A: A credit bureau or credit reporting agency is a service that provides prospective creditors with the information about you: primarily the debts that you have and your payments record. The bank will request a credit report if you apply for a loan to buy a house.

This report will tell the bank how many credit cards and other loans you have, whether or not you make your payments on time, wh ether someone has sued you and obtained a money judgment, and whether you have filed bankruptcy within the last seven years. There are three major credit reporting agencies in the country, namely Equifax, Experian, and TransUnion.