What's on my credit report?

Many people may not be aware that major changes to credit reporting laws in Australia came into effect in March 2014.  New information about your credit repayment history will now be included on your personal credit report, but what do these changes mean and how does it affect you?

 

When you apply for a loan, you need to be aware that any credit provider will now have access to your detailed repayment history contained in your credit report.  Credit reporting agencies such as Veda calculate a ‘credit score’ based on the information in your file, and this information is available to lenders when assessing your application for credit.

 

‘The information in your credit report could influence the lenders decision as to whether they approve your application or not, so it’s now more important than ever to make sure you have a good credit record’, local Perth mortgage broker Andrew Sawyer advises.

 

What type of information is included in my credit report?

 

Until recently, your credit report contained only the following information:

 

  • Your personal details
  • Credit cards in your name
  • Loans in your name e.g. personal, car and home loans
  • Previous credit enquiries/applications for credit cards, home loans etc.
  • Defaults of more than $150 that are at least 60 days overdue
  • Arrears (or debts) that were previously unpaid/overdue and the date these were paid 
  • Court judgements such as bankruptcy

 

The changes introduced in March 2014 mean that in addition to the above, the following information (which has been collected since December 2012) will also appear on your credit report:

 

  • Repayment history for any credit accounts in your name including home loans, personal loans and credit cards 
  • The date your payments were due and whether or not you paid these on time
  • The date you paid any missed payments
  • Any business or commercial loan applications in your name
  • The names of all credit providers who have requested a copy of your credit report

 

The downside to these changes means that if you have missed a credit card or loan repayment, even if only by a matter of days, this will now be recorded on your credit file.  However if you have a good track record and pay all your bills on time, this will also be reflected in your credit file.


How do I get a copy of my credit report?


If you’re thinking of applying for a home loan it’s a good idea to get a copy of your credit report, to ensure there are no defaults against your name that could affect your application for credit. 


Contact our office today on 9277 9888 to book a free consultation and request a free copy of your credit report.

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