When one refers to a credit bureau they refer to entities that collect credit information and are able to sell this information to the variety of lenders and creditors available on the market amongst others. Credit bureaus collect and maintain records of one’s credit history from the type they opened their first debit or cheque account. Credit bureaus also collect information that pertains to one’s repayment history. Credit bureaus are commonly associated with records of one’s history although the credit that one has available and how much of it they are spending is also part of the information collected and sold by these entities.
Credit bureaus collect information from financial institutions and a variety of other credit supplying institutions for their record keeping purposes. Credit bureaus also use public records, such as civil disputes for example, in order to keep updated records. Owing to the fact that there are a variety of sources for the information collected by credit bureaus, the may be slight discrepancies in information from one credit bureau to another.
The information provided by these collection agencies are used by banks and other business that give credit. When one receives credit cards that they did not apply for, or refinancing of property that they did not ask for, it is likely that the financial institution offering this has received information from the credit bureau as per their financial status.