http://www.smh.com.au/money/borrowing/know-the-score-what-th…
Thought I might share because I've seen many threads where people ask if certain activities affect their "credit score".
This article might clarify (or not) a few things.
Cheers!
Positive Credit Reporting (article in SMH)
John Kimble on 12/07/2017 - 14:38
Last edited 12/07/2017 - 14:56
Last edited 12/07/2017 - 14:56
Comments
The data will also show how many credit accounts someone has open and how much the combined credit limits total.
Didnt know they didnt know this until now.
From the ones I've seen, you just see what has been applied for, so you don't know what has been approved or declined or the final credit limit.
This is positive overall (for those who consistently repay their loans).
But what we don't know is what weighting the lending institutions are going to place on the good news data.
OK…Joe Bloggs is on minimum wage, but somehow repays his big CC on time everytime. Does that mean lend him more? Conversely, Bob Brown is on 200k, has a $10k loan he missed payments on twice, does that make him bad despite his big potential to repay?
Hopefully the banks put a good weighting on this data so it can offset the enquiries if I jump from bank offer to bank offer.