Buying a home is one of the biggest financial decisions you’ll ever make. But before you meet with a lender or look at listings, there’s one step that can make or break your approval: reviewing your credit report.  

A clear understanding of your credit profile helps you avoid delays, secure a better interest rate, and confidently walk into the homebuying process. Moreover, attending a credit report workshop is a smart way to learn what lenders look for and how to make your report work for you—not against you. 

Why Your Credit Report Matters for a Mortgage  

Your credit report is a snapshot of your financial habits. Lenders use it to assess how responsibly you’ve managed debt in the past—and whether you’re likely to repay what you borrow in the future. 

Even a small mistake or overlooked account can affect your interest rate or derail your approval altogether. That’s why reviewing your report before applying for a mortgage is essential. 

Here’s how to do it—and what to look for.

1. Know Where to Access Your Report

You’re entitled to a free credit report every 12 months from major credit bureaus (Experian, Transunion and Equifax); you can access them all at annualcreditreport.com. Due to updated policies, you may now be able to check them weekly for free. Requesting your report doesn’t affect your score and gives you full visibility into what lenders will see. 

2. Understand the Difference Between Reports and Scores

Your credit report includes your account history, balances, payment patterns, and inquiries. It’s a record of behavior. (Credit reports are not Credit scores.) 

Your credit score is a number—typically between 300 and 850—calculated from the information in your report. Lenders often use the FICO score, which weighs factors like payment history (35%), amounts owed (30%), length of credit history (15%), new credit (10%), and types of credit used (10%). 

Knowing the distinction helps you focus on both accuracy and improvement. 

3. Check for Common Credit Report Errors

It’s more common than you’d think to find mistakes in your report. These may include: 

• Accounts that aren’t yours 

• Incorrect late payments 

• Closed accounts showing as open 

• Incorrect balances or limits 

• Outdated personal information 

Each bureau may report data a little differently, so review all three. If you find an error, you have the legal right to dispute it and request a correction. Addressing mistakes before applying for a mortgage protects your eligibility and your interest rate.

4. Pay Attention to Your Debt-to-Income Ratio (DTI)

Your credit report helps lenders estimate your debt-to-income ratio (DTI), which is the amount of your income going toward debt payments each month. A high DTI can be a red flag even if your score is decent. 

Review how much you owe in revolving debt (like credit cards), installment loans, and student loans. Paying down balances before applying for a mortgage can help lower your DTI and improve your chances of approval. 

5. Plan Ahead for Score Improvements

If your credit report reveals a low score or risk factors, you don’t need to panic—but you do need a plan. Improvements may include: 

• Paying down high balances 

• Making all payments on time 

• Becoming an authorized user on a well-managed account 

• Avoiding new debt 

Even 20–30 points can make a difference in your loan options. Reviewing your report early gives you time to raise your score before applying.  

How a Credit Report Workshop Prepares You for Homeownership

A credit report workshop gives you the tools and clarity you need to approach the homebuying process confidently. You’ll learn how to read your report line by line, understand what lenders value, and create a strategy to improve your credit health if needed. 

Workshops often include Q&A sessions, real-world examples, and guidance on building long-term credit habits. They offer peace of mind and practical knowledge, particularly to first-time buyers. 

Are You Thinking About Joining a Credit Report Workshop?

Before applying for a mortgage, make sure your credit report is in the best shape possible. DebtHelper offers credit report workshops and personalized counseling to help you confidently understand, repair, and manage your credit. Let’s set you up for success—contact us today to register.