It can also have a gloomy effect on their credit score. Whenever a person who just filed for bankruptcy applies for mortgages and loans, it puts a heavy frown on the faces of creditors and lending institutions. Insurance premiums for people who've experienced bankruptcy are also more costly than for people who have stable financial records. Don t get your credit report from third-party agencies, because chances are you could be disputing errors or flaws that don t even exist. According to the US Fair Credit Reporting Act (FCRA), the major credit agencies are responsible for correcting or reducing any flaws and errors in their credit reports. By making sure that their credit report is in stable condition, aspiring business owners can increase their chances of receiving business loans which offer flexible interest rates. Every person is entitled to a free credit report each year, and a good place to start checking on your credit rating is by going to the three major credit bureaus like Experian, Equifax and TransUnion. Credit Monitoring Service: The Pros And Cons A credit monitoring service is a facility which helps people effectively handle, and keep tabs on their credit history, to determine if they are viable for availing any form of financing. With so many credit monitoring agencies in operation these days, most of these are reputable, while some companies are nothing but pure scams, who usually charge excessive fees. If you ve made late payments before, relax and don t worry, since over time those infractions will slowly diminish, and you ll get back your old credit score. Avoid Applying For Unnecessary Credit Always ensure that you avoid those new credit card offerings at the mall or department store, because all the newly added credit, no matter how small, are sure to do harm to your credit score. However, because you re only allowed one company per year, order them on a staggered basis throughout the year instead. Print Your Credit Report Once you request your credit report, print it out once it appears, because the major credit bureaus won t send them to you via email. Look for links on the first page of the Web site, which allows you to print the report.