identity safe, and to help the banks and financial institutions to figure out how much of a risk you are to them. Part of that safety comes from your permission. Your permission is required for anyone to get the information contained in your reports. If you don't agree to them showing you information, you have the right not to see them at all.
But what about your business? What if you don't agree to let anyone else have access to your reports, and you want the company that is doing the reporting to have unfettered access to your credit reports? Well, that's where the problem comes in. There are very few companies out there that have complete access to your reports and even fewer that have permission from you to show the contents of your reports.
That's where a service comes in. A service will go through all of the companies that have reports on you and find out what exactly is contained in each of those reports. That's their job. And they do it well. When a financial institution or company requests your reports, a service like this can go through and match them up with all of the reports they have on you, giving you the exact financial data that you need.
So are business credit reports restricted by law? The answer depends on what you think. If you think that you are entitled to them, then yes, they are restricted by law. However, if you think that you aren't, or that you only need certain companies to look at your reports, then no, they aren't restricted by law. But what good would that do for you?
Think about it for a second. With the amount of information contained in reports from so many different companies, you stand to benefit greatly from having only the most relevant reports . . . . . . from the companies that will affect you. Sure, it can be exciting to get some interesting offers, or hear about a great discount that you can take advantage of. But unless you're shopping for a small item or hiring a mechanic, you probably shouldn't give too much thought to what those offers and discounts mean. In the grand scheme of things, though, you'll probably wind up saving more money by simply knowing exactly who you're dealing with.
Take charge of that situation by knowing precisely what you need. Use an online service that will not only give you access to reports from some of the most trusted companies out there, but will also give you access to information about all of the financial institutions that have reports on you as well. Don't even worry about how to get started. You can get started right away and complete your search from your computer. From there you can decide who you want to deal with for your financial affairs.
The fact is that no one can restrict your access to vital information about yourself. That's your job as the consumer. So, why are business credit reports restricted by law? It protects you. Don't allow anyone to sell you information that doesn't pertain to you! If you know where to look, you can find out exactly who the information comes from and why it's being presented to you.