GETTING STARTED
Credit reports and military service
This tool will help you get, review, improve, and protect your
credit history.
As a servicemember, having a strong credit history means having greater
opportunities during your military career. Financial readiness involves requesting and
reviewing your credit reports, taking steps to improve your credit including disputing
errors on your credit reports, and protecting your credit history.
Negative information in your credit reports may keep you from getting promotions,
higher security clearances, or special duty assignments.
What to do
•
Enroll in free electronic credit monitoring services. Equifax, Experian, and
TransUnion—are providing free electronic credit monitoring services to active duty
servicemembers and members of the National Guard.
• Get free copies of your credit reports. You can get them on the internet, by
telephone, or by mail. If you get your reports on the internet, be sure you’re
accessing them from a safe and secure device and location.
• Review your credit reports. Read through each credit report carefully, using the
checklist as a guide for what errors to look for.
• Improve your credit reports. This can include disputing errors you find in your
credit reports. If you find any mistakes on your credit reports, you should dispute
them. Use the “Disputing errors on your credit reports” tool in the toolkit for even
more information. You may also opt for a strategy or combination of strategies to
improve your credit reports that work for you.
• Protect your credit history. There is a range of specific things you can do to
limit access to your credit reports. This can help you prevent identity theft and
financial fraud.
1
Understanding Credit reports and
military service
1. Read each step in the checklist below.
2. Follow each step as it applies to you.
Monitor your credit
Step to take Additional steps or information
Check when
complete
Active
duty
servicemembers,
reservists on active
duty, and members of
the National Guard can
enroll in free electronic
credit monitoring
services.
Credit monitoring services can alert consumers
to mistakes or problems with their credit
reports that might stem from the unauthorized
use of their personal information to obtain
credit.
Equifax
(8 0 0) 685 -1111
equifax.com/
personal/
military-credit-
monitoring/
Experian
(888) 397-3742
experian.com/
lp/military.html
TransUnion
(800) 916-8800
transunion.com/
active-duty-
military-credit-
center
Equifax
Experian
TransUnion
Visit annualcreditreport.
com to get a copy of
each credit report.
You are entitled to one free credit report every
12 months from each of the three nationwide
credit reporting companies. If you were
affected by the Equifax data breech, you can
get access to extra reports too as noted here:
consumerfinance.gov/equifax-settlement.
Be ready to answer the security questions you
will be asked. If you are unable to answer them,
you will have to order your reports by phone or
mail.
You can order all three at a time, but it’s a
better practice to order a different one every
four months.
Equifax
Experian
TransUnion
3
Step to take Additional steps or information
Check when
complete
Order your free credit
reports by phone or
by mail if you can't get
them online.
Call: (877) 322-8228 or download and
print this form: annualcreditreport.com/
manualRequestForm.action
Complete it and mail it to:
Annual Credit Report Request Service
P.O. Box 105281
Atlanta, GA 30348-5281
Equifax
Experian
TransUnion
Get a free copy of your
credit score by visiting
your local Personal
Financial Counselor
(PFC).
PFCs are part of the Military Financial
Readiness Management Program. In
addition to providing a free credit score,
PFCs also conduct classes, seminars,
one-on-one counseling and educate
servicemembers and their families about
consumer rights to help them achieve
financial stability. You can locate your
nearest Financial Counselor by contacting
Military One Source at 800-342-9647 or
visiting militaryonesource.mil.
Yes, a I have met
with a PFC and
received a copy
of my credit score
No, I need to
contact a PFC
Review your credit reports
Step to take Additional information Check when complete
I need to file a
dispute.
Review:
Your name including spelling
Social Security number
Telephone numbers
Addresses
Employment history
Yes, all information
is correct
No, something is
wrong. I need to
file a dispute.
4
Step to take Additional information Check when complete
Is the public
record information
correct?
Check for bankruptcies
Check for possible tax liens and court
judgments
Yes, all information
is correct
No, something
is wrong. Follow
steps for filing a
dispute to get it
corrected
Review collection
agency account
information.
Review:
Ac
count information—did the original
account belong to you?
Status of each account
Yes, all information
is correct
No, something
is wrong. Follow
steps for filing a
dispute to get it
corrected
Review the
credit account
information.
Review:
Account information—do all the accounts
belong to you?
The status of each account—open versus
closed, paid on time, missed payments,
current balances
Yes, all information
is correct
No, something
is wrong. Follow
steps for filing a
dispute to get it
corrected
Review the
inquiries made to
your file.
There are two types of inquiries:
• Hard inquiries—often after you have applied
for credit or an apartment.
• Soft inquiries—a business has reviewed your
credit to see if you may be eligible for a
promotional offer. When you, an employer,
or insurance company check your credit
reports, these are also considered soft
inquiries.
• Hard inquiries affect your credit scores
slightly. Soft inquiries do not.
Yes, all information
is correct
No, something is
wrong. I need to
file a dispute.
5
Improve your credit reports
Step to take Additional steps or information
Check when
complete
Dispute mistakes
on your credit
report.
You can call, complete an online dispute form, or send
a letter explaining the mistakes. If sending a letter, you
may also have to complete a dispute form. See this link
for further help: consumerfinance.gov/ask-cfpb/how-
do-i-dispute-an-error-on-my-credit-report-en-314/
Dispute forms are available on the credit reporting
company websites. If submitting evidence; like receipts,
cleared checks, bank or credit card statements, or
screenshots of electronic payments; make sure you
send copies—not original documents.
Equifax
(8 0 0) 685 -1111
equifax.com/
personal/
disputes
Equifax
Information
Services, LLC
P.O. Box 740256
Atlanta, GA
30348
Experian
(888) 397-3742
experian.com/
dis
putes
Experian
P.O. Box 4500
Allen, TX 75013
TransUnion
(800)
916-8800
transunion.com
/
disputes
TransUnion
Consumer
Solutions
P.O. Box 2000
Chester, PA
19016
Dispute sent
to:
Equifax
on __/__/__
Experian
on __/__/__
TransUnion
on __/__/__
Credit
reporting
companies
have 30 days
to respond to
your dispute.
6
Step to take Additional steps or information
Check when
complete
Dispute the
mistakes with
the information
furnisher.
Call or send a letter to the creditor or business that
provided the incorrect information. Be sure to send
copies of evidence or proof of payment. Never send
original documents.
Use these
strategies to
improve your
credit history
File disputes if there are mistakes
Pa
y your bills on time and as agreed
Use only 30% of your available credit limit on revolving credit accounts
(e.g. credit cards)
Pay off tax liens or judgements
Use a credit building strategy:
• Get a credit building loan from a bank or credit union
• Get a secured credit card if you are unable to qualify for a
conventional credit card. Use only 30% of your credit limit
Keep old accounts open
Resist applying for new credit cards
If you have debts that existed before you went on active military duty,
request an interest rate reduction to 6%. This is your right under the
Servicemembers Civil Relief Act (SCRA).
If you have debts you cannot pay, get help from your military branch
relief society. (See the handout in this guide in Module 4 called Military
relief societies.)
If you are unable to stay current with your bills and debt, get help:
• Visit a personal financial counselor at your closest military
installation
• Visit a nonprofit in the community that helps people with their
finances
• Contact your local/state Department of Veterans’ Affairs: nasdva.us/
Links.aspx
Get and review your credit reports at least once every 12 months
7
Protect your credit history
Step to take Additional steps or information
Check when
complete
Place an initial fraud
alert
• Use this if you are concerned you may
become the victim of identity theft or fraud
• Requires creditors or businesses to verify
your identity before opening a new account,
issuing an additional card, or increasing the
credit limit on an existing account based on
a consumer’s request
• Place with one nationwide credit reporting
company, and it must notify the other two
• Free and stays in place for 12 months
Initial fraud
alert placed
Place an active duty
military alert
• Use this if you are concerned you may
become the victim of identity theft or fraud,
and you are an active duty servicemember
who is deployed or stationed overseas
• Requires creditors or businesses to verify
your identity before opening an account,
issuing an additional credit card on an
existing account, or increasing the credit
limit on your existing account
• Place with one nationwide credit reporting
company, and it must notify the other two
• Free and stays in place for 12 months, but
can be renewed for the length of your
deployment
Active duty
military alert
placed
8
Step to take Additional steps or information
Check when
complete
Place an Extended
Fraud Alert
• Use this if you have been the victim of
identity theft
• Requires creditors or businesses to verify
your identity before opening an account,
issuing an additional credit card on an
existing account, or increasing the credit
limit on your existing account
• Place with one nationwide credit reporting
company, and it must notify the other two
• Free and stays in place for seven years
• Must provide proof of identity theft and a
copy of an identity theft report, which you
can create at IdentityTheft.gov
Extended
fraud alert
placed
9
Step to take Additional steps or information
Check when
complete
Place a credit freeze • Use this if you want more protection than a
fraud alert provides
• Prevents access to your credit reports by
almost anyone (including you); this keeps
new credit accounts from being opened,
and stops new accounts for other services
such a mobile phones or utilities
• If you request a credit freeze, the credit
reporting company must implement it
within one business day of your request if
made by telephone or electronically.
• Upon your request, a credit freeze must be
lifted for free and be removed no later than
one hour after you make the request by
telephone or electronically
• Federal law protects credit records and
identity theft for persons under age 16 and
incapacitated persons or persons for whom
a guardian has been appointed. Persons
with authority to act for these consumers
can request a credit freeze
• Must establish a freeze with each credit
reporting company unlike fraud alerts
• Free and stays in place until you lift it
Equifax credit
freeze placed
Experian
credit freeze
placed
TransUnion
credit freeze
placed
Get, review, dispute
errors on, and improve
credit reports
• This is the most important step in
defending your credit history over the long-
term.
• Get and review your credit reports from
each credit reporting company at least
once every 12 months
Equifax on
__/__/__
Experian on
__/__/__
TransUnion
on __/__/__
10
11
DISCLAIMER
The Consumer Financial Protection Bureau prepared the tools included in the Your
Money, Your Goals: Focus on Military Communities companion guide as a resource
for the public. This material is provided for educational and information purposes
only. It is not a replacement for the guidance or advice of an accountant, certified
financial advisor, or otherwise qualified professional. The CFPB is not responsible for
the advice or actions of the individuals or entities from which you received the CFPB
educational materials. The CFPB’s educational efforts are limited to the materials that
CFPB has prepared.
The tools may ask you to provide sensitive information. The CFPB does not collect
this information and is not responsible for how your information may be used if you
provide it to others. The CFPB recommends that you do not include names, account
numbers, or other sensitive information and that users follow their organization’s
policies regarding personal information.
This guide includes links or references to third-party resources or content that
consumers may find helpful. The Bureau does not control or guarantee the accuracy
of this outside information. The inclusion of links or references to third-party sites
does not necessarily reflect the Bureau’s endorsement of the third-party, the views
expressed on the outside site, or products or services offered on the outside site. The
Bureau has not vetted these third-parties, their content, or any products or services
they may offer. There may be other possible entities or resources that are not listed
that may also serve your needs.
