Under a new federal law, consumers will be able to order a free credit report from all three major credit bureaus. The Fair and Accurate Credit Transaction Act (FACT Act) enacted by Congress required that Experian, Equifax, and TransUnion design and operate a centralized resource for making annual reports available.

The end result is www.annualcreditreport.com, a web site set up by the Federal Trade Commission, where you can obtain a free copy of each report once a year. You can also order your free report by phone by calling 877-322-8228 or by writing: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281. You can order all three reports at one time or stagger your order over time.

One of the important goals of the FACT Act is to simplify the confusing world of credit reports and to educate consumers about how credit decisions can remain for years and years.

It's important that you understand the information in your credit report, regardless of your financial situation. This information directly impacts your ability to obtain a credit card, buy a car or home, rent an apartment, or even get a new job. Two of the best reasons for reviewing your credit report today are to make sure your credit report is accurate and to protect you from fraud or identity theft.