You are here: Home - Credit Cards & Loans -

Keep a check on your credit history

0
Written by:
05/08/2006

While income plays a huge part in determining how much money a lender will give you – beware, because past credit history is also significant. Janae Houghton investigates  
 
On-line credit reference checker MyCallcredit suggests potential borrowers should understand what’s on their credit file and just how lenders go about credit scoring them. Alison Nicholson, director, says: “Many people think the amount you can borrow is linked directly to how much you earn, but it’s much more complicated than that.’’

“Each lender is different in how it uses your credit file to work out a score. Understanding the information held about you and how lenders might use it, is the first step towards getting the best deals on credit you can,’’ she said.

Before applying for any sort of loan, be prepared that items from your credit history will affect you. The following details will be scrutinized; electoral roll information, any payment history you may have on mortgages, credit cards, loans, hire purchases and finance agreements.

County court judgements, amount owed and number of credit facilities, the length of your credit history, how many new types of credit you have applied for, the types of credit you use and salary details from the application form will also be taken into account.

MyCallcredit has these suggestions for keeping an eye on your credit file. Immediately register on the electoral roll when you move house, pay all your bills on time, keep credit card limits to a minimum, pay off debt rather than changing it around and only apply for new credit if you need it. 

Related Posts

Tagged:

Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Private sector to deliver national pensions scheme

High street banks,, life insurance companies and City fund managers are will be given responsibility for setting up and eventually...

Close