Equifax is one of the three main credit rating bureaus that are used to produce credit reports and credit scores on potential customers for Ford credit, as well as other banks, finance houses and credit unions.
It is worth bearing in mind that there are three main credit agencies in the US and worldwide, and that Ford credit may well use any one of them or all three if they feel it necessary.
Equifax along with the other credit rating agencies use similar methods for compiling their credit report, and similar ways of interpreting the information contained in such a report, and will arrive at their own version of a credit score for the individual.
It is important to understand that a credit report is a document made up of a significant amount of personal and financial information. First of all, there is information provided in the application form by the applicant, possibly by a cosigner, and possibly by other members of the applicant’s family or business colleagues if appropriate.
Equifax Credit Report
In addition the credit report will contain information such as the individual’s name, date of birth, the current and previous addresses, their current and previous telephone numbers, a drivers license, the passport and their current and previous employers.
There will be a significant amount of history about the individual’s credit concerning any use of credit cards, lines of credit from a bank of the sources, the length of their credit history etc.
There will also be note of any major credit defaults or problems regarding payments for late payments on any mortgages, loans or significant financial collections.
Once Equifax has collected all this information, it will release it into a report that it then analyses by way of a number of algorithms to produce a credit score. This credit score is in effect a number that is plotted on a graft between two of the numbers to show its relevance between them.
The important thing from a customer point of view is to obtain a copy of the credit report, and check that the information contained in it is accurate and up-to-date. This is especially true if the applicant has had any serious financial problems such as bankruptcy in the past, as there is normally a time limit as to how long the type of information can be used for