What is the term for a written statement issued by a credit bureau?

What is the term for a written statement issued by a credit bureau?

• A. Credit report
• B. Scorecard
• C. Account summary
• D. Financial statement

Answer: (A)

The term for a written statement issued by a credit bureau is known as a credit report. A credit report is a comprehensive record of an individual's credit history, detailing information about their credit accounts, payment history, and any debts. It is used by lenders to assess a borrower’s creditworthiness when evaluating loan applications. A credit report provides essential insights into an individual's borrowing behavior and repayment reliability, making it a crucial tool for both lenders and consumers. This document plays a significant role in decisions surrounding credit approval, loan terms, and interest rates. It often contains sections that display personal information, credit inquiries, and public records, which together provide a full picture of an individual's credit health. Other terms mentioned, such as scorecard and financial statement, do not refer specifically to the documents produced by credit bureaus. A scorecard often relates to scoring models used to interpret credit information, and a financial statement is a broader term that encapsulates a company’s or individual’s financial position, encompassing income, expenses, assets, and liabilities. An account summary typically refers to the details of a specific account rather than a complete credit history like that found in a credit report.

The term for a written statement issued by a credit bureau is known as a credit report. A credit report is a comprehensive record of an individual's credit history, detailing information about their credit accounts, payment history, and any debts. It is used by lenders to assess a borrower’s creditworthiness when evaluating loan applications.

A credit report provides essential insights into an individual's borrowing behavior and repayment reliability, making it a crucial tool for both lenders and consumers. This document plays a significant role in decisions surrounding credit approval, loan terms, and interest rates. It often contains sections that display personal information, credit inquiries, and public records, which together provide a full picture of an individual's credit health.

Other terms mentioned, such as scorecard and financial statement, do not refer specifically to the documents produced by credit bureaus. A scorecard often relates to scoring models used to interpret credit information, and a financial statement is a broader term that encapsulates a company’s or individual’s financial position, encompassing income, expenses, assets, and liabilities. An account summary typically refers to the details of a specific account rather than a complete credit history like that found in a credit report.