Alimony child support among income not included in credit reports

A credit report is a very personal depiction of an individual, including everything from one’s credit history and address to birth date and Social Security number. But not every detail of a person’s financial life is included in a credit report, Fox Business reports.

One aspect missing from a credit report that may come as a relief to divorced individuals is income sources or payments such as alimony and child support.

Salaries have not been included in credit reports since the 1990s, John Ulzheimer, president of consumer education for SmartCredit.com, told the news source. This exclusion is due to the fact that too many variables exist in potential income and that income only measures financial capacity and not creditworthiness.

According to the Federal Reserve Bank of San Francisco, alimony, child support or other funds that are paid or received can be inquired about as you go through a credit check to obtain a loan, but only regarding how these items affect your income. If these payments do not factor into how you plan to repay a potential loan, they do not have to be included in your loan application.