Lenders will typically require a credit check when you apply for credit such as a mortgage, credit card or auto loan. Prospective landlords, employers and utility providers may also check your credit. If the check doesn’t go well, your application may be denied or you may get unfavorable loan terms, like a higher interest rate.
There are moves you can make to avoid surprises and put yourself in the best position possible. Here’s what to do if you anticipate a credit check.
4 things to do before a credit check
1. Unfreeze your credit
Freezing your credit helps prevent fraud: It blocks others from accessing your credit reports and opening a new account in your name. But if you don’t remove a security freeze before applying for credit, creditors can’t run a credit check and likely won’t approve your application.
Not sure whether your credit is frozen? Log in to your accounts with the three major credit bureaus (Equifax, Experian and TransUnion) to view your status or call their…
This article was written by Lauren Schwahn and originally published on www.nerdwallet.com