Key takeaways
- The three major credit bureaus are Equifax, Experian and TransUnion.
- The credit bureaus manage records on your accounts, balances and the payments you make.
- Each credit bureau operates independently. They may have different information for each individual and assign different credit scores.
- The three main credit bureaus are regulated by the Fair Credit Reporting Act, which limits how they collect and share your financial data.
Credit scores are complex, and many people don’t realize they have more than one. There are different scoring models, like FICO and VantageScore, as well as three major credit bureaus — Equifax, Experian and TransUnion — which each generate their own scores.
Whether you’re trying to build credit, planning to finance a major purchase or working on credit repair, it’s important to understand the major credit bureaus and how they influence your credit score.
What is a credit bureau?
A credit bureau is a data-gatherer that makes an individual’s credit details available to other companies, such as banks, car dealers and credit card issuers. The bureaus then consolidate this information into a credit report and create a credit score for each individual.
What are the three major credit bureaus?
Three main credit bureaus handle the details that make up your credit scores: Equifax, Experian and TransUnion.
While each credit bureau offers an array of products and services, they perform the same tasks when it comes to monitoring consumer credit information. Specifically, they each manage their records, which include information on accounts you have, balances you owe and payments you make.
Because each credit bureau operates independently, they don’t always have the same information for each individual. If you have a credit card, mortgage or loan, you have a credit file with at least one of the three credit bureaus, if not all three.
Equifax
Equifax has been in business since 1899. In addition to compiling and assessing consumer credit information, the company also offers credit and identity monitoring services. In addition, Equifax provides resources for consumers who want to improve or build credit or put a credit freeze in place.
Experian
As one of the biggest credit bureaus worldwide, Experian supports clients in over 100 different countries. The company maintains credit information on approximately 245 million U.S. consumers and 99.9 percent of U.S. businesses. It also offers credit monitoring, free credit scores and additional tools for consumers.
TransUnion
TransUnion has a large global presence, reportedly overseeing the credit information of hundreds of millions of people in 30 countries. Like the other major credit bureaus, TransUnion offers identity and credit monitoring, free credit tools and credit resources and information concerning legal rights under the Fair Credit Reporting Act (FCRA).
What information do the credit bureaus collect?
The credit bureaus monitor an array of information that helps them determine your creditworthiness. Data they compile typically includes identifying information, like your name, addresses (past and present), Social Security number and date of birth. Other information collected includes:
- Account balances and credit limits
- Credit activity, including hard credit inquiries
- Debt collections and bankruptcies
- Payment history, including late or missed payments
- Status of your accounts
- When accounts have been opened or closed