What are the three major credit bureaus?

The three major credit bureaus are Experian, TransUnion, and Equifax. These organizations play a pivotal role in the credit reporting system by collecting and maintaining consumer credit information, which they use to generate credit reports. These reports are essential for lenders, including mortgage loan originators, as they help assess an individual's creditworthiness when applying for loans or credit cards.

FICO, mentioned in the other options, refers to the Fair Isaac Corporation, which is a company that develops credit scoring models. While FICO scores are widely used by lenders to help evaluate consumer credit, they are not a credit bureau themselves. Additionally, Credit Karma is a service that provides credit scores and monitoring but is not categorized as a credit bureau either. Thus, identifying Experian, TransUnion, and Equifax as the three major credit bureaus is fundamental to understanding how consumer credit is assessed and managed in financial transactions.