Any outstanding debt or one-time payment to a business, lender, government agency, or creditor can be voluntarily reported to any (or all) of the three major credit bureaus. Once the credit bureaus receive this information, the subsequent payment or outstanding debt will then positively or negatively affect that individual’s credit score. There are several metrics used to determine the credit value for each type of transaction, but in general, the resulting credit scores are an accurate reflection of an individual’s ability to honor their obligations.
Fortunately, following most major transactions (like paying off a mortgage), most lenders, creditors, and banks report the relevant information to all three major credit bureaus. Unfortunately, since it does cost a fee to submit debtor information to each of the credit bureaus, some lenders and creditors only submit the data to one credit bureau.
This can negatively affect the debtor (if they paid on time) since that positive information will only be reflected in one of the credit bureaus’ reports. Alternatively, only reporting to one agency can also work in an individual’s favor. For example, if a business does an independent credit check on a prospective new hire, if major debts were never reported to the credit bureau they check, that potential hire may seem more fiscally responsible than their actual credit history would reveal.
The Importance of Finding a Trusted Screening Service
So, how do you know if you are getting the full story for the individual in question? While there are numerous ways you can pursue a credit screening independently, without using certified consumer credit report services in York, it can be difficult to guarantee the authenticity of the information.
With licensed screening services, you proactively avoid many potential issues that can arise from questionable screening websites or underqualified services, such as:
- Outdated Information: A common problem with independent debt searches is outdated results. Perhaps your prospective candidate missed a few car payments in their early 20s but has since paid all of their outstanding debts. Unless that screening service is accessing the latest data, it may reflect the candidate poorly while an updated report would demonstrate that they are reliable.
- Partial Information: Certain screening services only tap into one or two credit bureaus’ debt information. Instead of relying on partial debt screens, our professional agency securely accesses all of the major bureaus for 100% transparent results.
- False Information: With every quality debt screening, identity verification is an important aspect of the process. With questionable screening services, you run the risk of encountering false information or information that’s actually about another person. To minimize these screening pitfalls, our processes utilize multiple identifiers to ensure that every candidate is accurately identified.
As important as the information on the debt report, the way you find this information is just as important. Get in touch with our licensed experts for comprehensive screening and debt collection in Harrisburg, PA, and trust in your next successful hire or loan with verified confidence.