A public record is defined as any information that has been collected by a government agency about an individual. But what does this have to do with credit reports? Well, it turns out that public records can also appear on your credit report.
Let’s take a look at what kinds of public records can appear on your credit report and what you can do to get them removed.
What Exactly Are Public Records
Public records are typically maintained by government agencies at the local, state, or federal level, and they can include everything from birth certificates to property ownership records. While some public records may be accessible to everyone, others may be restricted to certain individuals or groups.
In general, public records are created and maintained in order to provide transparency and accountability in government and to help ensure that the public has access to information about their community and its leaders.
While the exact contents of a public record may vary depending on the jurisdiction, they are typically open for inspection by any member of the public. In order to obtain a copy of a public record, you must usually submit a request to the agency that maintains the record. Some public records may also be available online. They can also be useful for journalists, historians, and others who want to learn more about how the government works.
Types Of Public Record Entries
If you have ever been to court or had any kind of legal proceeding against you, there is a chance that this could show up on your credit report as a public record. While this may not seem like a big deal, it can actually have a negative effect on your credit score. Here are some of the most common types of public records that can appear on your credit report.
Criminal records are perhaps the most serious type of public record that can appear on your credit report. While not all criminal records will necessarily result in a lower credit score, it is important to be aware that they could potentially have an impact. If you have any kind of criminal record, it is always best to disclose this to potential lenders upfront so that they can make an informed decision about whether or not to extend your credit.
Civil judgments are another type of public record that can appear on your credit report. A civil judgment is typically the result of a lawsuit and can range from something as minor as an unpaid bill to something as serious as a debt owed to the government. Like criminal records, having a civil judgment on your credit report will not automatically result in a lower credit score but it could have an impact depending on the circumstances.
A tax lien is a legal claim placed against your property by the IRS in order to collect unpaid taxes. Tax liens are generally only removed from your credit report once the taxes have been paid in full so it is important to take care of them as soon as possible. Given the seriousness of tax liens, they will almost certainly result in a lower credit score if left unpaid.
What Do They Mean For Your Credit Score
Public records on credit reports can have a significant impact on your credit score. Here’s what you need to know about how they work and what you can do to minimize their impact.
When you apply for credit, lenders will check your credit report to see if you have any public records. These can include things like bankruptcies, foreclosures, and tax liens. If you have any public records on your credit report, it will lower your credit score.
The impact of public records on your credit score will vary depending on the type of record and the severity of the information. For example, bankruptcy will have a much greater impact than a late payment. However, all public records will generally lower your score.
While having public records on your credit report can drag down your score, it’s important to remember that they don’t necessarily reflect poorly on your financial history. In many cases, these items are beyond your control. For example, if you had to file for bankruptcy due to job loss or medical bills, that doesn’t mean that you’re a bad borrower. It just means that you’ve been through some tough times.
If you do have public records on your credit report, there are a few things you can do to improve your score. First, make sure that all the information is accurate. If there are any mistakes, dispute them with the credit bureaus.
Second, focus on paying all of your bills on time. This will help offset the negative impact of public records. And finally, try to keep your balances low. This will show lenders that you’re a responsible borrower who knows how to manage debt.
What You Can Do About Public Records On Your Credit Report
There are a few things you can do to minimize the impact of public records on your credit score.
- Make sure that all the information is accurate. If there are any mistakes, dispute them with the credit bureaus.
- Try to get the record removed from your report. This can be difficult to do, but it’s worth checking into.
- Make sure that you keep up with all of your payments after the public record is reported. This will show lenders that you’re still capable of making payments on time, despite the negative information in your report.
- Don’t apply for new credit until the public record is removed from your report. Applying for new credit will only add more negative information to your report and further lower your score.
If you have a public record on your credit report, it’s important to take steps to mitigate its impact on your score.
While having any of these types of public records on your credit report can potentially lower your credit score, it is important to remember that each situation is unique. If you have any concerns about how a public record might affect your credit score, the best course of action is always to consult with a professional who can offer specific advice based on your individual situation.