Living without credit has become hard in these days. Availing a credit at the low-interest rate or ability to get approved for best credits offered by banks is now a goal to many people. Hence, Your credit report helps in this case.

Your ability of where you stand as a borrower is determined by the credit report. Your credit report basically contains your borrowing information: It documents your past use of credit, making special note of any slip-ups. A Bank or a financial institution will look into your credit report which helps them to determine whether or not to approve you for a loan or credit card and also at what interest rate.

A credit report used for:

Credit Reports

Borrowing money

It is the most common use of credit report in borrowing money. Banks and financial institutions will look into your credit report to decide your potential to repay the loans on time. Since they don’t know you personally .they use your credit report to determine your ability. If loan offered without credit check will have high-interest rates.

Insurance coverage:

Insurance companies look at your credit report in order to determine whether r not to cover you. Instead of looking into your lending credit scores, they look for how long you have insured and paid your premiums consistently or not.


Some employers will ask for your credit report in order to evaluate how you managed your financial history. They are just trying to judge how responsible you are in your financial life. In some jobs, they want to avoid situations where you might be tempted by bribes.


In order to get services like electricity and water, they ask you for a credit check. if it is not possible then your service provider often demands a larger security deposit.


similar to utility companies, You next property owner may ask you to pull your credit report which can decide your rental cost and prevent you from the higher deposit.

The most important information used in a credit decision is information from your credit reports and details that you include in an application.