IXL | Credit reports | 6th grade math

What are some ways that credit reports are valuable to a credit card company? Select true or false for each statement.

	True	False
Credit reports help the company learn about a borrower's payment history.
Credit reports help the company determine the risk involved in opening a new account for a borrower.
Credit reports help the company know whether a borrower has enough income to make payments.

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What information can be found in a credit report?

	In a credit report	Not in a credit report
The number of credit cards you have applied for in the past 2 years
The number of credit cards you have
The number of checking accounts you have

Your credit report contains the following:

Personal information
This includes your name, date of birth, Social Security number, addresses, telephone numbers, and employers.

Credit history
This is a list of your credit accounts, such as loans or credit cards. It also includes account balances, dates the accounts were opened, and payment history for the last 7 years.

Credit requests
This is a list of lenders, such as banks or credit card companies, that have requested your credit report in the last 2 years.

Public information
This is financial information about you that is found in public records, such as bankruptcies or past-due debt.

Determine whether each piece of information appears in a credit report.

green checkmark, The number of credit cards you have applied for in the past 2 years

Credit cards are a type of credit account. When you apply for a credit card, the request appears in your credit report.

green checkmark, The number of credit cards you have

Credit cards are a type of credit account. They appear in a credit report.

red X symbol, The number of checking accounts you have

Checking accounts are not a type of credit account. They are not in a credit report.

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