Credit Report tip:

[ 0 ] March 13, 2013 |

Reading and understanding your credit report can be a little tricky, especially if you are new at it.  You can obtain a free credit report once every 12 months from each of the nationwide consumer credit reporting companies, Equifax, Experian, and TransUnion at

Here is a question we recently received on reading credit reports:

Q: Why does my credit report still show balances on accounts that I’m paying off in full each month?
A: The current balance shown on an account in your credit report reflects the amount at the time the issuer reported it to the credit bureau. The discrepancy is most likely because your statement was processed after the issuer reported it to the credit bureau and you had paid your bill in full. So even if you pay off your balance each month, any charges made since they reported your last balance becomes the new balance reported to the credit bureau the following month.

To get a zero balance for a particular credit card account, pay the last billed balance in full and then don’t charge anything on that account going forward. You should see a zero balance on your next statement, and it should appear as a zero balance on your updated credit report.

Please feel free to ask any questions you have on credit reports by commenting on this blog, we will forward to our knowledgeable staff and get back to you!

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Category: Money Tips

About the Author ()

Hello! I have been with IAACU since August of 2011. I am a Member Development Rep. You might have talked to me a few times on the phone or through e-mail.

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