Understanding Credit
When purchasing a home, decisions by lenders and insurers will often be based in part upon the information contained in the credit report of the buyer(s). The resources below will provide information about the importance of maintaining good credit, how to read credit reports, and ways to protect your credit.
Knowing and Understanding Your Credit -- Booklet published by Fannie Mae Foundation summarizing the relevant federal laws, explaining importance of personal credit, reviewing how to understand your credit reports. Document is in PDF format, or can be ordered for delivery by mail. The FannieMae Foundation also publishes other resources for first time homebuyers that are available on the same site.
Summary of Fair Credit Reporting Act -- The Fair Credit Reporting Act (FCRA) is the Federal law that governs the use of credit records. This link is to a 2 page summary of consumers' rights under the law develped by the Federal Trade Commission (FTC), the governmental agency charged with enforcing may of the FCRA provisions.
Fair Credit Report Act -- The Fair Credit Reporting Act (FCRA) is the Federal law that governs the use of credit records. This link is to a copy of the entire law posted by the Federal Trade Commission (FTC), the governmental agency charged with enforcing may of the FCRA provisions.
Placing a Credit Freeze -- A Pennsylvania law that took effect on January 1, 2007, permits PA residents to put a "freeze" on their credit reports by making a request to each credit reporting agency and paying a small fee. This freeze may help consumers to protect their credit records, although it may also complicate efforts to apply for credit (applying for a mortgage, for example) if not handled properly.
Read more about this law and the related procedures from the Consumer's Union.
Read the law.
Credit Brochures from Federal Reserve Bank of Philadelphia -- Links to several informational brochures, including "Your Credit Rating," "Your Credit Rights," and "What Your Credit Report Says About You." Text is available online, or printed brochures can be ordered.
Understanding Your Credit Score -- From the Federal Citizen Information Center and Fair Issac Corp (the creator of the FICO credit score).
Links to other FTC Credit Articles -- This page contains links to several additional FTC articles and summaries relating to personal credit.
AvoID Identity Theft -- National program in conjuction with NAR and the Federal Trade Commission to help consumers Deter, Detect and Defend against identity theft. Link is to special FTC Web site.