How many free credit reports are individuals entitled to each year?

How many free credit reports are individuals entitled to each year?

• A. One
• B. Two
• C. Three
• D. Four

Answer: (C)

Individuals are entitled to three free credit reports each year from the three major credit reporting agencies: Equifax, Experian, and TransUnion. This entitlement is established under the Fair Credit Reporting Act (FCRA), which allows consumers to monitor their credit reports for accuracy, detect fraud, and understand their credit status. By obtaining one report from each of the agencies annually, individuals can effectively space out their requests throughout the year. This practice helps in tracking any changes or discrepancies that might arise, contributing to better financial management and safeguarding against identity theft.

Individuals are entitled to three free credit reports each year from the three major credit reporting agencies: Equifax, Experian, and TransUnion. This entitlement is established under the Fair Credit Reporting Act (FCRA), which allows consumers to monitor their credit reports for accuracy, detect fraud, and understand their credit status.

By obtaining one report from each of the agencies annually, individuals can effectively space out their requests throughout the year. This practice helps in tracking any changes or discrepancies that might arise, contributing to better financial management and safeguarding against identity theft.