Credit utilization
How much of your available credit-card limit you are using. A $500 balance on a $1,000 limit is 50% utilization.
Plain-language credit glossary
Credit words, explained without the confusion.
Use these short definitions while reviewing your reports or comparing your options.
Collection
A past-due debt being handled by a collection company. Check the company, balance, dates, and whether the account belongs to you.
Charge-off
An account a lender recorded as a loss. A charge-off does not automatically mean the debt disappeared.
Hard and soft inquiries
An inquiry means someone checked your credit. A hard inquiry may affect a score; a soft inquiry generally does not.
Credit monitoring
A separate service that sends report changes or alerts. Monitoring helps you watch your credit, but it does not repair credit by itself.
Service Cycle
One defined group of CRS work described in the service agreement. It is not a calendar month, and time passing alone does not create a CRS fee.
Credit bureaus
Equifax, Experian, and TransUnion are companies that maintain consumer credit files.
Furnisher
A lender, collector, or other company that sends account information to a credit bureau.
CFPB
The Consumer Financial Protection Bureau is a federal agency that publishes consumer information and accepts complaints about financial products and services.
Dispute
A request to investigate information you believe may be inaccurate or incomplete. You can dispute credit-report information yourself at no cost.