Glossary

Last revised August 4, 2026 · maintained by Dana Reinholt

Definitions as we use them on this site. Where an industry term has a looser everyday meaning, we say so rather than pretending the two agree.

Adverse action

A denial, or a less favourable offer than you applied for, based in whole or in part on a consumer report. It triggers a notice telling you which agency supplied the report.

Charge-off

An accounting decision by the creditor to treat the debt as a loss. It does not mean the debt is forgiven, and it does not stop collection.

Date of first delinquency

The month an account first went late and never recovered. Fixes the purge date on derogatory items. See the seven-year clock.

Furnisher

Anyone who supplies account information to a consumer reporting agency. Banks, card issuers, collectors, some landlords and utilities.

Hard inquiry

A record that a lender pulled your file in response to your application. Visible to lenders for two years. See inquiries.

Permissible purpose

The set of legally allowed reasons for accessing someone’s file. Curiosity is not one of them.

Reinsertion

When a previously deleted item returns to a report after the furnisher certifies it as accurate. You must be notified within five business days.

Thin file

A report with too few accounts or too little history for a model to be confident. Scores in the middle rather than at either extreme.

Tradeline

One account as described by one furnisher. The basic unit of a credit report.

Utilization

Reported revolving balance divided by reported limit, on the day it was reported. See the article.