About Credit Reports
Your credit history determines which loans you qualify for and the interest rate you pay. Take
control of your credit by checking both your credit report and credit score.
What is a Credit Report?
Your credit report
is a list of all your outstanding loans and debt and any other
debt information. Your credit report is the information finance companies use to
determine whether or not they will lend you money (credit). The three national credit reporting
agencies, Equifax, Experian (formerly TRW Credit Reports), and Trans Union, gather information
from creditors
and put the information together into a report. The credit report may be converted to a
numerical credit score. The score is then used as a rating device. A higher credit score
indicates less risk. The credit bureaux often offer a free credit report online. It is very
important that you stay on top of your credit report.
|
|
|
What is a Credit Report score?
Your credit score is the numerical representation that is obtained
by using a formula to rate your credit report. Computer programs take your credit report,
analyse certain factors, and then assign a number to you that is supposed to tell creditors of
the likelihood that you will repay a loan or credit card on time. The higher the credit
score the better risk you are believed to be. A credit score generally ranges from the 300s to
the 800s. A poor credit score could affect your ability to obtain a
mortgage
Free Credit Report
Several companies offer a free credit report although this may be on a 30-day free trial followed by an optional
small monthly fee to maintain access.
Debt Consolidation
If you find yourself in debt which you cannot manage and which may affect your credit report read our
debt consolidation page for some helpful tips and advice.
Credit Counseling
If you are experiencing problems with debt, including
mortgage arrears and
late payments on your personal loans
you may wish to discuss your position with a
credit counselor
|
|
