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credit cards faq/glossary
The most common questions asked about Credits Cards.
Credit Card Glossary
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Credit history
What does Credit history mean?

An individual’s credit history is basically a record of his or her use of debt. There are three main credit consumer reporting agencies in the United States, which are: Equifax, TransUnion and Experian. These credit reporting agencies keep the major databases of credit histories. A customer’s credit history is made up of the following information: number and types of credit accounts, for how long each credit account has been open, the amount of available credit used, amounts owed, number of recent credit , and inquiries whether bills are paid on time.

The report also contains some information concerning whether the customer has any liens, bankruptcies, collections or judgments. All this information may be contained on a customer’s credit report. Exactly what records are listed in one’s credit report, and for exactly how long, and how it can be used, are all decided by a federal act known as the Fair Credit Reporting Act.
Every potential creditor, such as credit card companies and mortgage lenders, uses the information in a customer’s credit history to come to a decision about extending credit to the customer in question or to deny it, this information is also used to decide if a client is eligible to own a credit card, and on what terms.

The information in the credit history is also used to calculate a customer’s FICO sore.
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