Your ability to borrow money and the interest that you will pay are both affected by the information in your credit report. Why do you need to review this information regularly? There are two primary reasons. First, it is your responsibility to confirm that the information in your credit report is up-to-date, complete and correct. This verification process is especially important during major life events like buying a house or car, getting an insurance policy or applying for a job.

But there is another, more sinister reason. This is the new age of identity theft. Dishonest people steal your personal financial information and use it as their own. For example, identity thieves commonly open new credit accounts in your name, go on a shopping spree and then refuse to pay the bill. But because they used your information, the negative reports go on your credit report. You know the information is incorrect, but prospective creditors, insurers and employers do not know this. It could keep you from getting new credit, insurance or even a new job.

Federal laws in the United States guarantee your right to a free credit report if any company acts against you. This action would include denial of your credit, insurance or employment application. Whenever you are turned down, you have sixty days to request a copy of your report.

When you get a denial letter, they are required to include the name of the credit reporting company as well as their contact details. There are other conditions that trigger access to a free credit report. Unemployed persons who are planning a job search within 60 days can request a free credit report. If you are receiving welfare benefits or if your credit history has suffered due to fraud (like identity theft), you are also entitled to a free look at your credit report. Otherwise, agencies can charge for additional reports during a 12-month period.

You already get free credit reports if you happen to live in the states of Vermont, New Jersey, Massachusetts, Maryland, Maine, Georgia or Colorado.

Here’s what you will need to provide in your request for a free credit report: your date of birth, social security number, address and name. A previous physical address may be requested if you have moved recently. You may also need to come up with a bit of information that only you know. That will help keep your information secure. The credit reporting agency will let you know what’s needed.